IDEAS home Printed from https://ideas.repec.org/a/sae/envirc/v35y2017i5p746-764.html
   My bibliography  Save this article

Infrastructure public–private partnerships as drivers of innovation? Lessons from Ontario, Canada

Author

Listed:
  • Michael Himmel
  • Matti Siemiatycki

Abstract

Public–private partnerships have been widely identified as key drivers of innovation in large public infrastructure projects such as hospitals, courthouses, bridges, highways, and transit lines. Yet to date, there is little empirical evidence documenting how much or what types of innovation are realized through the public–private partnership procurement process. Based on an examination of public–private partnership project delivery in Ontario, Canada over the past decade, this study shows that the innovations realized through the public–private partnership process tend to be a series of design, construction method, and material selection choices primarily aimed at lowering project cost and risk. Conversely, more revolutionary innovations in terms of iconic architecture or substantial rethinking of the approach to public service delivery are not typically achieved through the public–private partnership process. The paper concludes by reflecting on the meaning of innovation in the infrastructure sector, and identifies the specific public–private partnership procurement processes that incentivize cost-saving ingenuities over more transformational innovations.

Suggested Citation

  • Michael Himmel & Matti Siemiatycki, 2017. "Infrastructure public–private partnerships as drivers of innovation? Lessons from Ontario, Canada," Environment and Planning C, , vol. 35(5), pages 746-764, August.
  • Handle: RePEc:sae:envirc:v:35:y:2017:i:5:p:746-764
    DOI: 10.1177/2399654417701430
    as

    Download full text from publisher

    File URL: https://journals.sagepub.com/doi/10.1177/2399654417701430
    Download Restriction: no

