Challenges Facing Implementation of Public Private Partnership Projects in Nairobi City County

Kevin Mulama, Yusuf Muchelule

Abstract


This study addresses the issues that challenge the implementation of the public private partnership projects in Nairobi City County. Like all projects, implementation stage is always faced with challenges that have to be overcome to realize the desired outcome-in this case Nairobi City County has to be able to face the challenging situations which have to be dealt with in order to realize its development plan. This study has identified those challenges. The general objective was to find out the challenges that face the implementation of Public Private Partnership Projects in Nairobi City County. The specific objectives were: the examination of policy framework; institutional framework; legal framework; project planning; and project cost sharing among partners in a PPP at Nairobi City County. The problem being lack of effective policy, institutional and legal frameworks or poor planning of PPP projects. The Primary data was collected using interview guide and use of questionnaires while secondary data was collected through desk research. Through stratified sampling, Finance and Economic Sector was selected to participate in the study. This is the sector that deals with PPP project implementation. The study used primary data, which was gathered from respondents using a structured questionnaire, which was analyzed using descriptive statistics. Staffs of departments whose functions use the PPP strategy were given questionnaires that they filled and responded accordingly. The study found out that despite PPP Projects being under the Finance and Economic Sector most of the staff were not actively involved in PPP Project selection, the PPP Policy, Institutional and Legal frameworks are not adequate enough to permit effective implementation of PPP Projects. Equally the level of involvement of staff in project planning is also on a very low scale. In terms of Cost sharing respondents felt that it does not play a major role in PPP project implementation. The study also studied the contract agreements, minutes of council and/or county resolutions and quarterly reports to get secondary data. Content analysis was used to analyze the data collected. The study concluded that the main challenges facing the implementation of PPP Projects at Nairobi City County are ineffective policy, institutional and legal framework. The study recommends that staff in the relevant sector dealing with PPP be fully involved in project implementation from the policy formulation stage through planning to project completion stage. The staff also needs to be trained on Project Management.
Key words; Projects; Public private partnerships; cost sharing; legal; institutional and policy frameworks

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