Explain how Private Public Partnership arrangements, in long gestation infrastructure projects, can transfer unsustainable liabilities to the future. What arrangements need to be put in place to ensure that successive generations’ capacities are not compromised?

Theme

T135 Infrastructure & investment models: PPP, Gati Shakti, concession agreements

What UPSC asks in this theme

Repeated: why PPP is needed, PPP in station and airport redevelopment, PPP shifting liabilities to future generations, concession agreement design, criticism of PPP, infrastructure for inclusive growth, and Gati Shakti coordination.

What to cover

• PPP models: BOT, BOOT, HAM, TOT
• Kelkar Committee on PPP
• Risk allocation and renegotiation
• National Infrastructure Pipeline, Gati Shakti
• Investment as capital formation

Writing the answer

• Pros, cons, and reforms in the concession framework

These notes are for the whole theme, built from all 7 of its PYQs. UPSC does not publish model answers.