The world is changing. The wealth of nations is shifting. We can no longer afford to continue to waste money on things we don’t need while neglecting the very essentials of our prosperity. There is an enormous backlog of infrastructure that needs to be repaired and new infrastructure requirements that need to be met if we are to assure a future for our children. There are also global sustainability challenges that will require a collective summoning of resources across borders and across the public/private divide if we are to maintain the viability of our planet. Public Private Partnerships, or as they are commonly referred to, P3, represent a model for managing long-term development that can contribute enormously towards achieving public policy goals around the world by mobilizing the best skills, discipline, financial capacities and risk management from the private sector to efficiently deliver public assets and services.
Through P3, long-term private investment can be used to substitute for increasingly precious public money at a time when public authorities need to make the most of every cent, centime, or kopek they have left. It creates a transparent and predictable schedule for long-term repayment of the private investment that fits the structural needs and investment profiles of institutions around the world responsible for matching life insurance liabilities, safeguarding future pension payouts or sustaining university endowments, and tackling the demographic challenges of the future. Finally, well-structured programs of P3 investments can and are being used to counter some of the worst effects of recession by maintaining long-term investment spending and creating well-paid private sector jobs at a time when unemployment represents a significant near-term challenge in many countries. In short, PPP is a model whose time has come.
P3 Planet.com is a website, blog, and forum for presenting views and ideas about the use of public private partnerships for investments and for the delivery and maintenance of essential public assets.
It is open to anyone in the public and private sector around the world who is interested in learning or sharing knowledge about this model for procurement.
Henry Teitelbaum, who is solely responsible for the content, is reachable by e-mail at email@example.com