Among the various roles the private sector can play in helping governments decrease the cost of designing and managing e-Government programs, public-private partnerships (PPPs) are increasingly of interest. Under the Build-Operate-Transfer model, the private sector designs, finances, builds, and operates a facility or service over a period of time specified in the contract defining the PPP, deriving revenue from fees. At the end of this period, ownership in the project reverts to the government. A variation of this is the Build-Transfer- Operate (BTO) model, under which title transfers to the government when construction is completed. Finally, with Build-Own-Operate (BOO) arrangements, the private sector retains permanent ownership and operates the facility under contract.
While they have benefits, PPPs also poses accountability, security, and privacy concerns that must be addressed. The key to a successful PPP is a tightly drafted contract between the government and the private sector partner entity, spelling out the responsibilities of each party.
For more information on public-private partnerships, see
Chapter 7 of this Toolkit.
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