THEORETICAL AND METHODOLOGICAL FEATURES OF PUBLIC-PRIVATE PARTNERSHIP IN THE IMPLEMENTATION OF ECONOMIC ACTIVITIES OF TERRITORIAL COMMUNITIES

Abstract

The article discusses the theoretical and methodological features of public-private partnership in the implementation of economic activities of territorial communities. It is proved that PPP in the process of implementing infrastructure projects can take various forms that do not deny the basic principles of partnership. The approach to managing the generated and transferred assets through a special purpose vehicle (SPV) is quite common. It is clarified that PPP is a complex mechanism of institutionally defined mutually beneficial organizational, legal and economic relations of public administration entities with private economic entities which are carried out in various spheres of socio-economic activity. The authors prove that PPP models differ in the degree of risk sharing and the level of private sector involvement, and that it is quite common to use a special purpose vehicle (SPV) to manage the assets formed and transferred on the basis of a project agreement which reflects the obligations of the enterprise, the obligations of the public partner, cases of default, the rights of termination of each party and the remuneration of the SPV.

Keywords

• public-private partnership
• territorial communities
• public sector
• private sector