Public Private Partnership-Negotiating & Managing PPP

Introduction

Public-Private Partnerships (PPP) play a crucial role in enhancing infrastructure and driving economic development. This course aims to equip participants with the skills to effectively analyze and evaluate project proposals, apply best practices in procurement, and understand how to manage contractual disputes. The course will also focus on strategies to maintain public and political trust, ensuring the long-term success of partnerships through effective contract management.

Course Objectives

• Analyze and evaluate project proposals to decide whether they are suitable for PPP.
• Apply best practice in procurement, promoting transparency, fairness and "bankability".
• Understand where contractual disputes are most likely to arise, and how to deal with them.
• Decide how best to respond to problems, and how to rescue a PPP.
• Determine how to secure and maintain political and public confidence in PPP.

Course Outlines

Day 1: PPP IN A GLOBALLY COMPETITIVE MARKET

• PPP and the "infrastructure gap".
• Global Competition for Funds and Expertise.
• PPP vs. Privatization – dispelling the myths and misconceptions.
• PPP Models and Structures.
• What makes a "bankable" PPP?
• Using PPP for Social Benefit and Economic Empowerment.
• Lessons from around the world - What can we learn from successful and failed PPPs?

Day 2: THE BENEFITS OF A STRONG PPP UNIT

• PPP is one approach, not the only approach.
• Feasibility and Project Evaluation.
• Assessing and Managing demand risks.
• Community and Stakeholder Engagement - dispute avoidance, not dispute resolution.
• Principles of Good PPP Procurement.
• Dealing with unsolicited Project Proposals.

Day 3: DRAFTING AND NEGOTIATING PPP CONTRACTS

• The Anatomy of a PPP.
• Parties, Roles and Structures.
• Regulating Assignment and Change of Control.
• Governing Law and Jurisdiction.
• Insurance and Guarantees.
• Specifications, Deliverables, Service Levels and KPIs.
• Using Payment Mechanisms to Incentivize and Enforce Performance.

Day 4: MANAGING CRITICAL EVENTS IN PPP

• Termination for Cause.
• Termination for Convenience or National Interest.
• Compensation and Orderly Termination.
• Rescuing a PPP: Exercising Step-in or Substitution Rights.
• Force Majeure or Relief Events - keeping your PPP on track.

Day 5: CONTRACT MANAGEMENT TO ENSURE LONG-TERM SUCCESS

• Understanding where Disputes are most likely to arise.
• Monitoring Performance and ensuring actionable data.
• Understanding Dates, Deadlines and Contractual Formalities.
• Understanding and Avoiding the Risk of Wrongful Termination.
• Managing Contractual change Mechanisms, Variation and Renegotiation.