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Public Private Partnerships Vs. Traditional Roads Project Delivery Time, Costs and Quality

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  • Ram Singh

    (Department of Economics, Delhi School of Economics)

Abstract

The Public Private Partnerships (PPPs) have become a mainstay of plans of the Centre and the State governments towards infrastructure development. In this article, we discuss the various considerations behind the rampant use of PPPs for infrastructure services. Next, we empirically examine a widely held belief that PPPs are better than the traditional approach towards infrastructure in that they can deliver superior quality infrastructure at a faster rate and lower costs. Using a dataset of 313 national highways projects, we compare the performance of the PPP and the traditional government (non-PPP) road projects. We show that the project delays are relatively short for PPPs, but the cost overruns are significantly higher for PPP roads than for the government managed road projects. The available evidence suggests that the quality of PPP roads is superior to the government roads. However, the overall quality of road services under PPPs is deficient on several counts.

Suggested Citation

  • Ram Singh, 2018. "Public Private Partnerships Vs. Traditional Roads Project Delivery Time, Costs and Quality," Working papers 290, Centre for Development Economics, Delhi School of Economics.
    • Handle: RePEc:cde:cdewps:290
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    References listed on IDEAS

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    1. Ram Singh, 2012. "Inefficiency And Abuse Of Compulsory Land Acquisition--An Enquiry Into The Way Forward," Working papers 209, Centre for Development Economics, Delhi School of Economics.
    2. Ram Singh, 2009. "Cost and Time Overruns in Infrastructure Projects: Extent, Causes and Remedies," Working Papers id:2281, eSocialSciences.
    3. Singh, Ram, 2011. "Determinants of Cost Overruns in Public Procurement of Infrastructure: Roads and Railways," India Policy Forum, National Council of Applied Economic Research, vol. 7(1), pages 97-158.
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    Cited by:

    1. 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.
    2. Gharad Bryan & Edward Glaeser & Nick Tsivanidis, 2019. "Cities in the Developing World," NBER Working Papers 26390, National Bureau of Economic Research, Inc.

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