Improving Risk Sharing and Investment Appraisal for PPP Procurement Success in Large Green Projects

Almarri, Khalid; Blackwell, Paul G.

doi:10.1016/j.sbspro.2014.03.095

Cited by 42 publications

(34 citation statements)

References 7 publications

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“…The key characteristic leading to the proliferation of the method was transferring of the project development cycle. This consisted of funding, planning, constructing, managing, and maintaining the projects by private investors who are expected to run them in a better manner and for a specified period of time only (Almarri and Blackwell, 2014;Broadbent and Laughlin, 2003;EU, 2003). PPPs are primarily comprised of concessions or private finance initiatives.…”

Section: Public Private Partnershipsmentioning

confidence: 99%

Critical Success Factors for Public Private Partnerships in the UAE Construction Industry- A Comparative Analysis between the UAE and the UK

Almarri¹,

Abu-Hijleh²

2017

EPPM-Journal

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Procurement instruments by Public Private Partnerships (PPP) have shown their amazing capacity in procuring public works from around the globe. Their success rate has been immense as they are known to bring efficiency, quality, innovation, experience, funds, and most importantly, the art of risk sharing to developed projects. This research aims to pinpoint the critical success factors (CSFs) that are needed to implement PPPs in transitional economies. We have taken UAE as a case study and will be comparing its results with that of the UK"s; a developed country. Relevant data was collected through a questionnaire to establish the PPP critical success factors for the each of the two countries. In this questionnaire, data was collected from 30 participants residing in the UAE and 62 participants residing in the UK. A comparative analysis between the results of the UK and UAE showed a great deal of similarity between the two in PPP practice trends in the critical success factors. Both countries ranked the same nine factors as the most significant ones out of the eighteen critical success factors for implementing PPPs. These factors were commitment of public and private parties, appropriate risk allocation, committed and competent public agency, transparent procurement process, strong private consortium, competitive procurement process, political support, detailed cost/benefits assessment, and good governance. Whereas, the major differences were related to local financial market, macroeconomic conditions, and favourable legal framework. The findings were validated through a small sample of practitioners using the Partnering Performance Index, and were found to be comprehensive, objective, reliable, practical, replicable, and adaptable.

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Section: Public Private Partnershipsmentioning

confidence: 99%

Critical Success Factors for Public Private Partnerships in the UAE Construction Industry- A Comparative Analysis between the UAE and the UK

Almarri¹,

Abu-Hijleh²

2017

EPPM-Journal

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“…IC gives the opportunity to self-interest party to make more money from it (opportunistic behaviour) by way of refusing to cooperate, initiate renegotiation, moral hazard, adverse selection, and others. Although Guasch (2004) and Athias and Saussier (2010) stated that renegotiation can give positive implications to the project, however Marques and Cruz (2013 as cited in Almarri & Blackwell, 2014) believed that it could lead to major contract failure and risking the value for money they want to achieve. In addition, there will be extra cost and time to conduct renegotiation (Bajari et al, 2014).…”

Section: Problem Statementmentioning

confidence: 99%

Pros And Cons Of Incomplete Contract In Private Finance Initiative (Pfi) Project

Farihah¹,

Fairullazi²,

Khairuddin³

et al. 2019

The European Proceedings of Multidisciplinary Sciences

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A contract is incomplete when it did not clearly spell out among others the parties' responsibilities and duties for all realised contingency and it contain loophole, some provisions being left out, and the wording used contain element of vagueness. Incomplete contract is said to be inevitable especially for projects with lengthy contract period, a lot of risk and/or uncertainty, such as Private Finance Initiative (PFI) projects. IC has both its PROs (positive) and CONs (negative) implications. Flexibility to deal with uncertainty when it arises is the PROs of IC while the CONs are inefficiencies and costs, contract amendment and others. PFI is among the key alternative procurement used in Malaysia. However, there has been criticism about PFI e.g. lopsided contractual agreement, absence of robust and transparent agreement, and vagueness in terms of sustainable element. Based on the issues mentioned, it is therefore, significant to carry out this research to assess the PROs and CONs implications of IC in PFI projects. Research method begin with literature review and followed by two rounds of Modified Delphi method. 18 and 13 panellists involved in the MD. The results from the research have identified eight (8) PROs and six (6) CONs. Findings of the research are significant for the improvement of future PFI project whereby PFI stakeholders can come out with proper action to deal with implications of IC.

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“…For instance, by employing AHP and fuzzy comprehensive evaluation, the authors conceived financing risk evaluation model aimed for all phase of PPPs including building, operating and transferring stage [11,12]; also, to obtain the probability of PPPs' financing risk, some researchers employed the method known as Monte Carlo simulation for probability analysis [13]; and some introduced influence diagram method based on Bayesian theory of conditional probability for the assessment of PPP financing risk [14]; besides, there were authors adopted artificial intelligence algorithms for PPP project financing risk assessment [15,16].…”

Section: Literature Reviewmentioning

confidence: 99%

Financing Risk Analysis and Case Study of Public-Private Partnerships Infrastructure Project

Chen

Yuan

2016

Proceedings of the 20th International Symposium on Advancement of Construction Management and Real Estate

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This paper focused on establishing a financing risk assessment model and choosing two projects as case studies. Firstly, on the basis of reviewing the relevant studies, this paper identified six financing risk levels by employing the method of content analysis, these were political risks, social risks, financial risks, construction risks and operational risks. And the six risk levels contained seventeen risk factors including government stability, government guarantees, government credit and nationalization etc. Consequently, the article designed an analytic hierarchy structure of PPPs financing risks. By combining project marking sheets with the computed weights of seventeen risk factors, the authors built a financing risk accessing model. After that, an empirical contrast study between Beijing Subway Line 4 and Indian Dabhol Power project was taken. Finally, the paper put forward some suggestions useful to the successful implementation of PPPs projects.

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Improving Risk Sharing and Investment Appraisal for PPP Procurement Success in Large Green Projects

Cited by 42 publications

References 7 publications

Critical Success Factors for Public Private Partnerships in the UAE Construction Industry- A Comparative Analysis between the UAE and the UK

Critical Success Factors for Public Private Partnerships in the UAE Construction Industry- A Comparative Analysis between the UAE and the UK

Pros And Cons Of Incomplete Contract In Private Finance Initiative (Pfi) Project

Financing Risk Analysis and Case Study of Public-Private Partnerships Infrastructure Project

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