2007年-世界发展银行全球_Public-Private_Partnerships_in_the_New_EU_Member_States_48页_790kb

Summary of Public-Private Partnerships in the New EU Member States: Managing Fiscal Risks

Core Content

This paper examines the fiscal implications of public-private partnerships (PPPs) in the New EU Member States (NMS), specifically the "EU8" countries (Czech Republic, Estonia, Hungary, Latvia, Lithuania, Poland, Slovakia, and Slovenia), which joined the EU in 2004. It explores how PPPs can be used to create fiscal space for public infrastructure investment while highlighting the associated fiscal risks and the importance of strong fiscal institutions in managing them.

Main Points

Fiscal Effects of PPPs

PPPs are often used to promote investment and generate fiscal savings. However, their fiscal effects are not always clear due to the nature of the obligations they create. These obligations may not be fully reflected in the government's fiscal accounts, making it difficult to assess their true impact.

• Fiscal Savings: PPPs can reduce immediate fiscal pressure by shifting upfront costs to the private sector.
• Fiscal Obligations: Governments may still face long-term fiscal liabilities, such as availability payments or guarantees, which are not always captured in traditional fiscal metrics.

Types of Fiscal Obligations

PPPs create both direct and contingent fiscal obligations, which can be explicit or implicit.

• Direct Obligations: These are obligations that must be fulfilled regardless of future events.
• Contingent Obligations: These arise only if certain conditions are met (e.g., traffic levels, revenue thresholds).
• Explicit Obligations: These are legally binding and recorded in official accounts.
• Implicit Obligations: These are not always recorded but may still impose fiscal burdens.

Fiscal Risks

PPPs introduce fiscal risks that can undermine long-term fiscal sustainability. These risks arise from:

• Uncertainty in Revenue: If the final users (e.g., citizens, businesses) do not pay enough, the government may have to step in.
• Contingent Liabilities: Governments may be required to provide financial guarantees, which can lead to unexpected fiscal costs.
• Potential for Creative Accounting: Governments may misclassify expenses to avoid fiscal constraints, leading to fiscal instability.

Key Information

Fiscal Institutions and PPPs

The design and use of PPPs are heavily influenced by the fiscal institutions of a country. These include:

• Fiscal Targets: Such as Maastricht criteria for debt and deficit.
• Budgeting Procedures: How governments plan and allocate resources.
• Accounting and Auditing Standards: The transparency and accuracy of financial reporting.
• Responsibility Assignment: Who is accountable for fiscal decisions in PPPs.

These institutions shape the incentives for policymakers and affect the availability of information and the capacity to manage risks. Strong fiscal institutions are essential for ensuring that PPPs are well-designed and do not create undue fiscal burdens.

How Fiscal Institutions Affect Fiscal Cost of PPPs

• Short-Term Incentives: Institutions that reward short-term fiscal discipline may lead to poorly designed PPPs that do not account for long-term costs.
• Information Availability: If fiscal institutions only track traditional liabilities, they may miss the contingent obligations of PPPs.
• Risk Management Capacity: Institutions that allow governments to analyze and manage risks can lead to more sustainable PPPs.

Directions for Further Reform

The paper proposes several institutional reforms to better manage the fiscal risks of PPPs:

1. Increase Awareness of Fiscal Risks: Educate officials and politicians about the long-term implications of PPPs.
2. Improve Disclosure Requirements: Mandate transparency in PPP contracts and fiscal obligations.
3. Enhance Fiscal Planning and Budgeting: Ensure that PPPs are integrated into long-term fiscal strategies.
4. Develop Risk Management Tools: Create mechanisms for monitoring and managing exposure to fiscal risks.

Conclusion

PPPs can be a valuable tool for promoting sound and fiscally responsible investment in infrastructure, especially in the EU8 countries. However, they must be managed with care to avoid fiscal risks. Strong fiscal institutions are critical in ensuring that the benefits of PPPs are realized without compromising long-term fiscal sustainability.

Key Examples

• Road Infrastructure: Many EU8 countries use PPPs for roads, often with guarantees or availability payments.
• Electricity and Water: PPPs are less common, but when used, they involve availability payments or guarantees.
• Public Buildings: PPPs are used for schools, hospitals, and prisons, with the private sector financing and building, while the government ensures availability and may charge usage fees.
• Case Studies:
  • Poland's A2 Motorway: Financed with a mix of private and public funds, supported by a government guarantee.
  • Hungary's M5 Motorway: Initially supported by guarantees, later shifted to availability payments.
  • Czech Republic's D47 Motorway and "Internet for Schools": Examples of PPPs in infrastructure and public services.
  • Spain's Exchange Rate Guarantees: Led to significant fiscal costs.

Tables and Figures

• Table 1: Selected Liabilities from PPPs and Other Privately Financed Infrastructure Projects.
• Table 2: Possible Real Fiscal Effects of PPPs on Net Worth.
• Table 3: Improving Fiscal Institutions for PPPs at a Glance.
• Figure 1: Comparing Public Finance to a PPP with a Long-Term Purchase Contract.

References

The paper draws on studies and reports from various institutions, including the European Investment Bank (EIB), the World Bank, the European Bank for Reconstruction and Development (EBRD), and the International Monetary Fund (IMF). It also references historical examples and case studies from different countries to illustrate the fiscal implications of PPPs.

Authors and Publishers

• Authors: Nina Budina, Hana Polackova Brixi, Timothy Irwin
• Publisher: The World Bank
• ISBN: ISBN-10: 0-8213-7153-3, ISBN-13: 978-0-8213-7153-4, eISBN: 978-0-8213-7154-1
• ISSN: 1726-5878
• DOI: 10.1596/978-0-8213-7153-4

Acknowledgments

The authors acknowledge the contributions of numerous experts and institutions, including the World Bank, the Czech Ministry of Finance, and various government officials and researchers from the EU8 countries. The report is part of a series of studies on public finance reform in the Central European and Baltic countries.