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TitleSpecial evaluation study on ADB assistance for public-private partnerships in infrastructure development : potential for more success
Publication TypeMiscellaneous
Year of Publication2009
AuthorsFeig, H, Finlayson, B
Paginationix, 65 p. + 4 p. annexes : fig., tab.
Date Published2009-09-01
PublisherAsian Development Bank
Place PublishedManila, Philippines
Keywordsevaluation, financing, funding agencies, government organizations, infrastructure, partnerships, policies, private sector, sanitation, sdiman, water supply
Abstract

Two-thirds of water transactions approved by the Asian Development Bank's Private Sector Operations Department (PSOD) had to be cancelled due to disputes between project promoters and authorities, limitations of the build-operate-transfer modality, and unresolved tariff issues. This special evaluation study concludes that this highlights PSOD’s particular difficulties in identifying viable transactions in this sector despite numerous attempts to become more engaged. Opposition to change and fear of consequences (job losses, higher tariffs, loss of political control) and resistance by non-governmental organisations (NGOs) opposed to private sector entry have thwarted many attempts to introduce public-private partnerships (PPP), particularly in the water sector. The development of PPPs was also derailed in several countries, e.g., Indonesia, Nepal, and Sri Lanka, due to changes in (local) government commitment. Sustained political will and support of key stakeholders is therefore seen as the ultimate determinant of PPP success. ADB's support for public-private partnerships (PPPs) in infrastructure development in general was rated successful.

NotesIncludes references
Custom 1202.2, 302.2

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