Project implementation arrangement Depending on the size, nature and complexities involved in project
implementation, either the Project Director/Manager and the project team (with new
members having the expertise to oversee the progress of construction), or a new
project implementation set-up may need to be established before the actual
procurement process begins.
For a large project, a full-time team with the requisite expertise headed by a
Project Manager of appropriate level of seniority can be considered. The Project
Manager should be fully empowered and should be senior enough in position to
handle the complex coordination activities between different government
departments that may be required.
For a very large and complicated project, the government may decide to
establish a fully empowered separate/new implementing agency, which can
coordinate and manage the numerous activities and parties involved in the project
development, construction, operation and management, and can finally take over
after the end of the contract tenure, or as needed.
C. PRE-PROCUREMENT TASKS The feasibility study should provide certain outcomes that are essential before
proceeding with procurement activities. These outcomes include:
• Detailed understanding of all aspects of the project (physical, financial,
legal and administrative);
• Output and service specifications;
• Third
parties31 involved in the project and the risks;
• Any ancillary project that will have to be implemented
• Funding
sources;
• Payment
mechanisms;
• Risk analysis with sources, effects, likely costs and their sensitivity; and
• Due
diligence.
31.
Third party risks are those risks that arise because of failures by parties that are not involved with the main
project contract but may affect the completion or operation of the project, for example, utility connections by
concerned agencies.
A Guidebook on Public-Private Partnership in Infrastructure 61 If any of these outputs are not available, further work on them would be required
before initiating the procurement process.
