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Econamy report - Essay Example

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This difference is more dominant in their culture other than anything else. Public organizations are more bureaucratic in their systems as compared to private organizations (Quiggin, 1996). Therefore it is…
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Econamy report

Download file to see previous pages... The lack of coordination and differences in structure has caused some expensive problems over the years. Therefore a need arises for an organization which can improve this coordination between these partnerships. As mentioned this is a complex task of bringing two very different systems together in an efficient manner (Quiggin, 1996). That is why it is imperative that such an organization should be a PPP itself, so it could understand the delicacies of issues arising from such partnerships. Partnership UK is such an organization which has the sole purpose of making these PPP more successful. Being a PPP itself it can better understand the issues involved in Private Public partnerships.
Private public partnerships have been given many names over the years and similarly their functions have varied across geography and time. These ventures can be called PPP or P3 etc. In essence private public partnerships are joint venture between government organizations and private bodies. These bodies are funded jointly by these two sectors. Usually these joint ventures take shapes of contracts between private parties and public sector organizations (Quiggin, 1996). Private parties provide services for the public sector and assume substantial financial operational and technical risk for the project. These contracts can be many forms, shapes and sizes. In some contracts service costs are not borne by the government and users are liable to pay for service use (Quiggin, 1996). In other agreements the government is liable to provide most or all of the cost being spent on a project. In other PPP projects private sectors makes the initial capital investment but the government or public sector is bound by contract to purchase services from the private sector. Another notable aspect of these projects is grants or subsidies given by the public sector to the private sector. These can be one time grants where a lump-sum amount is paid ...Download file to see next pagesRead More
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