Comparative performance of PPPs and traditional procurement in australia

Abstract

Empirical research comparing projects procured as public-private partnerships (PPPs) with other methods of procurement is important because Australian governments plan to spend $320 billion on infrastructure over the next decade and PPPs are perceived to be an appropriate form of delivery. Estimating cost and risks in Australian capital projects is often characterized by optimism bias-the tendency to be overly optimistic about planned actions-and is too often based on insufficient historical data on which to make decisions. Given this broad context it is important to begin to understand in detail how PPPs have performed against other forms of procurement. To achieve this, a detailed stud..