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Establishing a PPP Framework

21.5 Choice of Legal and Administrative Instruments to Create PPP Framework

To be effective, PPP frameworks need to be documented. They also have to have some enforcement mechanisms. Governments need to make the following decisions.

  • How will the PPP framework be made binding on government officials?
  • How will the PPP framework be communicated to all stakeholders?
  • What will give legal force to PPP agreements?

How frameworks are documented and given force varies widely between jurisdictions. In some cases, PPP frameworks are enacted as laws. In others, they are put in policy documents and manuals which the government commits to follow. Just as importantly, PPP frameworks do not stand alone: they build on, and incorporate, many pre-existing public sector management frameworks. These typically include public procurement and financial management frameworks.

Some historical context is provided below to understand the choices that different jurisdictions make regarding the laws or other documents governing PPPs. This is followed by a discussion of how governments embody their PPP frameworks in laws and administrative documents. A description follows as to how these frameworks inevitably incorporate and build on existing public sector management frameworks.

 

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