8.5. Payments

Traditionally, the public entity will need to make frequent and short term payments to the contractors who are selected. In the PPP form of procurement, the association between the public entity and the private partner is long term and the payments tend to be made on the basis of the outputs. Also, in traditional procurement, payments may be linked to construction milestones and/or testing milestones whereas in PPPs they tend to be linked to service delivery.