Two-day International Meet on PPP Projects Begins

PPP projects can be successful if hurdles are removed before projects are announced

Published: 24th January 2014 08:04 AM  |   Last Updated: 24th January 2014 08:04 AM   |  A+A-


For successful execution of publicp-private partnership (PPP) the government should make a better preparation and clear all the hurdles before announcing projects, secretary in the Union department of public enterprises Kusumjit Sidhu has said.

Speaking at the inaugural session of a two-day international conference on ‘Public- Private Partnership: The Need of the Hour’, jointly organised by the Institute of Public Enterprise and the International Center for Promotion of Enterprises, Slovenia, here on Thursday, Sidhu said that the reasons for the failure of PPP projects in India were many and varied from poor preparation, flawed risk-sharing, inappropriate business models and fiscal uncertainties to vested interests leading to development of skewed qualification criteria.

“Though there are many success stories of PPP projects, of late it has been seen that due to various reasons the projects are getting delayed or not taking off. Factors such as risk sharing between public and private institutions, bottlenecks in land acquisition and regulatory issues are affecting private investment environment in PPP model,” she said.

Better preparation before bidding was necessary and the government should see that all the ground work properly done so that the project was completed without delay, she said. PPP projects, if planned properly, would lead to overall growth of different regions of the country, she said.

AP Industrial Infrastructure Corporation  vice-chairman and managing director Jayesh Ranjan said there was need to review the policy and approach governing PPP projects. “Though many PPP projects have been successfully implemented in the country, issues like technical data availability and quality, ill-equipped consultants, selection process, etc., are causing problems,” he said.


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