Critical Success Factors on PPP Water Project in a Developing Country: Evidence from Indonesia

Abstract

This study aims to explore the critical success factors of the Water Public-Private Partnership (PPP) Projects in developing country with evidence from Indonesia. We all know that water is a basic need and therefore it becomes very important for the governments especially in the developing countries to develop and formulate a comprehensive water policy to deliver and manage the water services in the most appropriate manner as well tackle several challenges such as budget and project efficiency. In this context, PPP is a promising scheme to address the water problems, hence it becomes important to reveal the success factors of water PPP projects. An Analytic Hierarchy Process (AHP) questionnaire built from delphi methods is used to capture the perception of the relevant stakeholders in relation to the success factors. The results of this study show the most critical success factors in PPP water projects is the support and acceptance of the stakeholders from the community, whereas the private and public entities are the the second and third important factors. These findings contribute to the success of the PPP stakeholders by enhancing the policy-making decision process and by executing the water policies to support the development of PPP in the Water Sector.

Management of National eID Infrastructure as a State-Critical Asset and Public-Private Partnership: Learning from the Case of Estonia

“…A lot of studies identify PPP success factors in developing countries (Ameyaw & Chan, 2016;Babatunde et al 2016;Muhammad & Johar, 2018;Surachman et al 2020). One of these examples is the study by Babatunde et al (2012) about PPP in delivering infrastructure in Nigeria, which showed that public and private sector views on critical success factors is different.…”

“…While conducting the literature review, we did not find similar works carried out directly in the field of eID, not even in the field of ICT (information communication technology). Papers mainly focus either on large-scale infrastructure projects such as water management, energy supply, aviation sector or on case studies of developing countries (Ameyaw & Chan, 2016;Babatunde et al 2016;Muhammad & Johar, 2018;Surachman et al 2020), or comparison of several practices such as the study of Cheung et al (2012b).…”

Macroeconomics Indicator, Institutional Quality, and Public Private Partnership: A Case of Indonesia

“…The private sector's willingness to participate in PPP infrastructure projects is influenced by internal functions (for example, the nature of the company) and external factors (for example, institutions, government behavior, and project characteristics) (Chan, 2017;Xiao & Lam, 2020;Ye et al, 2018). In Indonesia, several studies using different methods also discuss critical factors for PPP projects (Surachman et al, 2020;Wibowo & Alfen, 2014). Surachman et al (2020) in his research found the main success factors of the PPP Water project in Indonesia, including stakeholder support which includes all communities, both users and communities affected by the project, government readiness which includes policy making, and providing guarantees, arrangements including project feasibility, and project preparation.…”

“…In Indonesia, several studies using different methods also discuss critical factors for PPP projects (Surachman et al, 2020;Wibowo & Alfen, 2014). Surachman et al (2020) in his research found the main success factors of the PPP Water project in Indonesia, including stakeholder support which includes all communities, both users and communities affected by the project, government readiness which includes policy making, and providing guarantees, arrangements including project feasibility, and project preparation. Wibowo and Alfen (2014) identify the critical success factors of the macroenvironment (CSF) and key areas for improvement of infrastructure public-private partnership (PPP) in Indonesia.…”

Analisis Value for Money Pada Evaluasi Kelayakan Investasi Infrastruktur Publik Kerjasama Pemerintah Badan Usaha Sistem Penyediaan Air Minum Kota Pekanbaru (Kpbu Spam Kota Pekanbaru)

“…Kajian terhadap proyek KPBU yang ada di Indonesia telah dilakukan oleh (Surachman et al, 2020;Sutantiningrum et al, 2019), pada risiko-risiko terhadap keberhasilan proyek KPBU SPAM, pembagian risiko pemerintah dan swasta adalah kunci terhadap keberhasilan pelaksanaan proyek KPBU. Pelaksanaan skema KPBU di Indonesia, beberapa studi lainnya telah dilakukan untuk melihat implementasi dari proyek KPBU, Studi literatur lainnya yang pada intinya menerangkan tentang regulasi, model, proses dan teknik yang digunakan pada skema KPBU disediakan untuk memberikan alternatif pembiayaan terhadap pembangunan infrastruktur (Ikhsan et al, 2016;Oktaviani et al, 2020;Pangeran, 2018;Wibowo, 2016).…”