The Essence of Public-Private Partnership and its Intensification under Conditions of the Development of Investment and Innovation Activity

• Main Author: Komarnytska H. O.
• Format: Article
• Language: English
• Published: PH "INZHEK" 2019-03-01
• Series: Problemi Ekonomiki
• Subjects: public partner; public-private partnership; public authority; partnership; enterprise; private partner
• Online Access: http://www.problecon.com/export_pdf/problems-of-economy-2019-1_0-pages-46_51.pdf

The article specifies the essence of the concept of public-private partnership and justifies the importance of its intensification in the context of the development of investment and innovation. The regulatory aspects of interpreting the content of this concept in the context of Ukrainian legislation are considered, and the domestic and foreign literature on these issues is analyzed. It is noted that public-private partnership in its content is a rather broad concept and covers various forms of cooperation between the public and private sector. Cooperation between public and private partners is carried out within the framework of various organizational and legal models. The subject of a public-private partnership is the joint implementation of various activities (the scope of which is mainly limited by legislation of a country) on the basis of the division of tasks and risks between public and private partners. It is concluded that the literature gives different interpretations of the concept of public-private partnership: as a system of state-business relations, as specific joint projects of public and private partners, as a form of cooperation, as an alliance, as a social institution, as a form of market interaction, as a special mechanism, etc. Different approaches to understanding the concept of public-private partnership indicate various aspects of this phenomenon; therefore, it is complicated and not appropriate to reduce the interpretation of this concept to one sentence. It is determined that, as concerns content and results, a public-private partnership has much in common with typical performance agreements. At the same time, the differences are precisely in the context of management of relevant projects and the content of agreements between the public and private partners. The limits of the concepts “public partner” and “private partner” are characterized, which is important given that the identification of these partners provides the possibility of compiling the list of entities that can enter into contractual relations within the limits of a public-private partnership. The relationship between the concepts “public-private partnership” and “public-private partnership” is considered.