2.3.14 Generally, PPP would involve a longer procurement period. PPP bidders also incur higher bidding costs due to the increased complexity. Hence, only large PPP projects can generate sufficient efficiency improvements to offset the higher bidding costs from PPP procurement. Therefore, PPP should generally be used on projects which involve the development of assets with a large capital value.
2.3.15 Public agencies and potential private bidders should also ensure that their project teams have sufficient competencies to understand the implications of the contract clauses in a PPP contract and also to structure and manage PPP deals effectively.