During recent years, it has been the intention of the Danish government that the public sector in Denmark should enter into Public-Private Partnerships (PPPs). Accordingly, a small number of PPP projects have been completed and a couple of projects are under way. In Denmark, the intended de-velopment in PPPs has not been seen. Consequently, it is important to look at the reason why PPPs have not become a success in Denmark. The purpose of this thesis is therefore to achieve an under-standing of the reason why the public sector in Denmark has not entered into more public-private partnerships. To achieve this understanding, the thesis encompasses a multiple case study consisting of eight se-lected PPP feasibility studies. Based on the theoretic framework consisting of two contradictory theoretical points of view; the rational ideal model and the "muddling through" model, the case study should lead to an understanding of the reason why the public sector in Denmark has not en-tered into more public-private partnerships. The thesis shows that the decision-making process when entering into a PPP is characterised by be-ing complex, uncertain and vague. Consequently, there are uncertainties between objectives and means as the necessary knowledge is not at hand. Therefore, the decision makers are not able to fully survey the situation. At the same time, the financial data appear unclear and consequently, the financial benefits are hard to see. Furthermore, Danish legislation contributes to the difficulties de-termining whether PPPs are the more beneficial solution. The reason for this is that it is the respon-sibility of the Danish tax authorities (SKAT) to assess whether the PPP model used is acceptable. Hence, the public contracting authority has a limited possibility of controlling the decision-making process. The various public organisations have not, in unison, outlined legal guidelines for a PPP, but insist that they are self-governing decision makers. Accordingly, the public decision maker considers alternatives similar to the present situation. Con-sequently, the tendency is to make marginal changes and that is why the public sector in Denmark has not entered into more PPPs. The thesis demonstrates that it is essential to the public contracting authority to be able to control the decision-making process, so it is not different public organisations that will decide whether each individual PPP project is the more profitable solution. This will result in a more transparent deci-sion-making process and could contribute to more PPPs being entered into.
|Educations||MSc in Auditing, (Graduate Programme) Final Thesis|
|Number of pages||84|