The purpose of the Projects and Government Enterprises Branch (PGE) is to facilitate private sector participation in infrastructure development where appropriate. Located in the Department of Treasury and Finance, the Branch reports directly to the Under Treasurer. Agencies are required to consult with PGE in regard to all public private partnerships in South Australia.
The PGE operates as a consultative body to agencies seeking to engage with the private sector in infrastructure development and the delivery of public services to the community. The PGE's primary role is to ensure that proposed projects conform to the guidelines and the procurement processes as specified in this statement. In undertaking this role, PGE seeks to ensure that:
■ all proposed projects are subjected to objective and thorough analysis based upon an unbiased evaluation of the costs, benefits and risks to Government;
■ projects to be delivered by the private sector are assessed on the basis of the private sector's ability to deliver an improvement in the risk-adjusted, whole of life cost of the project compared to conventional procurement methods;
■ the private sector is given every opportunity to participate in potential projects supported by a process that is flexible, promotes competition, is transparent to all parties and preserves the highest standards of probity and confidentiality; and
■ the private and public sectors enter into mutually beneficial arrangements based upon sound commercial principles, within a framework that promotes trust and respect for the interests of all stakeholders.
It is important that all agencies adopt a consistent approach and process to public private partnerships to ensure that the private sector retains a high degree of confidence in the South Australian government. Consistency of approach and process are also important factors in containing transaction costs. In this regard, the South Australian government is working with other Australian governments to achieve a greater level of consistency and standardisation across Australia.