Governance-First Delivery Models for PPP Projects
Why governance design determines delivery outcomes more than financing terms.
Executive Summary
Governance-first delivery models prioritize accountability, transparency, and enforceability as primary drivers of project success. In PPP environments, strong governance frameworks consistently outperform financial engineering alone in determining delivery outcomes.
Core Principle
Governance is not a compliance overlay. It is the operating system of the project.
Governance Components
- Single SPV counterparty with clear accountability
- Defined RACI across public and private actors
- Independent monitoring and audit functions
- Enforceable performance and reporting obligations
Delivery Standard
Governance frameworks must be operational from financial close and remain active throughout construction and operations.
Why It Matters
Weak governance increases execution risk, undermines lender confidence, and creates exposure for public institutions.
References
- World Bank (2017) – PPP Governance Frameworks
- UK National Audit Office (2021) – Lessons from Private Finance Initiatives
- OECD (2020) – Infrastructure Governance Review