Not every project implemented by the federal entities with a private sector partner may be required to comply with the guidelines contained herein or the internationally acceptable procedures / practices of partnership contracts with the private sector. The project shall meet the following conditions in order to be considered as a PPP project:
• The project's value shall exceed 200 million dirhams, except the projects of strategic nature that are classified under the scope of partnership projects performed with the private sector as agreed by the concerned entity and The Ministry represented by the Technical Bureau . If the project's value is less than 200 million dirhams, or the project doesn't meet PPP criterion, it shall be executed in accordance with the procurement and warehouse management regulations at the federal government and any other applicable federal laws .
• The private sector shall finance wholly or partially a public project of an economic nature.
• The private sector shall implement at least one of the following processes: construction, development, restoration, outfit, maintenance, rehabilitation and operation.
The powers of acceptance, approval and monitoring on joint projects shall be as follows:
A. If the project's value is less than 250 million dirhams, the relationship shall be direct between the concerned entity and The Ministry represented by the Technical Bureau .
B. If the project's value is 250 million dirhams and above, the project shall be presented to the Financial and Economic Committee for initial approval and then to the Cabinet for final approval. The completion reports, performance and operation monitoring shall be presented to the Financial and Economic Committee.
If the project by the Federal Entity proposed meets the above conditions, it shall be obligatorily subject to the guidelines and procedures contained herein. Accordingly, if any Federal Entity initiates to carry out any joint project subject to the application of the PPP contract system without following the procedures contained herein, this project may be canceled by any interested party due to excess of powers and the person in charge of such entity shall be legally accountable.