Critical Success Factors for Public Private Partnerships in the Water Sector in Kenya
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Date
2021
Authors
Njeru, Albert Njeru Gatuta
Maingi, James
Journal Title
Journal ISSN
Volume Title
Publisher
International Academic Journals
Abstract
Public-private partnerships (PPPs) are
essential because they facilitate the
implementation of infrastructure projects
in developing countries. The benefits of
these projects are greater in developing
countries where public funding for
infrastructure development cannot meet
demand. The Kenyan government, through
the PPP Unit, has undertaken a number of
PPP projects with the aim of reducing
infrastructure gaps. Presently, the
government has 47 ongoing PPP projects
in different ministries. The challenge for
the Ministry of Environment, Water and
Natural Resources is that although the
primary legislation sets the legal
framework for PPP transactions, there is
no per-sector PPP policy that coordinates
PPP process, human resource capacity,
leadership and resources. The absence of a
per-sector PPP policy framework that
meets the needs the ministry motivated
this research. The general objective of the
study was to develop a framework for
successful PPP model in water and
sanitation in Kenya. Specific objectives
were: To identify key factors for
consideration in adopting a PPP project; to
determine the factors that affect success
levels of PPP projects; to identify key
issues for consideration in the choice of a
partner; and to investigate the selection
criteria for the best form of partnership.
The study used a descriptive design to
develop and test hypothesis on the
determinants of success in PPP projects in
water and sanitation. Exploratory research
design complemented the descriptive
approach in establishing relationships
among the determinants of success in PPP
projects. A mixed method approach was
used to collect data from a sample of 16
employees and director at the PPP Unit
Secretariat. Unstructured interviews and
structured questionnaires were used for
data collection. The responses were
entered into Hyper Research and Statistical
Package for Social Sciences (SPSS)
software programs for qualitative and
quantitative analysis respectively.
Qualitative analysis produces themes on
the determinants of PPP success while
quantitative analysis provided descriptive
and inferential statistics to describe the
relationships between variables on the
determinants of PPP success. The findings
of the study revealed that implementation
of public-private partnerships in water
sector was affected by various factors such
as operating, revenue, technical,
construction, regulatory, project, force
majeure and environmental risk. Also,
from the regression model, the findings
revealed that coefficient of adjusted R2
was 0.795 which translates to 79.5%. This
explains that 79.5% changes of public
private partnerships can be explained the
following variables; factors to consider
when adopting PPP projects, success
factors for PPP projects, factors for
selection of PPP project and selection
criteria for best. The study concluded that
implementation of public-private
partnerships in water projects is affected
by factors such as risks involved,
government control, procurement process,
political stability, manager competences
among others which need to be addressed.
The study recommends that the formation
of governance structures of the
partnerships must be done according to the
framework provided with strict conformity
with the rules and regulations as set out by
the regulatory authority so that proper
checks and balances can be instituted to take cognizance of the interests of the
parties involved in the formation of PPPs
Description
An Article Published in International Academic Journal of Arts and Humanities |