Inconsistencies in project delivery systems for prisons: a comparison between public and private methods

Social, political. economical and technological factors have exerted increasing pressure on prison populations in Australia. The use of Public Private Partnerships (PPPs) has emerged as a viable approach to procure additional prisons. However, current PPP models are not a perfect solution. Within the Commonwealth of Australia, and indeed the various State jurisdictions, there are a variety of PPP systems, each with conflicting approaches, particularly in the crucial area of risk allocation. While prisons are still funded using publ ic sector finance, the predominant delivery system currently used to procure prisons in Australia is the Build-Own-Operate (BOO) approach. Subsequently inconsistencies emerge between the private, public and PPP delivery systems. Using a thematic approach to data analysis this paper focuses on the operational efficiencies (operational and construction costs) of public and private prisons. The findings of th is paper are part of a broader research project that also investigates the efficiency of management and staff and inmate satisfaction. The results indicate that these themes are inter-related and inconsistencies in one affects others regardless of procurement approach. Due to reductions in public sector expenditure the implementation of increased private sector ownership is recommended not only to meet demand for this type of infrastructure but also as a means of delivering greater efficiency. Combined with a relevant mix of private and public sector operation this would minimise some of the current inconsistencies and concerns facing governments and communities in the procurement of Australian prisons.