"It is more fun to talk with someone who doesn't use long, difficult words but rather short, easy words like "What about lunch?"
-Winnie-the-Pooh (A.A. Milne)
The Government will wish to create a clear and stable legal environment for PPP projects, in order to reduce the perception of risk, attract more competition for projects, attract more lending and therefore reduce project costs. The legal (and regulatory) framework creates the foundation for the institutional, regulatory, commercial and financial environment for PPP with clarity, consistency, transparency and certainty. It is particularly critical for the institutional framework, describing the interactions, relationships and coordination that underpin that framework. For this reason, this text describes the legal framework first. However, the reader will need to read this section in close conjunction with sections 3-6 to understand how the legal framework will create and support the institutional and financial dynamic of the PPP framework.2
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2 For further discussion of these issues, and their application in different jurisdictions, see Delmon and Rigby Delmon, eds., The Law of Project Finance and PPP Projects in Frontier Jurisdictions (Kluwer International 2013). In relation to legal frameworks, the reader may also wish to consult the PPP in Infrastructure Resource Center website, which describes PPP in infrastructure legal frameworks, sample laws, regulations and contracts. www.world-bank.org/PPP; UNCITRAL, Legislative Guide on Privately Financed Infrastructure Projects (UNCITRAL 2000); UNCITRAL, Model Legislative Provisions on Privately Financed Infrastructure Projects (UNCITRAL 2003); UNIDO BOT Guidelines (UNIDO, 1996); European Commission Guidelines for Successful Public-Private partnerships (2003); OECD Basic Elements of a Law on Concession Agreements, (1999-2000); Concession Assessment Project, (European Bank for Reconstruction and Development 2004).