Urban Transport : Can Public-Private Partnerships Work?
Cities exist, grow, and prosper because they take advantage of scale economies and specialization wrought by agglomeration. But output growth inevitably stresses transport infrastructure because production requires space and mobility. To prevent co...
| Main Authors: | , |
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| Format: | Policy Research Working Paper |
| Language: | English en_US |
| Published: |
World Bank, Washington, DC
2014
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| Subjects: | |
| Online Access: | http://documents.worldbank.org/curated/en/2014/05/19540255/urban-transport-can-public-private-partnerships-work http://hdl.handle.net/10986/18746 |
| Summary: | Cities exist, grow, and prosper because
they take advantage of scale economies and specialization
wrought by agglomeration. But output growth inevitably
stresses transport infrastructure because production
requires space and mobility. To prevent congestion from
crowding out agglomeration benefits and to expand the supply
of urban land, cities must invest in transport
infrastructure. Yet balancing the growing demand for
infrastructure with its supply is often difficult. In
particular, many cities lack the funding to maintain and
expand streets and urban highways. Also problematic is that
roads are managed like a social service rather than
subjected to market discipline. This leads to the central
question of this chapter: Can public-private partnerships
(PPPs) deal with these problems better than conventional
public provision and ensure proper maintenance, timely
expansion, and less congestion? And if so, how? To answer
these questions, the paper examines what PPPs can do and
what they need to work, focusing in particular on the role
of institutions. This is followed by an investigation of
common PPP pitfalls and the ways in which they can be
avoided. The paper concludes with a case study of a
successful transportation PPP in Chile that emphasizes the
importance of planning. |
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