Question 3GS3GS3
Public-Private Partnership as new model for infrastructure development where private sector collaborates with public one.
Main Body
Public-Private Partnership is new model for infrastructure development where private sector collaborate with public one. BOT (Build-Operate-Transfer) --- Different --- EPC (Engineer Procurement Centre) Hybrid Annuity --- models DBOT (Develop Build Operate Transfer) Role of PPP as Investment Model: (1) Brings efficiency: by collaboration with private sector. eg PPP for Expressway of Bundelkhand. (2) Foster Innovation: due to inculcation of new talents, skills eg Modernization of food parks.
3Reduce burden of government: it can focus now more on human capital development. (4) Timely Completion of project due to effective management. (5) Risk-Sharing thus attracts private sector. (6) Brings investment for capital intensive infrastructure projects. (7) Reduce Crowd-out due to involvement of public sector. Not a panacea for projects: (1) Regulatory chokeblock: delaye the project as land-requirement delay in environment clearance. (2) Existing bottlenecks: due to lack of land-title issue.
3Legal Measures: Forest Rights Act, PESA and land acquisition and rehabilitation act lead to delay. (4) Lack of Development Finance Initiative for long term investment to PPP (5) Delay in government disposal of fund → demoftuate private sector. (6) Collusion in project allocation hamperes development. Ujjay Kelkar Committee/recommendation: (1) form National PPP adjudication authority for projects. (2) Streamline regulation for faster stage of projects. (3) discourage Swiss Model. This will help in achieving economy of 5T-trillion by 2030.
219 words1 paragraphs
Diagram
Diagram showing PPP models: BOT, EPC, DBOT, and Hybrid Annuity
Topper
Mansi Singh
AIR 126
Subject & Paper
GS3GS3
Topic
Land Reforms, Liberalization, Infrastructure & Investment
Investment Models
Public-Private Partnership
Writing Stats
219
Total words
1
Paragraphs
analytical
Tone