Public private partnerships in development cooperation - Potential and pitfalls for inclusive green growth

Partnerships have Inclusive Green Growth potential…

Public-private partnerships are generally expected to improve public services delivery, enhance local representation and stimulate efficiency. Evidence of whether they succeed in doing so is, however, mixed. This study finds that bringing private sector, civil society and public actors together helps in finding innovative approaches towards addressing Inclusive Green Growth issues. Sustaining partnership activities remains challenging, however, as the cost recovery of public service delivery remains an important bottleneck.

…but certain pitfalls need to be addressed upfront

Hence, realisation of the Inclusive Green Growth potential of partnerships requires that the challenges of stimulating growth that is both green and inclusive are better addressed. This implies, for example, that in the design of the partnership agreement more attention is paid to the allocation of risks and responsibilities, and that the interests of the different partners are explicitly defined, negotiated and aligned. In this study, we elaborate both the conditions for effective public-private partnerships and the requirements for Inclusive Green Growth strategies, and after assessing nine ongoing partnerships in the fields of water and sanitation, food security and renewable energy, recommendations are presented for improved partnership design.