Finmin creates space for PPP in social projects
The finance ministry is working out a road map to usher in the private sector in education and health. The PPP format being developed may take a cue from the model for private sector funding in education in the UK.
By Radhika Bhalla, TNN |
NEW DELHI: The finance ministry is working out a road map to usher in the private sector in education and health. The PPP format being developed may take a cue from the model for private sector funding in education in the UK.
In the UK, the PPP model for education entails private sector funding in the construction and maintenance of school premises while the management of the teaching staff and payment of salaries remains in the government domain.
“We are in the process of developing a PPP format for the education and health sectors. The UK model is being looked at. However, there are several nuances that need to be addressed since private sector investment in the social sector is different from private investment elsewhere,” a finance ministry official told ET.
Among issues that need to be addressed, setting out detailed performance standards and justifying costs quoted by private players for construction and maintenance are paramount.
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