METHOD OF EVALUATION OF APPLICATION OF PUBLIC-PRIVATE PARTNERSHIPS

Authors

  • Mirna Vukadin
  • Miladin Jovičić

Abstract

The evaluation of public- private partnership
is a difficult task because of all the advantages
and disadvantages of cooperation between the
public and private sectors is not easy to measure
and evaluate them on the basis of cost-benefit
analysis of business and to establish the possibility
of realizing additional value. All this raises
the need for contingent approach to the evaluation
of the planned project, which is based on the
management of uncertainty, avoiding unwanted
ris and use of identified opportunities. The primary
method of evaluation and justification of
the application of this model to solve the many
problems of infrastructure and the provision of
quality services is so-called SWOT analysis and
instrument to quantify “ value for money “. The
combination of the positive aspects of the key
participants in the SWOT analysis in general
to improve the effects of the implementation of
the partnership on the basis of which would increase
the potential for successful cooperation
between the public and private sectors. Testing
methodology and value for money it is possible
to assess whether a particular public investment
is justified deliver the traditional model and assume
all investment risks or part of risks transferred
to the private partner and to pay compensation
for the risks taken.

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Published

2022-07-22