4.  Locating and Linking Partnerships in Urban Governance and Management

A primary issue often set aside in the development of public-private partnerships (PPPs) for service delivery is that municipal services and the process of their delivery are an integral part of a multifaceted, multifunctional organisation. They do not stand as isolated initiatives but are part of a broader municipal effort. Similarly, the process of changing the approach to service delivery is not an isolated shift, but one that often falls within a much broader set of municipal reforms. The process of developing private sector participation (PSP) in urban infrastructure and services is influenced by, and influences, the entire process of municipal reform.

It is therefore critical to recognise that private sector participation in a service sector, such as water or waste, is not created or implemented in a vacuum. Service partnerships are often the direct concern of municipal government and outcomes are linked to the fulfilment of other municipal obligations. This chapter explores where private sector participation fits in the changing field of local governance and urban management. It first considers the elements of the reform process that are linked with decentralisation. It then considers service partnerships in relation to the multisectoral obligations of municipalities, and the need for strategic service planning to locate and link partnerships into city governance and management.