PPPmehhanismidest
PPP mechanisms refer to a family of contractual and financial arrangements between the public sector and private entities used to deliver public infrastructure or services. They are designed to leverage private-sector capital and expertise while maintaining public oversight and long-term accountability. Common features include long contract durations, explicit risk allocation, performance-based payments, and the possibility of asset transfer or ongoing private operation.
Forms and variations vary by jurisdiction but typically include concessions, design-build-finance-operate (DBFO/DBFMO), design-build-operate (DBO), and build-operate-transfer
Procurement usually involves a competitive bidding process designed to compare lifecycle costs and assess value for
Advantages often cited include improved efficiency, faster delivery, and access to private capital. Criticisms focus on
PPP mechanisms are used across sectors such as transport, water, health, and energy, and their design reflects