A public-private partnership (P3) is an alternative approach to designing, building, financing and/or maintaining public assets. P3s come in a variety of arrangements across Canada, with recent estimates of close to 300 active P3 projects with a $140 billion market value. There are noted incentives – including risk transfer, innovation, on-time and on-budget performance. There are also noted drawbacks – including the cost of private financing, complexity, and risks that politics or ideology cloud the picture. The presentation will describe the common types of P3s in Canada and explore the incentives and drawbacks.
Legislative auditors across Canada have conducted performance audits of P3s and Canadian accounting standards will introduce new reporting requirements effective April 1, 2023. The presentation will include several examples of these performance audits and a summary of the new accounting changes.