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PPP Processes and Institutional Responsibilities

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Governments need commitment, skill, capacity, and coordination to implement PPPs successfully. Under a PPP contract, the private party will design, finance, build and maintain the infrastructure, and provide services. However, the government remains responsible for ensuring the public service is provided to the expected quality and quantity specified in the PPP contract, in a way that achieves good value for money. The government must choose the right project, select a competent partner, and set and enforce the parameters within which that partner operates. It is always important to keep in mind that PPPs are fundamentally a procurement mechanism for the delivery of a public service.

To this end, many governments define processes and institutional responsibilities for PPPs—that is, the steps that must be followed when developing and implementing a PPP project, and the entities responsible for each step. This section provides examples and resources for practitioners on:

  • Establishing the PPP process—there are several steps that a government must usually take to implement a PPP project successfully. Defining a standard PPP process, with approvals required at key points, helps to ensure that these steps are taken consistently and efficiently. PPP Process describes a typical PPP process, and gives examples from various countries' PPP programs.
  • Defining institutional responsibilities for PPPs—that is, which entity will play which role at each step. Institutional arrangements and the allocation of functions differ from place to place—depending on the specific needs of the PPP program and the existing institutional responsibilities and capacities. Institutional Responsibilities: Implementation and Institutional Responsibilities: Review and Approval describe and provide examples of institutional responsibilities for:
    • Implementing PPPs—that is, doing the day-to-day work to drive forward the PPP process through the steps defined below: from identifying potential projects, appraising, structuring, drafting the contract, bidding it out, and managing the contract after it is signed.
    • Reviewing and approving PPPs—that is, overseeing the PPP process, typically through review and approvals at key stages, to ensure that the project represents a good investment decision for the government.
  • Establishing PPP units. Some governments establish teams aggregating staff with specific knowledge on PPPs. The functions of these PPP Units vary widely, as do their location within Government and structure—reflecting the variation in priorities and constraints facing PPP programs both between governments, and over time as the PPP program evolves. Dedicated PPP Units briefly describes the various roles played by these units, with examples from different countries.

This section focuses on the process and responsibilities within the executive branch of government for implementing PPPs. Broader PPP Program Governance provides further guidance on how other entities can input into the PPP process, and hold those responsible for developing PPPs accountable for their decisions and actions.


  1. PPP Process
  2. Institutional Responsibilities: Implementation
  3. Institutional Responsibilities: Review and Approval
  4. Dedicated PPP Units

Key References

PPP Processes and Institutional Responsibilities

PPP Units

Visit the PPP Online Reference Guide section to find out more. 



Find in pdf at PPP Reference Guide - PPP Framework or visit the PPP Online Reference Guide section to find out more. 


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Updated: June 23, 2022