PPP (Public-Private Partnership)
Definition
A public-private partnership is a cooperative arrangement between a government agency and a private-sector company used to finance, build, and operate projects that serve the public interest. PPPs allocate risk and reward between public and private partners based on contractual agreements.
Context
Oman has increasingly adopted the PPP model to deliver infrastructure and services without placing the full financial burden on the state budget. Projects in power generation, water desalination, waste management, and transport have been structured as PPPs.
Example
The Barka desalination plant was developed as a PPP, with a private consortium financing, constructing, and operating the facility under a long-term contract with the government, which guarantees water purchase at agreed prices.