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The impact of contract characteristics on the performance of public–private partnerships (PPPs)

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  • Erik Hans Klijn
  • Joop Koppenjan

Abstract

Four significant features of public–private partnership (PPP) contracts are analysed to understand their impact on performance. These are whether the contract allows sanctions to be imposed; its complexity; its flexibility; and whether renegotiation is possible. The effects of these characteristics were investigated by surveying participants in all of the PPP projects in The Netherlands. The only feature considered to have any significant impact on perceived performance was the possibility of imposing sanctions. The authors’ findings cast doubt on earlier research into managing PPP performance and suggest that researchers, governments and the private sector need to look beyond contract terms to properly understand and manage PPP performance.

Suggested Citation

  • Erik Hans Klijn & Joop Koppenjan, 2016. "The impact of contract characteristics on the performance of public–private partnerships (PPPs)," Public Money & Management, Taylor & Francis Journals, vol. 36(6), pages 455-462, September.
    • Handle: RePEc:taf:pubmmg:v:36:y:2016:i:6:p:455-462
    DOI: 10.1080/09540962.2016.1206756
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    Cited by:

    1. Paolo Esposito & Spiridione Lucio Dicorato, 2020. "Sustainable Development, Governance and Performance Measurement in Public Private Partnerships (PPPs): A Methodological Proposal," Sustainability, MDPI, vol. 12(14), pages 1-25, July.
    2. Verweij, Stefan & Meerkerk, Ingmar van, 2020. "Do public-private partnerships perform better? A comparative analysis of costs for additional work and reasons for contract changes in Dutch transport infrastructure projects," Transport Policy, Elsevier, vol. 99(C), pages 430-438.
    3. Nannan Wang & Xiaoyan Chen & Guobin Wu, 2019. "Public Private Partnerships, a Value for Money Solution for Clean Coal District Heating Operations," Sustainability, MDPI, vol. 11(8), pages 1-18, April.
    4. Mengyuan Cheng & Guoliang Liu & Yongshun Xu & Ming Chi, 2021. "Enhancing Trust Between PPP Partners: The Role of Contractual Functions and Information Transparency," SAGE Open, , vol. 11(3), pages 21582440211, August.
    5. Nina Van der Vliet & Brigit Staatsen & Hanneke Kruize & George Morris & Caroline Costongs & Ruth Bell & Sibila Marques & Timothy Taylor & Sonia Quiroga & Pablo Martinez Juarez & Vojtech Máca & Milan Š, 2018. "The INHERIT Model: A Tool to Jointly Improve Health, Environmental Sustainability and Health Equity through Behavior and Lifestyle Change," IJERPH, MDPI, vol. 15(7), pages 1-21, July.
    6. Lei Yang & Longji Hu & Yifan Li, 2024. "Institutional Environment, Institutional Arrangements, and Risk Identification and Allocation in Public–Private Partnerships: A Multilevel Model Analysis Based on Data from 31 Provinces in China," Sustainability, MDPI, vol. 16(15), pages 1-28, August.
    7. Yingying Ma & Zhuojun Liu & Shuguang Shen, 2020. "Public-Private or Master-Servant? Examining the Implementation of the Serious Disease Insurance Scheme in China," IJERPH, MDPI, vol. 17(5), pages 1-15, February.
    8. Shahin Shakibaei & Pelin Alpkokin, 2019. "Conflict Resolution in Competitive Liberalized Railway Market: Application of Game Theoretic Concepts," International Game Theory Review (IGTR), World Scientific Publishing Co. Pte. Ltd., vol. 22(01), pages 1-21, November.
    9. Hartman, Paul & Ogden, Jeff & Jackson, Ross, 2020. "Contract duration: Barrier or bridge to successful public-private partnerships?," Technology in Society, Elsevier, vol. 63(C).
    10. Pankaj Tiwari & B Suresha, 2021. "Moderating Role of Project Innovativeness on Project Flexibility, Project Risk, Project Performance, and Business Success in Financial Services," Global Journal of Flexible Systems Management, Springer;Global Institute of Flexible Systems Management, vol. 22(3), pages 179-196, September.

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