Public-Private Partnership (PPP) is a partnership between the public sector and the private sector for the purpose of delivering a project or a service traditionally provided by the public sector.
The advantage of a PPP is that the management skills and financial acumen of private businesses could create better value for money for taxpayers, when proper cooperative arrangements between the publicand private sectors are used.
PPP can increase the quality, the efficiency and the competitiveness of public services. It can supplement limited public sector capacities. The best use of private sector operational efficiencies can reduce cost and increase quality to the public and the ability to speed up infrastructure development. Financial support can be provided to cover investment needs
When considering the commercialization or privatization, States should bear in mind that they are ultimately responsible for safety, security and economic oversight of these entities (ICAO – Doc 9082, Section I, para 6 refers).
Privatization should not in any way diminish the State’s requirement to fulfil its international obligations, notably those containedin the Chicago Convention, its Annexes and in air services agreements, and to observe ICAO’s policies on charges in Doc 9082.