A. Define all stakeholders that are relevant to the project
As PPPs typically involve a vast array of interconnecting relationships, the Procuring Authority should map and define all relevant stakeholders from very early on in the process. There are a few key groups: the Project Company and its associated private partners (equity investors, lenders, contractors); end-users; businesses and the community; and other government agencies. Additional third parties should also be considered, such as private operators of interfacing projects, independent regulators, utility providers, insurers and advisors.
The relationship between the Procuring Authority and the Project Company is key to the success of a PPP. A collaborative relationship helps the parties ultimately achieve ‘win-win’ solutions, while a breakdown in relationship can amplify disputes and threaten the ongoing viability of the project.
External stakeholders, such as members of the public or end-users of the service, need to be engaged and managed by both the Procuring Authority and the Project Company. These stakeholders can include different members of the public and end-users, such as communities, developers, local businesses, utilities providers and other interest groups. Infrastructure projects have the potential to cause disruption to these groups, and if relationships are not managed properly they may create opposition to the project and cause serious and costly delays, as well as underutilisation of the infrastructure.
Another key group of stakeholders that the Procuring Authority must consider are other government departments. For example, approvals will generally be required from the ministry of finance (or equivalent). Other bodies will be relevant: PPP units, bodies that regulate the provision of services (such as power), planning and environmental regulators, health and safety regulators, etc. The Procuring Authority will need to ensure good relationships are maintained with all relevant government bodies.
Example – different stakeholders
The stakeholders in PPPs can be very diverse, depending on the project and sector.
On the Queen Alia International Airport Expansion project in Jordan, as with all airports, the users of the facilities are members of the public, retailers, and airlines. All of these groups have different views and need to be engaged with in distinct ways.
For more information, see the Queen Alia International Airport Expansion Case Study.
B. Ensure good communications strategies and practices are developed
C. Keep good records of communications, including informal communications
Questions & Answers
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