1.3.1  Barriers to competition

Strategies used in other countries that reduce barriers to competition include:

•  committing to the PPP procurement model as the default for major projects that meet certain minimum general criteria indicating that this model is likely to result in the best value for money, unless there are specific factors favouring another procurement method

•  committing to a strong pipeline of PPP projects

•  clear criteria, applied consistently, for determining whether projects become PPPs.

Committing to a strong pipeline of infrastructure projects generally is difficult in Australia, as it depends on Governments' budget capacities, as well as the need for and priority of projects within overall Governments' spending.

Utilising PPP as a default procurement model for some categories of projects conflicts with the National PPP Guidelines on procurement options analysis, which looks at projects individually to determine the most appropriate procurement method.