Chapter 6 has provided a description of the nature and characteristics, and the potential roles of non-governmental/non- private stakeholders potentially involved in a partnership. Among other potential difficulties it has drawn attention to the manner in which relationships are formalised with NGOs, i.e. the organisational, contractual and financial mechanisms employed to engage them in a service delivery partnership.
It may seem obvious to some, but it should be reiterated that if a large-scale PPP envisages a central role for an NGO then the procurement process should be similar to the process of procuring the for-profit private sector partner. Tendering, compliance with bids and transparent evaluation and selection processes are essential. Like the private sector, the NGO sector is comprised of organisations with vastly different capacities. Many are bona fide, well staffed and competent in pursuing their mandate; others are not. Municipalities are likely to be aware of local NGOs but should always check their legal status and capacity to enter into contracts. In smaller ventures, perhaps at community level, smaller NGOs may be willing and appropriately skilled, and the procurement of their services through a contract may be less critical.
Evidence suggests that there are six potential organisational models for bringing NGOs into the partnership (illustrated in Box 8.11). These models can be combined to involve more than one function or organisation, and can be part of a fluid process where the nature of the organisational arrangement changes as the partnership goals and relationships mature. The appropriateness of these will depend on the service being discussed and the objectives of the partnership. While some are clearly not useful to large-scale water and sanitation improvements, they should not be discounted altogether from the delivery of less ambitious tertiary-level water supply, sanitation or solid waste collection. The key characteristics and strengths and weaknesses of these arrangements are discussed below.