Barriers in proper implementation of Public Private Partnerships (PPP) in Sri Lanka

Public Private Partnership (PPP) projects have become a proven method of infrastructure procurement that allows off-balance sheet infrastructure development. Although Sri Lanka has tried to embark on various PPP projects during 1990’s, the outcomes were far from desirable. A number of researchers have carried out investigations that have identified that inadequacy of an enabling environment has hindered implementation of PPPs. These studies have identified a range of different barriers to their adoption, though no attempt has vast far been made to systematically compare the characteristics of the Sri Lankan PPP and environment to those characteristic identified by previous research as being generically necessary for successful PPP projects. This research addresses this gap by firstly describing the evolution and characteristics of PPPs as they evolved in Sri Lanka, comparing this to the outcomes of a systematic literature review conducted in alignment with an appropriate conceptual framework (Zhang, 2005). The paper concludes that Sri Lanka as a developing country confronts many barriers in proper implementation of PPP. Mainly public opposition, distrust and lack of confidence in private sector are identifies as most crucial social barriers and other economical political and technological barriers are also visible in the industry.