Seminar on “Economics of Public Private Partnership”

Date: 28th August 2010
Speaker: Mr. Sumit Barua, CFA
Designation: PPP Expert, Asian Development Bank Ltd

An evening seminar was organized at New Delhi and Mr. Sumit Barua, CFA delivered a talk on “Economics of Public Private Partnership”.  The topics covered in the presentation were introduction to Public Private Partnership (PPP), global scenario in PPP, how to do a PPP project, policies involved, role of government and private sector in PPP and value for money.

The presentation of Mr. Barua was divided into four broad categories as follows-

• Introduction to PPP
• PPP project monitoring
• PPP project preparation
• Market engagement in PPP

There is no single definition of Public Private Partnership (PPP).  Every country’s approach to PPP is designed to meet its policy objectives.  However, there are three basis essentials of any PPP namely

• Legal contract to deliver a project
• Implementation, operation  and management of project
• Allocation of resources, risk, rewards and responsibilities

Mr. Barua also highlighted the importance of monitoring in any PPP project.  He also briefed the audience on Planning Commission guidelines on monitoring framework of a PPP project.

In second half of his presentation on market engagement in PPP, he briefed about various stages involved in PPP project development process.  Broadly, there are following three different stages involved in PPP project development-

• Project development phase
• Qualification stage
• Selection of private partner