10.1 If a local PPP project is undertaken according to a national law or policy it has greater context, support and potential to in turn influence policy.
10.2 Specific legal provisions must be in place that allow municipalities to undertake their side of PPPs, for example the legal authority to outsource / subcontract, to allow private operators to collect revenues, to regulate activities, and so on. Such provisions may exist in local, regional or national legislation.
10.3 Legal constraints to PPPs can exist in general laws and regulations covering local government functioning, and in sectoral legislation covering standards / procedures in service sectors. Constraints in general laws can be identified easier, while sectoral legal problems often are found only during implementation.
10.4 National PPP programmes strategically fit in well with wider decentralization processes and this link can strengthen their status and sustainability.
10.5 Establishing a clear national policy for local PPPs, and the multi-stakeholder and ministry consultations needed to prepare such a policy, has major benefits:
10.5.1 Signals intent and creates consistency in government (inter-sectoral, national-local)
10.5.2 Removes obstacles and constraints
10.5.3 Creates certainty and reduces real and perceived risk
10.5.4 Can provide PPP enabling and supportive provisions / mechanisms
10.5.5 Can push municipalities to PPPs ('require' or 'authorize' them)
10.6 It is conceivable that a generic national policy for local PPPs could be developed and adapted to a specific country context.
10.7 Policy development should link with practical PPP project development - many policy issues are identified only when PPP projects are implemented.
10.8 Municipalities also need clear local policies for PPPs. Such local PPP policies should ideally be prepared within the context of a similar national PPP policy, although they can be put in place without this.