Finding Solutions to Constraints in Host Country's Legal Environment

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Following a review of issues in the legal environment of the host country that may have an impact on the scope of the proposed PPP program or project, the government needs to determine whether it is appropriate or possible to amend the law to remove key obstacles to the program or project and/or to accommodate the constraints presented by the law in the design of the program or project. Removal/ Amendment of Legal Constraints The government may consider that there is some scope for removing or amending some of the limitations identified in the law to allow the proposed PPP arrangements. In such case, consideration will need to be given as to: Even where a Government chooses to make some amendments to the law, some of the constraints identified will need to be incorporated into the design / implementation of the PPP project. For more on choosing the PPP arrangement to fit the Enabling Environment, go to Government Objectives). Introduction of Legislation to assist PPP projects Even where the proposed infrastructure project is consistent with the law, further legislation may be appropriate to ensure that private sector involvement is successful and sustainable, through the implementation of a Concession Law, for example. The United Nations recognized this specifically in preparing its UNCITRAL Legislative Guide on Privately Financed Infrastructure Projects. Click on Public-Private Partnerships/ Concession Laws for more on this.Accommodation of Legal Constraints into scope of the project
Updated: November 24, 2020