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Management͒ was reported. Their work inspired the writers of this paper to continue from where they left it. Based on a two-stage literature review, PPP articles from 1998 to 2008 were analyzed in terms of the annual number of PPP articles published, the writers' contribution, and the research focus in their studies. From the analysis it was found that the number of PPP publications in these journals has been increasing. This finding might imply that PPPs are becoming more important to the construction industry at large. In addition, this study also found that the U.K. researchers have published the largest number of PPP articles, followed by those from the United States, Singapore, Hong Kong, Australia, China, and Germany. Although the build-operate-transfer scheme was the most frequently investigated form of PPP in earlier research, the diverse concept of PPP has attracted a lot of research interest and has become the focus of most recent PPP publications. Research topics published in these journals on investment environment, governance issues, and other supported areas tend to receive more attention from researchers. Moreover, complicated and vigorous analysis techniques such as game theory and fuzzy set theory have also been applied in this field of study.

PurposeBased on the Chinese government's increased public‐private partnership (PPP) experience in the last decade, they have made a lot of efforts to improve the investment environment. This paper hence aims to conduct a more up‐to‐date evaluation of the potential risks in China's PPP projects.Design/methodology/approachAs part of a comprehensive research looking at implementing PPP, a two‐round Delphi survey was conducted with experienced practitioners to identify the key risks that could be encountered in China's PPP projects. The probability of occurrence and severity of the consequence for the selected risks were derived from the surveys and used to calculate their relative risk significance index score.FindingsThe results showed that the top ten risks identified according to their risk significance index score are: government's intervention; poor political decision making; financial risk; government's reliability; market demand change; corruption; subjective evaluation; interest rate change; immature juristic system; and inflation. Further analysis was conducted on these risks so that the possible consequence, the most impacted parties, and the preferred allocation are discussed. Recommendations on commercial principles or contract terms between the Chinese government and private consortium are also provided.Originality/valueThese up‐to‐date findings concerning the probability and consequence of key risks would provide a valuable reference for private investors who are planning to invest in infrastructure projects in China.

It is important for the public and private sectors to establish effective risk allocation strategies for public-private partnership ͑PPP͒ projects in order to achieve a more efficient process of contract negotiation and reduce the occurrence of dispute during the concession period. This paper aims first to identify the preferred risk allocation in PPP projects of mainland China and the Hong Kong Special Administrative Region ͑referred to as China and Hong Kong from here onward͒ and then to compare these preferences to those in the U.K. and Greece by a questionnaire survey based on the same risk register. The results in China and Hong Kong show that the public sector preferred to retain most political, legal, and social risks, and share most microlevel risks and force majeure risk; while the majority of mesolevel risks were preferred to be allocated to the private sector. The comparative analyses of risk allocation preference among these four countries/jurisdictions indicate that the public sector in the U.K. was most able to transfer the PPP risks to the private sector, followed by Greece, Hong Kong, and China. Respondents from Greece exhibited the greatest degree of support for the public sector to retain the macrolevel risks. All respondents agreed that private investors should take a more active role in managing the mesolevel risks. Respondents from China and Hong Kong considered that majority of the microlevel risks should be shared equally between the public and private sectors, while respondents from Greece indicated that the private sector should take a more active role in managing the microlevel risks. The comparative study provides international investors a better understanding of risk preferences in different countries/jurisdictions so that they could adjust their strategies according to the specific situation and achieve better value for money in running their PPP projects.

Purpose-The purpose of this paper is to develop a life cycle risk management framework for public private partnership (PPP) infrastructure projects that lead to the realization of value for money and balance of interests between different partners including the public and end users. Design/methodology/approach-This paper draws on extensive theoretical research and literature reviews, coupled with case study methodologies. A comprehensive review of current literature in the field was first carried out. Then three PPP infrastructure projects, two from Australia and one from China, are studied to scrutinize reasons leading to their dilemma and articulate the valuable lessons learnt in relation to risk analysis and mitigation. Findings-The paper found that properly assessing risks (financial, government's political and public's acceptance/rejection risks), ensuring value for money and protecting the public (and end users') interests are essential in PPP infrastructure projects and this can only be achieved through optimal risk identification, assessment, allocation and management from a life cycle perspective and balanced interests between the Government/public and private partners as well as product end users. Research limitations/implications-The paper was limited to proposing the framework; therefore the next step should be testing the framework. Practical implications-The framework proposed in this paper should be practical and useful for professionals in managing the risks associated with the procurement of PPP infrastructure projects. Originality/value-The PPP method has been increasingly used to procure large-scale infrastructures such as freeways, railways, tunnels and bridges worldwide. While there have been many successful PPP projects, unsuccessful cases abound and studying them can help people better manage the risks in future PPP infrastructure projects. To ensure the success of PPP infrastructure projects, it is important for all partners to manage the risks from a project life cycle perspective, in which risks are identified and assessed in the earliest possible project stage and are allocated to the parties who are in the best position to control them. Furthermore, it is also important to continuous monitor the risks and develop proactive risk respond strategies throughout the project life cycle. To this end, this paper provides a life-cycle risk management framework for PPP infrastructure projects.

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During the past decades in China, the traditional state monopoly has experienced difficulties in meeting the huge demand for new infrastructure and improvement in service levels, engendering the growth of different forms and degrees of private sector involvement. Since the 1990s, China has started experimenting with the public-private partnership (PPP) delivery method in the water supply sector. However, many problems stemming from unsuccessful risk management have been encountered in PPP applications that have eventually led to project failure. This paper aims to identify and evaluate typical risks associated with PPP projects in the Chinese water supply sector. A literature review, a Delphi survey, and face-to-face interviews were used to achieve these objectives. Finally, a register of 16 critical risk factors (CRFs) of water PPP projects in China was established. The findings revealed that completion risk, inflation, and price change risk have a higher impact on Chinese water PPP projects, whereas government corruption, an imperfect law and supervision system, and a change in market demand have a lower impact on the water supply sector. The findings can help project stakeholders to improve the efficiency of privatization in public utility service and provide private investors with a better understanding while they participate in the enormous Chinese water market through the PPP mode.

When contracting parties adopt relational contracting (RC) as opposed to formal contracting stance, the construction project may achieve good outcomes. However, public projects usually face more constraints in adopting RC, as close relationships may lead to allegations of corruption. The aim of this study is to undertake a comparative analysis of drivers and barriers to adopting RC practices in public construction projects in two different markets viz. a centrally planned economy and a free market economy by investigating practices in Beijing and Sydney. The survey research design was adopted and data of public construction projects in Beijing and Sydney were collected using a structured questionnaire. The results revealed that relationship quality and level of harmony among contracting parties are significantly good in both cities. In Sydney, the level of inter-personal relations between contractors and consultants is significantly higher than in Beijing. It was found that the same 18 factors drive contracting parties in Beijing and Sydney to adopt RC practices, and in 6 instances, these are significantly greater drivers in Sydney. The barriers to adopting RC practices are totally dissimilar in both cities. Contracting parties in Beijing could not adopt more RC practices because of a lack of training in relational arrangement and public clients lack initiative in adopting RC practices. The conservative industry culture that encourages preservation of the status quo is also prevalent in Beijing. In Sydney, the only significant barrier is public sector accountability concerns. To cultivate readiness to embrace RC practices, it is suggested that industry professionals and the government adopt recommendations highlighted in this study according to the type of market structure.