5.1.1 Contract Management structure

Managing a PPP contract is more complex than managing a traditional government contract. The PPP version is necessarily incomplete given that all scenarios and corresponding regulations cannot be envisioned and, hence, a skilled Partnership Contract Manager, who will function as the primary Point of Contact with the private sector partner, is required. The Partnership Contract Manager should be appointed by the Government Entity as part of the Partnership Contract ideally prior to its signing.

Moreover, there will be several other governmental entities whose presence might be required whilst managing a contract, working in concert with the Government Entity as well as the Partnership Contract Manager, including but not limited to:

Sector regulators: In charge of managing tariff structures when government is not the primary offtaker in a Project, and a private sector partner has been chosen to provide crucial services to the public directly; and,

Department of Finance: While not as directly involved as the Government Entity, the Department of Finance will continue to be a key stakeholder even during the Contract Management process, especially if contractual changes directly lead to Deviations in fiscal implications; in addition, the Department will provide institutional strength to the Government Entity, forming taskforces and sub-units should more extensive analysis or support be required during the management phase.

After identifying key Stakeholders for the Partnership Contract, a whole-of-life communication structure should be outlined, which would include a primary Point of Contact at the Government Entity. Preferably, the personnel who have been involved during the procurement stage would be in charge of scheduling meetings, forming specific teams to deal with the concerns of the Preferred Bidder, and dealing with day-to-day management of the project.