Investment via Public-Private Partnership (PPP)
Public-Private Partnership (PPP) has been becoming an increasingly popular model of project implementation in all over the world. That is a means of carrying out public tasks by combining the action of public authorities and private capital and recent know-how within a frame of suitable financial models and selecting the best -the convenient and the capable- partners for a very long-term agreement. PPP frameworks comprise complicated commercial arrangements that call for attaining a balance between rewards, risks and responsibilities and each infrastructure project is unique in its own respect and requires a customized solution that involves step-by-step analysis and planning, competent execution of transactional aspects and consistent accomplishment of performance benchmarks. The ultimate point through this partnership is to deliver outstanding solutions spanning across projects like funding of new roads, upgrading mass-housing, building schools, modernizing hospitals, improving rail services and customizing other substantial public needs.
The Private Finance Initiative (PFI) is a way of creating “public–private partnerships” (PPPs) by funding public infrastructure projects with private capital. This term usually is being used in United Kingdom instead of term of PPP .
Public-Private Partnership (PPP) in TURKEY
Turkey’s PPP Unit is based in the Ministry of Development (MoD). Existing procurement rules are aligned with EU directives and follow the principles of transparency, fairness, competition and efficiency; however, the structure of the existing PPP-specific legislative framework lacks a consistent approach to PPPs. Although the legal and regulatory framework allows several types of PPPs, the range of permitted models is limited and does not allow schemes such as Design, Build, Finance and Maintain/Operate. Since a draft PPP law seeking to address some of these shortcomings has not yet been enacted, some ministries have taken their own steps toward implementing PPPs. For example, a new piece of legislation has been enacted recently covering the Ministry of Health’s PPP agenda. Generally speaking, Turkey’s PPP legislations requires a coordinated approach to PPPs across sectors and flexibility in the types of PPPs allowable.
As of 2015, numerous PPP projects – many of which were greenfield projects – were implemented in the energy, transport, and water and sewerage sectors in Turkey. Most projects are delivered by national authorities due to a lack of capacity at the sub-national level as well as a lack of clear legislative power for municipalities to plan projects.
PMGLOBAL PPP Services
PMGLOBAL provides a wide range of areas assuring profound expertise in negotiations with relevant parties of PPP enterprise, due diligence and feasibility studies making sure that your vision is able to come true, legal consultancy assuring compliance and correctness of all legal steps with local and international law, strategy and business development helping your vision to become a concrete plan ready to implement. Also, assists and diversifies on financing and tax advising, risk identification and assessment, project management, engineering and construction, audit, compliance and internal control, cross-cultural business issues, PR and communication, sales and marketing through market searches. PMGLOBAL also offers our clients integrated concepts in the infrastructure and PPP sector and provide full service support on infrastructure and other projects – combining the sector and project experience of public procurement and construction lawyers with that of skilled finance and regulatory lawyers. In line with the large variety and the legal complexity of projects, our multidisciplinary practice also incorporates experts in other relevant disciplines, such as corporate and tax law. The intensive collaboration across our offices and practice groups is of great advantage to our clients.
PMGLOBAL PPP Team
PPP and Project Finance place increasing demands not only for bidders as compared to conventional proceedings. To succeed in PPP Projects it is vital to abandon inherited modes of thinking in terms of construction law, public procurement law or planning law. PMGLOBAL PPP Team brings together legal experience from all areas. Through continual team interaction our colleagues are always up to date with the relevant financial, fiscal and corporate aspects of PPP. Because of the similarity of regulating structures in the different legal sectors, we offer our clients a cost-saving synergy by grouping together our experience. PMGLOBAL PPP Team members have worked on the concurrent private and public schemes for the construction and maintenance of infrastructure set-up since the dawn of PPP projects in Turkey in the nineties and, as a result of this activity over for a couple of years, PMGLOBAL is best placed to adapt to the particular client. Our practice group advises and represents investors, financial institutions, business enterprises, trade associations, insurers, public institutions and companies, authorities and ministries.