PublicPublic--Private Partnerships for Service Private Partnerships for Service Delivery (PPPSD) Delivery (PPPSD) FacilityFacility ofof thethe UNDPUNDP

JointJoint UNDPUNDP--UNESCAP Initiative:UNESCAP Initiative:CapacityCapacity Development of Local Governments Development of Local Governments

in Asia in Delivering Basic Services to the Poor in Asia in Delivering Basic Services to the Poor through Publicthrough Public--Private PartnershipsPrivate Partnerships

UNESCAP Workshop on Knowledge Transfer & Capacity UNESCAP Workshop on Knowledge Transfer & Capacity Building for Water & Sanitation Services in Asia & the PacificBuilding for Water & Sanitation Services in Asia & the Pacific

17 17 –– 19 February 2009, Bangkok, Thailand19 February 2009, Bangkok, Thailand

Access to Basic Services – primary education, health care, water supply, sanitation, solid waste management, renewable energy supply – is vital for poverty eradication & the achievement of the MDGs.

Basic services are public goods. As markets fail to provide such services equitably, primary responsibility & accountability for their delivery remains with the State/Public Sector

…yet:

Growing need for basic services is notmatched by the existing capacity (e.g., human & financial) of traditional service providers

…as a result:

Various Non-State Actors (large & small, formal & informal private sector, CBOs, NGOs, SCOs, FBOs) are filling-in the gap in the context of a regulatory vacuum

...consequently

National Governments considering / encouraging formal engagement of NSAs in the provision of basic services through PPP arrangements

Sub-national/local governmentsexpected to explore/undertake PPPs in delivery of basic services at the local level

...however

Many LGs lack knowledge, skills & experience to initiate such partnerships

Are unaware of/unable to access existing PPP CD opportunities:• too distant, inflexible & unaffordable to the prevailing majority

of LGs;• language barriers;• do not address Pro-Poor dimensions of PPPs;• do not address local level PPP projects (which often are small-

scale infrastructure/service provision)• not relevant to the regional/country contexts/particularities

...solution?

Would having a permanent, regular, affordable, flexible, country-context specific, quality curriculum on PPP & its processes for training of LG officials locally – be a practical & effective step towards addressing this issue?

...yes, it will help!

Bhutan – Royal Institute of Management

India – Kerala Institute of Local Administration + National Institute for Rural Development

Indonesia – Provincial Apparatus Development Agency/Gorontalo Province

Philippines – Local Government Academy

Joint UNDP-UNESCAP Regional Initiative on Supporting Local Government Training Institutes in Asia in Developing & Institutionalising PPP Training Curriculum for Local Government Staff Training

UNDP•Asia-Pacific Gender Mainstreaming Programme•Asia Regional Governance Programme•Capacity Development Team•Public-Private Partnerships for Service Delivery•Special Unit for South-South Cooperation

UNESCAPPoverty Reduction Section

Deploy UNDP – UNESCAP in-house expertise & knowledge resources through:

Regional Initiative Strategy

Test-run aPPP Training for Trainers

Regional Level Activities

•Develop a ToT or coaching programme based on the capacity assessment results & the developed training modules / curriculum with the participation of trainers from the four pilot institutes

Implement PPP CD Actions

Country Level Activities III / Regional Level Activities

•Refining the PPP training modules / curriculum•Showcasing results at a Regional/Global Event•Development & dissemination of Replication-Aid Tools

Define PPPCD Strategies / Actions

Country Level Activities II

•Development of PPP training modules / curriculum•PPP training modules / curriculum test-running with LGs

Assess Local PPP Capacity Needs / Gaps

Country Level Activities I

•LGs’ PPP Capacity Needs & Gaps Assessment & Analysis•PPP CD Strategies & Action formulation, including Gender Mainstreaming aspects

Examine National PPP Framework & Demand for PPP CD Support

Regional Workshop

•Delineate the broader Initiative Strategy•Introduce the PPP CD & other relevant resources available from the Regional Initiative•Formulate Draft Country Strategies & Action Plans to address the pre-identified PPP Capacity Gaps & Needs

11 22 33 44 55

Tools for ProTools for Pro--Poor Municipal PPPPoor Municipal PPPPreparation Development ImplementationBefore

PPP

2 StrategicPlanning

1 Starting

out

4 Collecting

Information

3 Planning and

Organizing

5 Defying Constraints

7 Defining Parameters

6 Defining Objectives

15 Regulating

14 Preparing Business

Plans

8 Establishing Principles

10 Establishing Processes

9 Identifying Partners

11 Selecting Options

12 Financing (investment)

13 Financing (cost recovery)

19 Monitoring and

Evaluation

16 Tendering and

Procurement

17 Negotiating

and Contracting

18 ManagingPPPs

20 Managing Conflict

21 Capacity Development

The Capacity Development Framework

Cor

e Is

sues

Points of Entry

Environmental Resources

Physical Resources

Knowledge

Mutual Accountability

Leadership

Financial Resources

Human Resources

Org’lEnabling

Environmt

Formulate Policy & Strategy

Analyze a Situation & Create a

Vision

Monitor & Evaluate

Budget, Manage & ImplementIndividual

Engage in Multi-

Stakeholder Dialogue

Primary Areas of Capacity Assessment Focus –Specific Assessment Questions and Indicators Available for Each Cross Section

Institutional Development

Human Rights Based Approach Overlays Any Capacity Assessment

* Technical capacities complement the functional capacities.

Technical Capacities+

Functional Capacities (within a Sector/Theme Context)

Thank You!

Malaysia Experience: Solid Waste Management, Penang

Nepal Experience: Public Toilet,Hetauda Municipality

• CBO won the bid to operate the municipal public toilets

• CBO brought toilets into operation; daily revenues went up from Rs.200-500 to Rs.1,300-1,500

• Not required to pay royalty to LG on condition that:

• CBO invests 50% of net profit into infrastructure upgrading

• Received loan of Rs. 300,000 from LG

• To be paid back from 2nd

year of operation

The Philippines Experience: Enhancing Access of the Poor to Water Supply Services (work

in progress)Supporting the water regulators & main water supply concessionaires: to improve safe drinking water supply to

communities on the outskirts & informal settlements of the city by piloting a model Public-Private-Community Partnership for water supply

where the formal engagement of Small-Scale Water Service Providers into the water supply network is facilitated

& enabling regulatory environment is proposed & promoted

India Experience: Sustainable Local Energy Services Provision in Tiruchengodu Town, Tamil

Nadu State

Develop Public-Private-Community Partnership model for poultry litter management to...

...generate electricity (3.7 MW of power)from the poultry waste to…

...feed it to the state grid & for the Benefit of All Parties.