Michael McGrath (Cork South Central, Fianna Fail) | Oireachtas source

Public private partnerships are partnerships between the public and private sectors for the purpose of delivering a project or service. This is an internationally recognised model to design, build, finance, operate and maintain public infrastructure.

Some of the advantages associated with PPPs include the fact that they allow the public sector to avail of private sector expertise and innovation and the private partner assumes responsibility for a considerable portion of the risk. The contracts tend to be long-term arrangements, typically spanning 25 years or more. A senior-level interdepartmental agency group was established to review Ireland's experience of PPPs and make recommendations on the future role of PPPs in the context of the development of the existing national development plan. The key findings and recommendations of the PPP review were made public and summarised in section 2.2 of the NDP and further detailed in section 6.7 of the plan. The full report outlining the findings of the group was published on the ppp.gov.iewebsite in 2018. In essence, the report found that PPPs have proven to be a useful element in facilitating the delivery of important public infrastructure projects.

The new programme for Government was adopted in late June 2020 and included a commitment to review the national development plan. As part of the preparations for the review, the recommendations of the expert group on PPPs, which informed the current NDP, have been revisited and updated. A summary of this updated PPP review has been published in the Phase 1 report and the full findings were published on 16 April. Broadly, the review finds that the PPP policy framework continues to be robust and that the current guidance on the use of PPPs remains fit for purpose with a track record of successful delivery. It includes examples of successful risk transfer to the private partner. Departments will continue to evaluate projects for suitability for PPPs in line with the 2018 review and value for money will remain the main driver of PPPs if they are chosen.

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