Development of an integrated framework for constructive dispute resolution in infrastructure public-private partnership projects

Abstract

Despite wide international acceptance of infrastructure public-private partnerships (PPPs), they are fertile ground for disputes because of their unique features such as numerous stakeholders with differing organisational values and lifecycle arrangement for project delivery, among others. At the same time, dispute resolution (DR) in infrastructure PPPs is inadequately addressed and inefficient DR systems are prevalent. This study therefore developed a framework for constructive DR in infrastructure PPPs by embedding behaviour of PPP project parties through the lens of the Dual Concern Theory (DCT). The research employed a mixed methods approach and found that some of the sources of disputes in infrastructure PPPs include unbalanced allocation and under-pricing of risks, political interference, breakdown of commercial relationships, among others. In addition, some of the issues affecting DR in infrastructure PPPs were highlighted as inadequate information sharing, poor communication and collaboration, inadequate monitoring and evaluation systems, among others. Some critical success factors for DR in infrastructure PPPs were determined such as neutrality of the mediator, flexibility of PPP project parties, confidence in the DR system, fairness by all parties, and speed of DR. As a step towards improving DR in infrastructure PPPs, collaborative means of DR were suggested. These can be achieved through exploring solutions that are acceptable to all parties, transparency and open communication, among others. A framework for constructive DR in infrastructure PPPs was also developed. Among other theoretical contributions, this research clarified the occurrence of disputes and their resolution in infrastructure PPPs through the lens of DCT. From a practical perspective, an empirical framework that can serve as a customisable reference point when issues arise on infrastructure PPP projects, was developed.