Union government has constituted a 10-member committee to review and revitalise public private partnership (PPP) mode of infrastructure development.
The committee will be chaired by former finance secretary Vijay Kelkar and submit its report within a period of 3 months from the date of its Constitution.
Members of Committee: C.S. Rajan, Dr. Shekhar Shah, S.B. Nayar, Pradeep Kumar, Vikram Limaye, Sudipto Sarkar, P.S. Behuria, Sharmila Chavaly, Representative of Ministry of Road Transport & Highways.
Terms of Reference of the Committee
- Review of the experience of PPP Policy. It will also include the variations in contents of contracts and difficulties experienced with particular conditions.
- Suggest optimal risk sharing mechanism by analyzing risks involved in PPP projects in different sectors. It will also look into existing framework of sharing of such risks between the Government and project developer.
- Propose design modifications to the contractual arrangements of the PPP based on best international practices and in correspondence with our institutional context.
- Suggest measure to Government in order to improve capacity building for effective implementation of the PPP projects.
- For firming-up its recommendations, the Committee may consult various stake holders in the different sectors including private, government sector, legal experts, banking and financial institutions and academia.
Union Finance Minister Arun Jaitley in his budget speech of February 2015 had announced that the PPP mode of infrastructure development has to be revitalized and revisited in which the major issue involved is rebalancing of risk.