Public-Private Partnership: An Analysis of the Legal Features of PPP Instrument in the Albanian Reality



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Submitted Mar 11, 2020
Published Mar 24, 2020
10.24018/ejbmr.2020.5.2.270

Abstract viewed = 420 times

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Ensuring high productivity in public services has been required to be achieved by reducing costs and at the same time by raising standards. This is indeed a challenge intended for which the public sector has turned its eyes on the market. The latter's mechanisms and management methods used by the private sector in the production and delivery of services have become the management philosophy that has characterized public sector reforms in recent decades. Nowadays the main objectives of public sector organizations are to reduce costs and increase the efficiency of operations, which has steered these organizations towards the outsourcing model. Transferring or subcontracting a private entity for some of the operations of public institutions is a concept already known to public sector managers. Heads of various public institutions see the transfer of part of their operations or all operations to private entities as the proper way to provide added value public services. One of the widely used ways of engaging private parties in public projects is the Public Private Partnership (PPP). Implementation of this public-private partnership ensures immediate service availability, debt and public budget avoidance, management, technology and higher performance in service standards and contract enforcement. This type of engagement requires a great deal of attention to the legal framework in order for the private sector to participate in public affairs and services in a regular and reasonable manner and also in order to protect the public interest, maximize the value for money and ensuring appropriate risks sharing.

Keywords: Public-private partnership, law, public organizations, efficiency

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