6. PRIVATE SECTOR PARTNERSHIPS

Public private partnerships will continue over the next decade.

- Since 2001-02 approximately $6 billion worth of new public infrastructure has been or is being delivered through privately financed projects.

- Private financing is a possible project procurement option across all sectors of Government, including social infrastructure such as schools and hospitals.

- The Government proceeds with a privately financed project only where it provides the best value-for-money in accordance with established government guidelines.

- About 10 to 15 per cent of the State's capital expenditure is expected to be procured through privately financed projects.

- Typically, the private sector designs, constructs, finances, operates and then transfers infrastructure to the Government after a specified period, in exchange for an income stream.

- Some of the privately financed projects that have been offered to the market place include:

• Long Bay Prison and Malabar Forensic Hospitals

• New Schools Project 1 and 2

• Newcastle Mater Hospital

• M7 WestLink (and other toll roads)

• Alternative Waste Technology Facility

- The New South Wales Government has a preference for private sector investment in certain electricity generation capacity.

- The Government benefits from external private expertise through other types of contractual arrangements including: 

• The private sector is to manage Police properties in the future. This commences from July 2006. 

• A three-party agreement between the Department of Housing, Landcom and Campbelltown City Council to guide and manage the Minto Redevelopment

PUBLIC-PRIVATE PARTNERSHIPS WILL CONTINUE OVER THE NEXT DECADE

TABLE 3 POTENTIAL PRIVATELY FINANCED PROJECTS