The Bulk approach does not necessarily provide the flexibility and range of services sought from PPP, for example where the grantor wants to improve service distribution in public utilities like water, power, waste collection and fixed line telecommunications. For this reason, User structures have become more common, permitting the grantor to involve the project company in
• Implementing modern management approaches, particularly where the company's historic operating methods are unnecessarily labor intensive and not orientated towards the needs of consumers
• Improving distribution capacity, reducing leakages/losses, improving billing/collection and providing long term maintenance to ensure that the condition of the distribution system is consistently monitored and improved.
A project company undertaking a User project will encounter certain issues which are not commonly encountered in Bulk projects. The following is a discussion of a few of these issues.