New policy on the anvil for PPP projects in Infrastructure and Social sectors

New Delhi A policy framework for public private partnership (PPP) in infrastructure and social sectors, such as health and education, is on the anvil. The new policy that will lay down the guidelines for the entry of private players and implementation of infrastructure projects.

The emphasis will be on flexibility with simple well-defined rules and principles.

New PPP policy would rest on three pillars. First being legal framework that is not too prescriptive. It must facilitate focusing on outcomes, while setting broad parameters in which partners can design and implement projects.

The second key pillar of the PPP policy would be codification of the government initiatives till date.

The third pillar is the establishment of processes that are required for second generation PPPs with focus on appropriate public oversight and ensuring a value-for-money rationale for projects, he said.

With the recent addition of modern post harvest storage facilities, cold chains, education, health and skill development sectors in the list of sectors eligible for viability gap funding, the stage has been set for exploring the PPP route in social sectors as well.