Practices

Ex-post assessment of Public Private Partnership: a guide for public authorities

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The purpose of this report is to help public authorities who are responsible either for implementing and monitoring Public Private Partnerships (PPPs) or for devising PPP policy to define and plan ex-ante those performance indicators that will demonstrate that the objectives of the PPP have been accomplished, together with the data required as supporting evidence.

 

At some stage during the life of a PPP contract it is likely that an independent body will seek to determine whether or not the project delivered as a PPP is performing as expected and that public resources have been used wisely. An European PPP Expertise Centre (EPEC) review of international case studies has found that a lack of adequate evidence of sufficient quality means that, when such ex-post assessments of PPP projects are made, these independent bodies are frequently unable to be conclusive as to the success of the PPP project – either the underlying investment project (an ‘intervention’) or as a process for realising the investment as a PPP. These bodies also often claim that PPP projects lack transparency in offering data and information and it is therefore simply not clear whether PPP projects and PPP programmes have achieved their planned objective. Consequently, many review bodies find that the reported outputs and outcomes of PPP projects are no better (or worse) than those for projects not delivered as a PPP.

 

The absence of defined ex-ante objectives in many of the case studies highlights the need for Contracting Authorities to spend time in the project preparation phase defining and recording the expected outputs and outcomes. These are best defined with clear, measureable performance indicators that can demonstrate, in the future, that the contract has performed successfully (or otherwise).