PPP and risk management
Series: Building Economist ; June 2003, 17-23(7)Publication details: 2003Subject(s): Summary: Discusses risk and risk valuation on PPP projects looking at the key issues. Transfer of risk to the private sector has been identified as the major component of value improvement in PPP. Therefore the valuation of risk is critically important in determining the Public Sector Comparator (PSC) and then in assessing the relative merits of bids received, compared to the alternative of traditional public procurement. Discusses simplistic methods for risk valuation proposed for use in the PPP literature and questions their validity as they may undervalue risk. Recommends using the whole probability distribution based on historical data where possible to value risk.| Item type | Current library | Call number | Copy number | Status | Barcode | |
|---|---|---|---|---|---|---|
| Journal article | London Journal article | ABS66902 (Browse shelf(Opens below)) | 1 | Available | 123012-1001 |
Browsing London shelves, Shelving location: Journal article Close shelf browser (Hides shelf browser)
Discusses risk and risk valuation on PPP projects looking at the key issues. Transfer of risk to the private sector has been identified as the major component of value improvement in PPP. Therefore the valuation of risk is critically important in determining the Public Sector Comparator (PSC) and then in assessing the relative merits of bids received, compared to the alternative of traditional public procurement. Discusses simplistic methods for risk valuation proposed for use in the PPP literature and questions their validity as they may undervalue risk. Recommends using the whole probability distribution based on historical data where possible to value risk.