Fm Expects PPP Projecst To Top 2,000-Mark In Few Years
Finance Ministry said the number of PPP projects, which are mostly in the infrastructure sector, will cross 2,000-mark in the next few years. Launching a portal on ‘post award contract management manual’, Minister of State for Finance Jayant Sinha said, “We have done around 1,300 Public Private Partnership (PPP) projects in India of which 20% suffer from various challenges.”
The post award contract management guidance system and the toolkit, he said, will ensure that the projects do well after the award of the contract. “We have 1,300 PPP projects right now, we will hopefully cross 2,000 in the next few years,” he said, adding that the challenge is to provide comfort to the private investors for putting in money and resources in the projects
with long gestation period.
The minister further said the PPP model fail because of three reasons – managing post award contract after bidding aggressively at the tender stage, delays along the way in getting clearances, land acquisition and inappropriate funding.
The bankruptcy code will ensure easy exit in case the private party is unable to execute the project, he added.