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Social Development

When elephants fight, it is the grass that suffers

Mark Moseley's picture


Photo: shplendid | Flickr Creative Commons

Talk of trade tariffs and heightened geopolitical tensions are dominating news headlines recently. As developed economies consider escalating protectionist policies, it’s easy to forget about the situation many emerging markets face.

As outlined in the World Bank’s Global Economic Prospects report released in June this year, protectionist policies would affect emerging market and developing economies (EMDEs) more severely than advanced economies. And this is at a time where increased investment and spending in EMDEs, including in infrastructure, is sorely needed.

Your summer reading list: PPPs, human capital, and lessons from Iceland’s national soccer coach

Geoffrey Keele's picture


Juan Salamanca | Pexels

It’s hard to believe summer is already half over. I am sure many of you, like me, have been stuck at your desks for most of July, but here’s hoping we all get out in the sun in August. But before you go, make note of these really interesting articles that have come out over the last few months that might just make the perfect porch reading for those looking to tune out, but still stay engaged.
 
The Road
The Globe & Mail
 
Highway BR-163 cuts a rough path through Brazil’s conflicting ambitions: to transform itself into an economic powerhouse and to preserve the Amazon as a bulwark against climate change. This beautifully presented story takes you along the 2,000-kilometer BR-163 corridor in Brazil’s Amazon region to look at the competing needs of those living along this important national artery. It’s not just about a road, but about development itself, and why balancing the economic and social needs of a nation and its people is no simple task.

'Build and operate' increasingly common in social infrastructure

Simile Karasavidis's picture


Photo:  Northern Beaches Hospital | New South Wales Ministry of Health

The way that social infrastructure is being built and paid for is changing. New healthcare facilities, prisons, and public housing have long been constructed under public-private partnerships (PPPs), but the PPP model is now stretching into the operation of the facilities.

Called “operator-led PPPs”, this approach puts the private sector in charge not just of the construction of infrastructure but of the operation of services afterwards for a defined period. For instance, in a hospital PPP the private company would provide clinical services such as x-rays as well as the building. This is also known as an outcomes-based PPP.

This approach transfers operational risks from the state body to the private partner, but the state still retains oversight of the quality of service through key performance indicators, service criteria, and performance standards. Financial penalties are put in place for failure to meet the required standards.

How Managed Equipment Services in Kenya help the private sector contribute to healthcare

Cynthia Olotch's picture


Photo: DFID | Flickr Creative Commons

Health is one of the United Nation’s Sustainable Development Goals (SDGs). However, it is not feasible for any country, rich or poor, to provide its entire population with all needed health services. Accordingly, the private sector has an important role to play in closing the healthcare gap, as it contributes financial resources, innovation, and expertise.

The managed equipment services (MES) arrangement, used in Kenya, is one way to do this. MES is a business model emerging in Kenya’s healthcare system involving partnerships between the private sector and public healthcare providers that offers solutions to some of the challenges posed by the dynamic healthcare industry.
 

PPP-powered access to water — and much more

Melvin Tan's picture
Note: This blog entry was adapted from an original submission for the PPIAF Short Story Contest. It is part of a series highlighting the role of Public-Private Partnerships (PPPs) in projects and other transformative work around the world.

One of the most salient features of a public-private partnership (PPP) arrangement is the flexibility to use out-of-the-box solutions in resolving the many challenges in day-to-day operations. As a result, the PPP setup gives operators the liberty to come up with innovative solutions for more effective and efficient delivery of the most basic services.
 
Location of Laguna Province in the
Philippines. Image: Wikimedia Commons

In the Philippines, Laguna Water — a joint venture company formed as a result of a PPP between the Provincial Government and Manila Water Philippine Ventures formerly known AAA Water Corporation — is benefitting immensely from that flexibility since it took over the operations of the province-run water system in 2009. Although primarily tasked to improve the provision of water and wastewater in the three cities of Biñan, Sta. Rosa and Cabuyao — collectively known as concession area — Laguna Water’s sustainable business model allows it to participate on matters related to community development (including job generation), as well as programs centered on health, safety and environmental protection.
 
As a staunch advocate of sustainability, Laguna Water takes pride in having significantly improved access to piped, clean and affordable water to 62 percent of the population of the concession area— a far cry from the 14 percent when it started its operations in 2009. The joint venture’s PPP framework has been instrumental in putting in place water infrastructure that provides easier access and better services to customers. Today, Laguna Water is the biggest water service provider in the entire province, and is also ahead in its service-level targets on coverage, water quality and water loss reduction. 
 
Here are some details about our PPP-empowered approach.