Experience around the world has shown that well-structured P3 procurements can deliver public infrastructure more effectively. P3s leverage private sector expertise and transfer risk to the private sector ensuring that best value is achieved. At the same time, P3s keep ownership of the infrastructure with the government, guaranteeing that the appropriate level of public control is preserved.
The Government of Canada is committed to supporting P3 public infrastructure opportunities that deliver maximum value for Canadians, stimulate the economy, create jobs and support long-term prosperity. To this end, it gave PPP Canada the mandate to assess federal P3 opportunities; advise on the execution of federal P3s; and, more generally, serve as a source of expertise and advice on P3 matters.
To assist PPP Canada in its work, Budget 2011
created a requirement for all departments and agencies to evaluate the potential for using a P3 procurement option for their capital projects. All infrastructure projects creating an asset with a life span of at least 20 years, and having capital costs of $100 million or more, will be subject to a P3 Screen to determine whether a P3 may be a suitable procurement option. Should the assessment conclude that there is P3 potential the procuring department will be required to develop a P3 proposal among possible procurement options.
This evolution in federal P3 policy will ensure that projects with P3 potential are identified and assessed and that departments have PPP Canada’s support in undertaking these assessments.