Roles of Private-Sector Partners in Transportation Public-Private Partnership Failures

Soomro, Mohsin Ali; Zhang, Xueqing

doi:10.1061/(asce)me.1943-5479.0000263

Cited by 92 publications

(57 citation statements)

References 8 publications

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“…They highlighted the problem of exclusion of the public sector client in PPP projects. Although Bjärstig [14] claims that cooperation is a promising mechanism for managing stakeholder conflicts, Soomro and Zhang's [21,22] indicated that conflict of interest is a key PPP failure driver. Schepper, Dooms, and Haezendonck [11] confirmed that stakeholder problems emerge because of the imbalance of reactive and proactive stakeholder management.…”

Section: Public-private Partnership (Ppp) In the Context Of The Stakementioning

confidence: 99%

“…We would like to contribute to this discussion [16][17][18][19] as well as shed some more light on the reasons for PPP success as well as failure. Although the National Audit Office [20] states that a dramatic drop in both the number and the capital value of new PPP projects in the United Kingdom has been determined by the financial crisis and the increased costs of private finance, the complex relationships in PPP have been reported as one of the main reasons for a PPP failure [21][22][23][24]. Among others, Schepper et al [11] claim that there is a gap between PPP stakeholders expectations and the outcome of the project which determines the project success, and Guarini and Battisti [10] state that processes implemented through PPP need balance between public and collective interests.…”

Section: Introductionmentioning

confidence: 99%

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Understanding of Public–Private Partnership Stakeholders as a Condition of Sustainable Development

Wojewnik‐Filipkowska

Węgrzyn

2019

Sustainability

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The strategic goal of city management is to ensure its sustainable development which requires a balance of rare resources. From the operational perspective, namely projects implementing sustainable development, the balance refers to human resources. They can be classified into the public or private sector and their cooperation is known as Public–Private Partnership (PPP). Building on the concept of sustainable development and stakeholder theory, the research develops a conceptual framework of stakeholder analysis in PPP projects. More generally, the research aims to contribute to a theoretical understanding of the determinants of sustainable city development and PPP success factors. The research claims that the PPP procurement is consistent with sustainable urban development and the PPP model, accompanied by the stakeholder theory, requires evaluation which balances diverse stakeholders’ interests along the triple bottom of sustainable development. The conceptual framework combines stakeholder attributes of preferred benefits and power and urgency. It includes a time and scope perspective. The research has a descriptive but also a normative character as the framework could be helpful to understand and engage stakeholders in sustainable urban development. The developed framework can be considered for the future construction of a model that can be implemented and tested. This theoretical research is based on a literature survey, applying methods of critical analysis and construction. The innovative approach of the research is based on integrated application of already known concepts of sustainable development, stakeholder theory, and Public–Private Partnership, which are all necessary to create a new approach to management of city development consistent with the known facts.

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Section: Public-private Partnership (Ppp) In the Context Of The Stakementioning

confidence: 99%

Section: Introductionmentioning

confidence: 99%

Understanding of Public–Private Partnership Stakeholders as a Condition of Sustainable Development

Wojewnik‐Filipkowska

Węgrzyn

2019

Sustainability

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“…Under this condition, three logics are identified from the literature on government opportunistic behaviours in PPP projects. First, the poor decisionmaking in the prophase of PPP projects could increase the probability of contract implementation considering the low professional skills in market estimation, project approval, procedure process, and other preparations [92,116,117]. Second, the lack of operational experience causes inefficient management [109,115,118,119], and LPSs need a scientific performance appraisal system as a payment basis in Government-Pay PPP projects.…”

Section: Objective Limitationmentioning

confidence: 99%

Credit Default of Local Public Sectors in Chinese Government‐Pay PPP Projects: Evidence from Ecological Construction

Yang

Song

Xing

2019

Advances in Civil Engineering

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Credit is regarded as a key factor to maintain the sustainability of cooperation between public authorities and social capitals in Government-Pay Public-Private Partnership (PPP) projects. The credit default of local public sectors has become a formidable force to cause termination in several cases. The study aims to explore the critical conditions and main logics behind opportunistic behaviours through literature analysis. In this research, political performance, fiscal illusion, subjective willingness, and objective limitation are identified as four certain conditions. Additionally, the crisp-set Qualitative Comparative Analysis (csQCA) method is applied to determine the connections between conditions and the credit default in the Chinese Government-Pay PPP projects according to 15 cases from the field of ecological construction. Consequently, two combinations with complete sufficiency leading to severe extent of credit default are categorized. The configuration of political performance and fiscal illusion is dominant, thereby causing severe extent of credit default in the preimplementation link. Correspondingly, the configuration of subjective willingness, objective limitation, and nonpolitical performance is crucial in the implementation and postimplementation links. Moreover, fiscal illusion alone could be totally sufficient to lead to a termination. This research not only enriches the theoretical system on credit default of public authorities in Government-Pay PPP projects but also provides reference for all participants to forecast the potential risks especially the credit default in PPP projects.

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“…The Philippines successfully awarded 16 PPP contracts worth $6.4 billion since 2010 including airports, toll roads, education buildings, and water supply. In Thailand, there are 44 PPP projects ranging from transportation and logistics, utilities, opportunities [23,24]. In Southeast Asian countries such as Malaysia, Thailand, and the Philippines, PPP is expected to provide services previously unavailable and reduce monopoly and corruption through transparent procurement mechanisms [25][26][27].…”

Section: Introductionmentioning

confidence: 99%

Exploring Public–Private Partnership Scheme in Operation and Maintenance Stage of Railway Project

2019

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Public–private partnership (PPP) has been extensively used in many sectors worldwide to provide alternative funding for public infrastructure. However, limited evidence found that this scheme was successfully adopted in railway transport particularly in the later stage of the project life cycle. Private participation during operation and maintenance stages are worthy of comprehensive research to cope with recovery of public investment and institutionalization problems. This research aims to analyze the potential of unbundling scenarios based on railway components by taking into account the Light Rail Transit (LRT) project in developing countries as the case study. A life cycle cost evaluation and sensitivity analysis were used to formulate a practical and regulatory framework for the macro-level of decision-making modeling. The findings indicate a possible scenario by considering the passenger demand, ticket price, and government support to generate the best option based on net present value (NPV) and internal rate of return (IRR). The proposed alternative recommends an attractive investment return for private interest, encourages lower support for government subsidy, and offers a reasonable tariff for the users. The study also suggests future implications from the adoption of research findings which may affect policy formulation and railway industry as a whole.

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Roles of Private-Sector Partners in Transportation Public-Private Partnership Failures

Cited by 92 publications

References 8 publications

Understanding of Public–Private Partnership Stakeholders as a Condition of Sustainable Development

Understanding of Public–Private Partnership Stakeholders as a Condition of Sustainable Development

Credit Default of Local Public Sectors in Chinese Government‐Pay PPP Projects: Evidence from Ecological Construction

Exploring Public–Private Partnership Scheme in Operation and Maintenance Stage of Railway Project

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