A very important factor of the PCCs is the assessment of risk between public and private entities. This component is distinguishable from any other assessment in that the public sector faces very different risks than their private counterparts. They retain the political risks in the design phase and face more limitations. They are guided by rules and regulations of what they can do rather than what they cannot do. They must also consider the cost if the implementation of the delivery fails as well as the risk of a change in the preferences in the demand of their constituents. These risks are commonly referred to as "retained."40 Risks are identified and calculated as previously described.
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40 Partnerships Victoria (2001), 56-58.