The complexity of public-private partnership (PPP) transactions frequently means that considerable time and expense is involved in preparing and finalizing a PPP contract that is at the center of every PPP project. This has led many stakeholders to ask whether it is possible to make the contractual drafting process quicker and less expensive by standardizing the provisions in such contracts. Given the variety of PPP transactions, different legal systems and the need for ‘tailor-made’ provisions to deal with the characteristics of specific projects, it is recognized that the development of complete PPP contracts on an international basis is unrealistic. Nevertheless, there is merit in focusing on certain contractual provisions that are found in virtually every PPP contract.
Against this background, the World Bank Group had initially developed the Report on Recommended PPP Contractual Provisions, 2015 Edition (the 2015 Report), which sets out language for a selection of these typically encountered provisions. In response to the feedback received on the contents of the 2015 Report during internal and external consultations with all relevant stakeholders – including both governments and private sector parties –, the WBG has now produced an updated version, the Guidance on PPP Contractual Provisions, 2017 Edition.