PPP/P3

The acronym PPP (or P3 as it is often known) stands for "Public-Private Partnerships".

Within Canada it is a relatively new form of procuring and financing large public infrastructure but is rapidly becoming the method of choice.  It is a long-term performance-based approach whereby the private sector assumes a major share of the risks in terms of financing and construction and ensuring effective performance of the infrastructure.  The private sector involvement will include the design, planning, construction and long-term maintenance.

Benefits

The positive aspects of this form of development of the infrastructure include:

• The government bodies procuring the infrastructure do not pay for the project until it is built;
• Infrastructure projects can be progressed without the full construction costs to hand, thus allowing accelerated development;
• A large portion of the cost is paid over the life of the asset subject to its proper maintenance and ongoing performance;
• Costs are known upfront and are spread across the lifetime of the P3 contract (usually a period of some decades), which means that the governing bodies (and therefore the tax-payers) are not liable for delays, overruns in cost or performance issues over the life-cycle.

Quants Experience

PPP has been successfully employed in the UK for many years.  Quants UK involvement with such types of development means that we have practical experience and understand the particular intricacies.

Quants has direct experience of administering PPP projects within Canada.

For more information e-mail: info@quants.ca