PPP initiative yet to see full launch of any project

Two years have gone by since the establishment of the public-private partnership (PPP) office, but the implementation of any project is yet to begin under it, different sources said.
The PPP office has accorded approval to the Dhaka elevated expressway, two jetties at Mongla port and two kidney dialysis centres by private parties, but no investment on the projects is yet to be made.
At the same time, fresh approvals are awaiting five other large projects (Shantinagar-Mawa flyover, Dhaka bypass road, apartments in Mirpur and two others) in a short time as the PPP office has completed the process.
After publication of the PPP gazette notification, the office has been fully functioning since 2012, and has started identifying projects.
A good number of development projects under different ministries have already been identified to be implemented under the PPP initiative.
The public investment for the PPP projects at this moment comes only in the form of providing land to the private parties, and, in some cases, a small amount of monetary support as stimulus.
The major reason behind non-materialisation of any project in two years' time has been cited as prolonged feasibility studies on the PPP projects, an official said.
"Our PPP office is also following the global practice and methods in detail covering effectiveness, implementation, remedies and investors' interests in the case of PPP projects," he added.
Syed Afsar H Uddin, chief executive officer (CEO) of the PPP office said, "A project under public-private partnership requires scrutiny in many ways and it usually takes a long time."
He said over the last two years, his office has assessed a good number of projects, and some work orders have already been given.
"As per global standard, we want to set a sixteen-month time for detailed feasibility study of a project under our PPP office", he said.
The PPP office CEO noted, "We need to keep in mind that a PPP project should not be affected by a fully public or any other type of projects which may ruin the PPP investments."
In this regard, the appointed consultants and advisers think about the present and future prospects of a PPP project, another official said.
He added, "No scope is there for overnight planning and implementation of PPP projects for this may create problems later and jeopardise the private investors' interests."
It might seem outwardly that the PPP office has not done anything in two years' time, he added.
He said as detailed feasibility study has already been carried out for many projects, people would now understand the visible developments, and it would go on as part of a continuous process.
When contacted, a private investor who wants to work with the government, said, "As I have yet to see any PPP law, I cannot muster the courage to invest money."
He said, "I will borrow from banks by paying interest. If the authorities in a changed government cancel my PPP project, then I will lose everything."
Regarding the PPP law, the CEO said the law was awaiting vetting from the ministry of law, and after that it would be sent to the cabinet and then to parliament.
Mr. Afsar Uddin said although the law was yet to be in force, the existing rules, terms and conditions lying with the government were enough for providing security to private investments under PPP.