Empirical research on PPPs generally concludes that PPPs appear to have the potential to offer better value for money7 over conventional procurement methods (these are described in appendix 1). The following discussion sets out a framework for evaluating whether a PPP offers value for money relative to a design and construct contract (D&C), though any type of contract could be used as a comparator.
__________________________________________________________________________________
7 By maximising value for money we mean maximising the benefits relative to the costs. This can be achieved either by a lower cost, or by increasing the benefits provided by the project, or by a combination.