For more than two decades public-private partnerships have been used by National Governments to implement infrastructure and healthcare projects. The results have been at best mixed in terms of lasting, equitable and value for money partnerships. The sharing of financial, technical and operational risks whilst leveraging cost savings and monitoring performance pose significant challenges. The need for rigor, focus and accountability from the outset underpinned by mutual trust and respect are paramount. It is our belief at Remus that Partnerships between Public and Private sector organisations should help launch programmes which are ultimately owned and managed by the Public sector entity. As such the PPP Model should be seen as an interim step to delivering a truly sustainable programme which will serve today’s needs as well as those of the next generation and beyond. Establishing this shared vision with our National Government has been one of Remus’s key success factors.

 

A number of the senior executives at Remus have been involved in PPP projects and we are able to draw on this cumulative expertise to deliver our “10 Point PPP Plan” as a set of guiding principles for success. It begins with the establishment of a “Special Purpose Vehicle – SPV” with the National Government and Remus holding equity in the organisation. The Board of the chosen SPV will be populated with Non-Executive Directors who are Industry Leaders in the sector of reference and provide relevant corporate governance. The key tenants to the Remus model are as shown below:-

 

1.      Flexibility between the two partners in the management of the contract and staff involved throughout the process is critical.

 

2.      Compatibility of Timelines in managing deliverables when political timelines such as election campaigns can change priorities regularly. Understanding these challenges and ensuring each party is comfortable its own timelines are being met to some degree is important.

 

3.      Focus of Project Partners needs to be the same at all times and this is done through ensuring compatibility of project priorities from the outset as defined in the scope of the PPP.

 

4.      Funding Priorities will be established contractually and should be detailed to reflect project priorities and timelines. Material changes in priorities need to be discussed to ensure overall project deliverables are not compromised.

 

5.      Accountability is vitally defined through the documenting of roles and responsibilities between the partners on Day1. There subsequently cannot be any misunderstanding and non-performance against agreed tasks.

 

6.      Performance Management a key discipline on all project work, where issues of non-performance may arise, the cause must be identified and a rapid solution implemented in the least acrimonious manner possible.

 

7.      Internal Communications across cross-sector partnerships can be destructive when a combination of technical language differences and understanding of goals and regulations detract from the key messages that need to be shared. This must be actively managed daily.

 

8.      External Communications & Marketing often neglected, this is a very important activity, especially as most projects to some degree are funded by members of the voting public. Keeping this community of stakeholders informed of progress can provide a suitable election platform when managed correctly.

 

9.      Autonomy within the partnership is a source of strength. While working together is important it is still valuable to be able to work on parts of the project alone, take initiative when needed, and keep some individualism throughout the process.

 

10.Conflicts & Conflict Resolution can and do occur, being able to refer to a mutually agreed set of guidelines on “do’s and don’ts” can be very useful and used wisely in the spirit of the partnership, establish a formal control mechanism for the partnership.

 

Remus looks to foster long term strategic relationships with its National Government client base and as such seeks to consolidate those relationships through functioning PPP type arrangements where appropriate.

 

Remus operates to its own financial and operational models which enable government entities to sustain and further develop their assets post project delivery in an autonomous fashion. In effect when this occurs, the National Government will hold 100% of the equity in the SPV established for project delivery, with Remus exiting having executed its contractual obligations.

National programmes are by definition medium to long term, although containing vital short term deliverables. Remus is committed to developing, building, managing and operating such programmes delivering agreed-upon services over the term of contract until the government concerned is ready willing and able to takeover at the natural conclusion to a mutually beneficial partnership.

 

Innovation and flexibility have often proven key features to a “Remus Platform” in that the process of continuous improvement that Remus adopts ensures the most innovative and cost effective solutions are implemented successfully.

 

Remus holds a number of strategic alliances with Corporations and Institutions of reference around the world and so is able to rapidly access expertise, if not present in Remus, through these Alliances to ensure project execution is never compromised.

 

Remus’s long experience of operating in “International Capital Markets” also provides the PPP with the means of financing the early stages of Nationwide Programmes until they become self-funding and thus sustainable without further external intervention.

 

 In designing a workable model all the local variables which are specific to the country of implementation need to be factored into the model. As such by definition every “Remus PPP Model” is unique.

 

A team of up to twenty Remus staff form part of the advance team which examines in detail every facet of the partnership, highlighting both the challenges and solutions that need to be provided. These are then analysed in conjunction with our National Government Partners and a suitable framework is built into the model taking account of these needs.

 

There are no right or wrong answers, just a clear understanding of the risks and rewards and the challenges faced in implementation. On this solid foundation is built all other aspects, including financial and operational requirements, of the programme. The finished and agreed upon model will thus stipulate all areas of activity and the timeframes to execution.