Enhancement of Performance of Infrastructural Assets Built through a Public and Private Partnership

Abstract

The paper covers the issues related to evaluation of efficiency of innovative development institutes that are set up through the public and private partnership. The paper offers a system of indicators applicable for quantitative and qualitative evaluation of efficiency of infrastructural assets built through a partnership between the government and businesses whilst accommodating the interests of each of the cooperating parties. The suggested methodology allows not only studying performance efficiency of these assets but carrying out a benchmarking assessment of a volume of investments to be made into infrastructural projects. On the basis of the outlined methodology, an efficiency study was carried out covering the regional innovative projects being implemented through the public and private partnership in the Republic of Tatarstan. The study findings helped reveal the problems related to taking advantages of the public and private partnership whilst identifying the ways how to eliminate such problems. The major problems include constraints on the range of possibilities of the public and private partnership, lack of a sound legal framework to regulate interaction of the involved parties, unequal status of the partners, lack of project management coupled with zero participation of the government in the decision-making process at the stage of project operation, monopolistic position of the assets built within the frame of the public and private partnership projects.

DOI: 10.5901/mjss.2015.v6n5s3p311