These Guidelines demonstrate the NSW Government’s:

  • Recognition of the benefits of the Public Private Partnership (PPP) approach as an effective delivery model in the appropriate circumstances
  • Commitment to the proactive assessment of the potential use of various PPP models early in procurement processes; and
  • Commitment to maximise beneficial outcomes to Government and taxpayers through engaging with the private sector in the delivery of service enabling infrastructure.

These Guidelines are based on the following principles:

  1. Ensure PPPs are procured in a professional and transparent manner, minimising tender costs and providing fair opportunity to all prospective private sector participants.
  2. Ensure consistency of risk allocation between PPPs in NSW, except where there are project specific reasons to depart from this risk allocation.
  3. Ensure stability of PPP delivery structures, with sustainable debt financing and robust commercial and financial structures.
  4. The NSW Government will not guarantee private sector borrowings.
  5. The delivery and operation of service enabling public infrastructure with an acceptable level of risk retained by the State.
  6. Encourage innovation in the provision of infrastructure and service delivery.
  7. Ensure the timely disclosure of information on contracts and tenders.
  8. Support a collaborative approach to risk allocation between Government and the private sector, consistent with principles outlined in the NSW Government’s 10-point commitment to the construction sector.

These Guidelines provide a transparent mechanism to competitively pursue innovative solutions to deliver improved services and to facilitate the NSW Government achieving value for money. This is primarily achieved through optimal risk allocation, management synergies, encouraging innovation in operations, integrated design and construction, efficient asset utilisation, and integrated whole-of-life
asset management.