Partnership: The Overlooked “Pâ€
In a typical public-private partnership (PPP) project, the Project Company (ProjectCo) enters into a Project Agreement (PA) with the public-sector counterparty (the Authority) to design, build, finance, operate and/or maintain an asset for the duration of the PA. In turn, ProjectCo typically contracts out most of its PA-related obligations to a construction contractor(s) and service provider(s), as ProjectCo has management expertise but often limited technical abilities. The individual contracts that are signed between the parties lay out the legal framework under which the PPP project will be completed. However, to say that a PPP is the sum of its contracts omits an important element of the delivery framework: partnerships. In this commentary, DBRS Limited (DBRS Morningstar) will explore the contractual and informal relationships formed by the parties during the construction and operating phases, considering both the spirit and the letter of the documents.
DBRS Morningstar is a global credit ratings business with 700 employees in eight offices globally. DBRS and Morningstar Credit Ratings are committed to empowering investor success, serving the market through leading-edge technology and raising the bar for the industry.
Together, we are the world’s fourth largest credit ratings agency and a market leader in Canada, the U.S. and Europe in multiple asset classes. We rate more than 2,600 issuers and 54,000 securities worldwide and are driven to bring more clarity, diversity and responsiveness to the ratings process. Our approach and size provide the agility to respond to customers’ needs, while being large enough to provide the necessary expertise and resources. For more details visit us at dbrs.com.
Unfortunately, this report is not available for the investor type or country you selected.
Browse all ResearchPool reportsReport is subscription only.
Thank you, your report is ready.
Thank you, your report is ready.