Researchers from the Indian Institute of Management (IIM) Lucknow and IIM Ranchi have collaborated to create a novel framework aimed at enhancing governance in Public-Private Partnership (PPP) projects.

These projects, vital for infrastructure development, often encounter challenges such as contract disputes, investment risks, institutional gaps, and issues related to transparency, trust, and integrity.

Addressing governance challenges

The study, led by Prof Dipti Gupta of IIM Lucknow and Prof Santosh Kumar Prusty of IIM Ranchi, introduces a PPP Accountability Framework that integrates theoretical elements like trust, dialogue, multi-dimensionality, and external control. Published in the esteemed journal Built Environment Project and Asset Management, the research leverages real-world PPP cases to emphasize accountability themes including transparency, integrity, responsibility, and performance.

Key features of the framework

The framework offers several practical applications for improving PPP project management:

- It enables the evaluation and oversight of PPP projects by establishing robust accountability governance policies.

- It supports the creation of internal and external control mechanisms through stakeholder dialogue and collaborative decision-making, fostering transparency, trust, responsibility, and integrity.

- It assists policymakers in crafting risk-sharing policies and contract management strategies that address multiple dimensions of accountability.

Real-world applications

Prof Dipti Gupta highlighted the framework’s practical implications, stating, “the proposed accountability framework provides multifaceted implications for policymakers managing PPP projects such as maximum public display and media coverage of complete information, following joint decision-making process, clarifying individual responsibility, and continuous external and internal review of performance.” This approach ensures greater transparency and accountability throughout the project lifecycle.

Enhancing sustainability and stakeholder engagement

The framework equips policymakers, regulatory authorities, and project managers with tools to design effective governance policies, risk-sharing mechanisms, and performance management systems for PPP projects. By promoting transparency and trust, it encourages active stakeholder participation, ultimately enhancing the long-term sustainability of public infrastructure initiatives.