Public Private

Partnership in NPIS

THE JAMAICAN SYSTEM

PIMS in Jamaica

The Public Investment Management System (PIMS) is a common framework for the :

preparation

appraisal

approval

management

of all Government projects in Jamaica, irrespective of the source of funding or procurement and implementation modalities.

PIMS in Jamaica

Management of PIMS

• Principal stakeholder in the PIMS

• Key role player

PIMS in Jamaica

Management of PIMS

• The Development Bank of Jamaica is mandated with the management and implementation of GOJ’s Public Private Sector Partnership (PPP) Policy.

PIMS in Jamaica

Management of PIMS

• The Public Private Sector Partnership (PPP) development process has been fully integrated with the PIMS.

PIMS in Jamaica

Management of PIMS

• PPP modality or Not?

PIMS in Jamaica

Framework for PIMS

• No public investment project will be “pre-determined” for

development as a PPP without such preliminary assessment

and designation by the PIMC based on the technical advice

of the PIMSEC.

PIMS in Jamaica

Framework for PIMS • PIMSEC serves as the point of entry for all Public Sector investment projects seeking to be programmed in the budget through the Public Sector Investment Programme.

PIMS in Jamaica

Treatment of PPPs in the PIMS System

• Phase 1- Approval of concept

Step 1 – Screening of Submission

• Specified Public Sector (SPS) entities are required to submit project concept summaries (PCS)

PIMS in Jamaica

Treatment of PPPs in the PIMS System

Step 2 - Evaluation of Project Concepts (PCs)

PIMS in Jamaica

Treatment of PPPs in the PIMS System

Step 3 – Technical Review Committee

PIMS in Jamaica

Treatment of PPPs in the PIMS System

• Phase II - Project Development

Step 1 – Initiating the business case

PIMS in Jamaica

Treatment of PPPs in the PIMS System

Step 2 – Development and Appraisal of Project Proposal

• The main actors - PIMSEC, DBJ and MOF

• Preparation of the business case

• Determining Project viability

• Structure of the proposed PPP

PIMS in Jamaica

Treatment of PPPs in the PIMS System

• Assess risk

• Clarify benefits.

• Determine that the PPP is marketable

• Provides value for money

• Aligned with the GOJ’s policies and objectives

• Compliant with the relevant Government policies, laws and

regulations

PIMS in Jamaica

Treatment of PPPs in the PIMS System

STEP 3 – Review by the TRC

PIMS in Jamaica

Treatment of PPPs in the PIMS System

STEP 4 - Submission of PPP Proposal to PIMC

• PIMC reviews the proposal with a view to making a

• recommendation to Cabinet

STEP 5 – Cabinet decision on whether to approve the

commencement of the transaction phase

PIMS in Jamaica

Treatment of PPPs in the PIMS System

-At the Transaction phase :

• Prepare for transaction

• Draft PPP agreement

• Qualify bidders

• Prepare RFP and issue RFP

• Receive bids, evaluate and recommend an award

PIMS in Jamaica

Treatment of PPPs in the PIMS System

• STEP 6 – Cabinet award contract and Contract

Management • A team is established for

contract management

• A process is established to monitor

the delivery of the intervention,

manage risk and any changes including

to scope ordesign.

PIMS in Jamaica

Budgeting for PPPs

• Budgeting for PPPs is subject to the provisions of both the FAA Act and the Public Bodies Management and Accountability Act (PBMA)

PIMS in Jamaica

Budgeting for PPPs

• The Public Enterprise Division of the MOF advises the PIMC on the levels of aggregate contingent liability to determine the accommodation of PPPs with probable impact on the stated threshold.

Status

• The PIMC since its establishment in 2015 has received 96 project proposals and nine were selected to be implemented via PPP modality:

• The projects currently being screened are in the areas of Transportation, Development of tourism assets, Waste water treatment, renewable energy and industrial capacity

PIMS in Jamaica

PIMS in Jamaica

• The PPP programme signifies one of the planks of vision 2030.

• It represents one of the critical paths to the debt reduction strategy

• It is extricably linked to the achievement of 60% debt to GDP ratio by March 2026

PIMS in Jamaica

• Hence while the government pursues its PPP programme there is a focus on the fiscal risk involved.

• The PIMS as outlined above represents one of the chosen vehicles to respond to the challenge of managing the potential fiscal risk while facilitating the realization of the known benefits associated with execution of PPPs