Public Private Partnership Policy.

The Public–Private Partnership (PPP) Policy establishes a legal and institutional framework to facilitate cooperation between the public and private sectors in the development of infrastructure and the delivery of services. It aims to enhance the quality and efficiency of public services, address investment gaps by mobilizing additional resources, and leverage private sector participation - particularly in terms of financing, innovation, and operational efficiency - in the provision and management of public assets and services. The document creates mutual benefits for both the public and private sectors, as well as its broader economic impact. For the public sector, PPPs enable the mobilization of private resources for the development, improvement, and maintenance of infrastructure. They also enhance efficiency in service delivery and facilitate the transfer of skills and expertise from the private sector. For the private sector, PPPs offer opportunities to invest financial and technical resources, while also introducing innovation and improved approaches to traditionally government-led processes. Additionally, PPPs support national development by improving service delivery, enhancing infrastructure, and stimulating economic growth. Recognizing these advantages, the Government acknowledges the important role of the private sector in these areas, which creates the need for a clear policy framework to guide the implementation of PPPs based on defined principles.
The Policy seeks to facilitate use of the PPP approach through (i) setting out broad principles for developing projects through PPPs; (ii) providing a framework for identifying, approving, structuring, awarding and managing PPP projects; (iii) standardizing some vital interpretations and processes so that a clear, consistent and common position is adopted and followed in key issues; (iv) ensuring value for money rationale is adopted with fair and optimal risk allocation in project structuring; (v) developing governance structures to facilitate competitiveness, fairness, and transparency in procurement.
Additionally, the Policy provides for the establishment of a PPP Unit within the Ministry of Finance with the following functions (i) assist line ministries and departments in identifying opportunities and conceptualizing PPPs in priority sectors; (ii) promote private sector participation in the creation of state assets and the delivery of improved services; (iii) provide guidance and support to line ministries and departments considering PPP arrangements; (iv) engage sector-specific consultants to support line ministries and departments; (v) manage and administer the consultants’ budget on a multiyear basis, independent of the normal budget cycle; (vi) serve as the technical secretariat to the committee responsible for approving PPP projects; (vii) maintain records of long-term commitments, including fees and other expenses arising from PPP implementation; (viii) ensure regular monitoring and oversight of projects by the respective line departments; (ix) act as the first point of contact in dispute resolution to facilitate amicable settlements; (x) mitigate risks to government by ensuring equitable allocation of risks; (xi) prevent future disputes by ensuring fair compensation for assumed risks; (xii) serve as the designated regulatory authority for PPPs.