5.  The Role of the Public Sector in PPPs

Besides the contractual partnership with the private operator, there are two main ways in which the government continues to be involved in the activities covered by the PPP. The first is the provision of ex-ante guarantees and ex-post guarantees which consist of financial contributions to offset the consequences of undesirable unexpected event which have resulted in a renegotiation of the contract. The second is the regulation of the sector, which generally includes the monitoring of commitments made by all parties through the contract.

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