    File URL: https://libkey.io/10.1177/2399654417701430?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Annalisa Caloffi & Francesca Gambarotto, 2017. "Cognitive distance in public procurement and public–private partnerships: An analysis of the construction sector," Environment and Planning C, , vol. 35(5), pages 765-783, August.
    2. Roine Leiringer, 2006. "Technological innovation in PPPs: incentives, opportunities and actions," Construction Management and Economics, Taylor & Francis Journals, vol. 24(3), pages 301-308.
    3. Edler, Jakob & Georghiou, Luke, 2007. "Public procurement and innovation--Resurrecting the demand side," Research Policy, Elsevier, vol. 36(7), pages 949-963, September.
    4. Barlow, James & Köberle-Gaiser, Martina, 2008. "The private finance initiative, project form and design innovation: The UK's hospitals programme," Research Policy, Elsevier, vol. 37(8), pages 1392-1402, September.
    5. Philippe Aghion & Jean Tirole, 1994. "The Management of Innovation," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 109(4), pages 1185-1209.
    6. Eva I. Hoppe & Patrick W. Schmitz, 2013. "Public-private partnerships versus traditional procurement: Innovation incentives and information gathering," RAND Journal of Economics, RAND Corporation, vol. 44(1), pages 56-74, March.
    7. Miozzo, Marcela & Dewick, Paul, 2002. "Building competitive advantage: innovation and corporate governance in European construction," Research Policy, Elsevier, vol. 31(6), pages 989-1008, August.
    8. Athena Roumboutsos & St�phane Saussier, 2014. "Public-private partnerships and investments in innovation: the influence of the contractual arrangement," Construction Management and Economics, Taylor & Francis Journals, vol. 32(4), pages 349-361, April.
    9. Jurian Edelenbos & Geert R Teisman, 2008. "Public-Private Partnership: On the Edge of Project and Process Management. Insights from Dutch Practice: The Sijtwende Spatial Development Project," Environment and Planning C, , vol. 26(3), pages 614-626, June.
    10. Gil, Nuno & Miozzo, Marcela & Massini, Silvia, 2012. "The innovation potential of new infrastructure development: An empirical study of Heathrow airport's T5 project," Research Policy, Elsevier, vol. 41(2), pages 452-466.
    11. C. H. Nam & C. B. Tatum, 1997. "Leaders and champions for construction innovation," Construction Management and Economics, Taylor & Francis Journals, vol. 15(3), pages 259-270.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Veiko LEMBER & Ole Helby PETERSEN & Walter SCHERRER & Robert ÅGREN, 2019. "Understanding The Relationship Between Infrastructure Public‒Private Partnerships And Innovation," Annals of Public and Cooperative Economics, Wiley Blackwell, vol. 90(2), pages 371-391, June.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Nunzia Carbonara & Roberta Pellegrino, 2020. "The role of public private partnerships in fostering innovation," Construction Management and Economics, Taylor & Francis Journals, vol. 38(2), pages 140-156, February.
    2. Carlos Contreras & Julio Angulo, 2022. "Innovation and Tariff-adjustment Options in Public-private Partnerships," Hacienda Pública Española / Review of Public Economics, IEF, vol. 243(4), pages 51-81, December.
    3. Eva I. Hoppe & Patrick W. Schmitz, 2021. "How (Not) to Foster Innovations in Public Infrastructure Projects," Scandinavian Journal of Economics, Wiley Blackwell, vol. 123(1), pages 238-266, January.
    4. Athena Roumboutsos & St�phane Saussier, 2014. "Public-private partnerships and investments in innovation: the influence of the contractual arrangement," Construction Management and Economics, Taylor & Francis Journals, vol. 32(4), pages 349-361, April.
    5. Jonathan Labbe, 2021. "Study of The Relationship Between Public and Private Venture Capitalists in France: A Qualitative Approach," Post-Print hal-03381477, HAL.
    6. Mahavadi Dhanshyam & Samir K. Srivastava, 2021. "Governance structures for public infrastructure projects: Public–private management regimes, contractual forms and innovation," Construction Management and Economics, Taylor & Francis Journals, vol. 39(8), pages 652-668, August.
    7. Jonathan Labbe, 2021. "Study of The Relationship Between Public and Private Venture Capitalists in France: A Qualitative Approach," Papers 2110.09098, arXiv.org.
    8. Veiko LEMBER & Ole Helby PETERSEN & Walter SCHERRER & Robert ÅGREN, 2019. "Understanding The Relationship Between Infrastructure Public‒Private Partnerships And Innovation," Annals of Public and Cooperative Economics, Wiley Blackwell, vol. 90(2), pages 371-391, June.
    9. Lena Brogaard, 2021. "Innovative outcomes in public-private innovation partnerships: a systematic review of empirical evidence and current challenges," Public Management Review, Taylor & Francis Journals, vol. 23(1), pages 135-157, January.
    10. Chen, Xiaoyan & Locatelli, Giorgio & Zhang, Xinyue & Gong, Yunhao & He, Qinghua, 2022. "Firm and project innovation outcome measures in infrastructure megaprojects: An interpretive structural modelling approach," Technovation, Elsevier, vol. 109(C).
    11. Anthony E. Boardman & Matti Siemiatycki & Aidan R. Vining, 2016. "The Theory and Evidence Concerning Public-Private Partnerships in Canada and Elsewhere," SPP Research Papers, The School of Public Policy, University of Calgary, vol. 9(12), March.
    12. Schmitz, Patrick W., 2017. "Incomplete contracts, shared ownership, and investment incentives," Journal of Economic Behavior & Organization, Elsevier, vol. 144(C), pages 153-165.
    13. Cian O'SHEA & Dónal PALCIC & Eoin REEVES, 2019. "Comparing Ppp With Traditional Procurement: The Case Of Schools Procurement In Ireland," Annals of Public and Cooperative Economics, Wiley Blackwell, vol. 90(2), pages 245-267, June.
    14. Lauri Koskela & John Rooke & Mohan Siriwardena, 2016. "Evaluation of the Promotion of Through-Life Management in Public Private Partnerships for Infrastructure," Sustainability, MDPI, vol. 8(6), pages 1-23, June.
    15. Berardi, Umberto, 2013. "Stakeholders’ influence on the adoption of energy-saving technologies in Italian homes," Energy Policy, Elsevier, vol. 60(C), pages 520-530.
    16. Schmitz, Patrick W. & Kusterer, David J., 2018. "Government versus Private Ownership of Public Goods: Experimental Evidence," CEPR Discussion Papers 13204, C.E.P.R. Discussion Papers.
    17. Barlow, James & Köberle-Gaiser, Martina, 2008. "The private finance initiative, project form and design innovation: The UK's hospitals programme," Research Policy, Elsevier, vol. 37(8), pages 1392-1402, September.
    18. Manley, Karen, 2008. "Against the odds: Small firms in Australia successfully introducing new technology on construction projects," Research Policy, Elsevier, vol. 37(10), pages 1751-1764, December.
    19. Bossink, Bart A.G., 2004. "Managing drivers of innovation in construction networks," Serie Research Memoranda 0015, VU University Amsterdam, Faculty of Economics, Business Administration and Econometrics.
    20. Elisabetta Iossa & Federico Biagi & Paola Valbonesi, 2018. "Pre-commercial procurement, procurement of innovative solutions and innovation partnerships in the EU: rationale and strategy," Economics of Innovation and New Technology, Taylor & Francis Journals, vol. 27(8), pages 730-749, November.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:sae:envirc:v:35:y:2017:i:5:p:746-764. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: SAGE Publications (email available below). General contact details of provider: .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.