To achieve the value for money promised by a PPP, the government needs to make sure that the planned allocation of responsibilities and risks is put into practice. Throughout the lifetime of the contract, the contract manager needs to:
• Monitor contract compliance and service performance by the private party, and ensure penalties or bonuses are paid appropriately
• Monitor and ensure compliance by government with its responsibilities under the contract
• Monitor and mitigate risks.
The actual activities required will differ between implementation stages-design, construction, implementation, and project close. For an overview of service delivery management-including key elements of risk management and performance management-see the South Africa PPP Manual module on contract management [#219, pages 20-28] and Fortea et al's Seguimiento de una Concesión [#104], which describes the project monitoring process in Spain.