The government is framing a national policy for public-private partnership (PPP) in infrastructure projects to eliminate inconsistencies in the rules and make infrastructure attractive to foreign investment.
The policy will clearly spell out the rights of a private sector investor in a PPP infrastructure project. It will cover areas such as implementation, monitoring and dispute resolution that have emerged as the key concerns in the PPP framework. Most states now have a PPP cell that aims to attract private investments, but there is no consistency across the states in terms of framework.
The government has already taken several initiatives to create an enabling framework for PPPs at the Centre, including establishment of a fast-track system for clearance of these projects. However, most of the investment has been concentrated in the roads sector. The new policy will attempt to make such investment more attractive in other sectors as well.