Government may decide that the best value for money option when procuring a major project is via a Public Private Partnership (’PPP’) model.
Key attractions of a PPP model for government is that the private sector can deliver:
- programme and cost certainty
- innovative design
- improved whole of life costings and asset management, and
- reduced risk for government.
The New Zealand PPP Framework: A Blueprint for Future Transactions outlines a series of enhancements to the government’s approach to planning, procuring and delivering future PPP projects, designed to ensure that PPP remains a useful and relevant construction tool for New Zealand infrastructure.
From 1 December 2024, the Treasury is responsible for the development and stewardship of PPP policies, including the commercial principles, standard form agreement and model schedules.