PPP Development Stage – Defining Ojectives
6.3 What are the key issues?
Include all objectives
Objectives that can be described in terms of one selected goal,
such as “improved efficiency”, provide only a limited
description of what can and should be achieved.
A comprehensive approach helps municipalities to determine
what is possible and impossible. Many past initiatives have
focused really on fulfilling only a few objectives. By
stressing the need for increased capital investment and improved
efficiency to meet the environmental and physical objectives of
service delivery, effort has generally been biased towards economic
and financial objectives. Traditional forms of public–private partnerships
have prioritised such objectives over the social, political and
institutional objectives that are nevertheless equally important
aspects of sustainable service delivery.
Diverse and changing objectives
Objectives will occur at various levels, and will be expressed
in different terms. They also change over time, and often
change as capacity increases. Objectives will also vary across
the stakeholder groups: the urban poor (as consumers or informal
service providers), municipal administrators and politicians,
government representatives, and external agents (such as donors
and NGOs). Thus, a certain level of flexibility should be predicted
in the PPP. [Tool 19]
There is never just one municipal objective, and it is unlikely
that one solution could meet the requirements of all the
Convergence with urban poverty
An important issue will be ensuring service objectives converge
with poverty reduction objectives (if these are already defined).
Project value assessment
It is worth pointing out that PPP projects bring about a number
of different benefits: economic, social, technical and so
on All possible benefits (values) need to be taken into account
when considering a project in a certain service area:
- Financial benefits, via private sector investments;
- Technical benefits, via influx of new technology and know-how;
- Social benefits, via new employment opportunities, better
service quality and accessibility and so on.