Public Private Partnerships for Transport Infrastructure. Renegotiation and Economic Outcomes

ITF Roundtable Reports present the proceedings of ITF roundtable meetings, dedicated to specific topics notably on economic and regulatory aspects of transport policies in ITF member countries. Roundtable Reports contain the reviewed versions of the discussion papers presented by international experts at the meeting and a summary of discussions with the main findings of the meeting.

This series has previously been known as:

+ ITF Round Tables
+ ECMT Round Tables

The International Transport Forum at the OECD is an intergovernmental organisation with 57 member countries. It acts as a think tank for transport policy and organises the Annual Summit of transport ministers. ITF is the only global body that covers all transport modes. The ITF is administratively integrated with the OECD, yet politically autonomous.Public-private partnerships (PPPs) are an important vehicle for private participation in infrastructure investment, delivery and management. Renegotiations are an integral part of the PPP process but their prevalence varies markedly in different parts of the world. Renegotiations can be usefully employed to adjust the PPP contract to unforeseeable events, beyond the control of contractual parties. There is also a danger, however, that they will be used to change the initial balance of costs and benefits in the contract.

The purpose of this report was to provide an overview of the nature of PPP renegotiations in different regions of the world and at different times to help understand when PPP contract renegotiations are desirable and when they are not. In general it is concluded that when contracts are set up well, renegotiations should be few and far between.

OECDiLibrary: Books: ITF Roundtable Reports http://www.oecd-ilibrary.org/transport/itf-roundtable-reports_25198785

OECD: Public Private Partnerships for Transport Infrastructure. Renegotiation and Economic Outcomes, February 2017 http://www.oecd.org/publications/public-private-partnerships-for-transport-infrastructure-9789282108130-en.htm

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