Letter From The Minister Of Finance
In line with the Government's strategy to promote and increase the private sector involvement in the country's economic and social development plan- particularly in the area of public utility services- the Government has taken the initiative to introduce the Public Private Partnership program (PPP).
The “partnership” is in essence a way of public services provision whereby the Government contracts with private sector companies to build finance and operate infrastructure for public services or for its own use. At the end of the contract the infrastructure passes to State ownership increasing the stock of public assets
PPP’s introduce the disciplines and efficiencies of private sector management and methods to the provision of public services. Experience from other countries now points to significant advantages in terms of cost, value and quality of the delivered services. Such participation aims at improving the quality of services provided to citizens, alleviating the burden on the State budget without affecting the state ability in providing services at fair social prices, creating job opportunities, stimulating investment and consumption thus boosting growth, attracting FDI’s, and others.
Throughout a PPP the Government’s retains close control over the delivery of the specified level and standard of services. Where core social services are involved (such as teaching, medical care) these will be retained by the public sector professionals. The Government is expecting a higher quality of service delivery from PPP’s. Policies on free access and user charges, however, will be the same for facilities provided under PPP’s or by normal methods. For the reasons above and because PPP’s open up new channels of finance, the Government will have more latitude in bringing forward its investment program. This in turn will open up opportunities for the domestic contracting and financing sectors, including smaller contractors who are expected to benefit considerably from the program.
Affirming the government seriousness to activate the PPP initiative, a PPP Central Unit was established within the Ministry of Finance and reporting directly to the Minister. The Ministry of Finance PPP central unit is charged with co-coordinating the PPP national program across ministries and public bodies. The last period have witnessed the intensification of contacts with line ministries, other government bodies and with the private sector to activate this initiative and support the Central Unit in the Ministry of Finance to line ministries on all forms of PPP projects.
PPP is a complex process but with proper and experienced management can deliver projects to the benefit of all. The PPP Central unit here at The Ministry of Finance has produced Booklets to provide brief idea on this National program, for the government strategy execution and the benefits arising from the implementation of this program. This Booklets is a useful tool for establishing whether PPP is a promising solution.