Private Investment in Infrastructure and Public-Private Partnerships
Encouraged by the Sustainable Development Goals and the Financing for Development action agenda, governments around the world are turning to public-private partnerships (PPPs) in efforts to achieve a number of objectives, including the construction, operation and management of public infrastructure, management and use of natural resources, and provision of public services. While public-private partnerships may be a useful way to inject private capital into development objectives, experience to date demonstrates that not all such PPPs produce their anticipated benefits. Investment is often lower than anticipated and complications arise during implementation where, for example, the costs and benefits of projects are not adequately assessed or allocated, risks among parties are sub-optimally divided, and the procedures for addressing and resolving disputes have not been designed in a sufficiently transparent and effective manner.
Recognizing these challenges, CCSI is working to deepen and broaden understanding regarding the appropriate legal frameworks that can better ensure that PPPs result in high quality, accountable, and sustainable infrastructure and related services. Our work focuses on two main areas. First, we are conducting comparative research and analysis on governments’ domestic PPP frameworks and the types of approaches that can and have been used to produce successful PPPs in different sectors and activities. Second, we are reviewing and evaluating how international legal frameworks governing foreign investment might affect the use and outcomes of PPPs.
Following is our relevant work:
- Blog: PPPs and ISDS: A Risky Combination
- Co-submission to UNCITRAL Re: Revision of Legislative Guide on Privately Financed Infrastructure Projects (Public-Private Partnerships)
- Blog: UNCITRAL’s Legislative Guide Must Be Fit For Today’s PPPs
- Paper: The Impact of Investment Treaties on Governance of Private Investment in Infrastructure