EPSU signs up to new campaign: Stop rush to expensive and high-risk public-private partnerships (PPPs)

Eurodad ppp Manifesto

(12 October 2017) The campaign reflects and picks up many EPSU and PSI concerns about the dangerous implications - and poor value for money - that PPPs represent. As the 2015 report on PPPs from PSI argues, PPPs have a bad track record and should not be supported. EPSU has criticized European Commissioner responsible for development aid Mr. Mimica over his support for PPPs. Public procurement remains a source of corruption also in the EU according to a new study for the Commission. “Corruption in the EU is estimated to cost EUR 120 billion per year, which represents approximately 1 percent of EU’s total GDP. Public procurement is one of the government activities that is most vulnerable to corruption. In this area alone, the risk of corruption risk is estimated to cost the EU EUR 5.3 billion annually[1]. The protection of whistleblowers, who report or disclose information on threats to the public interest that they witnessed during their work, is can contribute to the fight against corruption and to the safeguarding of fundamental rights in the EU.”

Like EPSU and PSI, Eurodad is actively campaigning to build awareness about PPPs.

The ‘Semester Alliance’ of which EPSU is a member has raised concerns to President Juncker about linking greater investment in social infrastructure to PPPs.

The new civil society campaign’s manifesto demands that western governments, the World Bank and other development banks stop prioritising PPPs over traditional public borrowing to finance social and economic infrastructure and services.

The 140+ organisations from 45 countries behind the manifesto point out that “experience of PPPs has been overwhelmingly negative and very few PPPs have delivered results in the public interest.” PPPs often cost more in the long run than conventional public funding, expose governments to financial risk, and can have a disproportionally negative impact on women and children, and undermine democracy, human and environmental rights.