Gridlines share emerging knowledge on public-private partnership and give an overview of a wide selection of projects from various regions of the world. Gridlines are a publication of PPIAF (Public-Private Infrastructure Advisory Facility), a multi-donor technical assistance facility. Through technical assistance and knowledge dissemination PPIAF supports the efforts of policy makers, nongovernmental organizations, research institutions, and others in designing and implementing strategies to tap the full potential of private involvement in infrastructure.
(World Bank, Washington, DC, 2007-09)
This article points out that regulatory
governance-how regulators manage concession contracts, or
other public-private contractual arrangements and sector
laws-can affect the private sector's perception of
regulatory risk and thus the availability of private capital
for infrastructure projects. Four key elements of the
regulatory governance structure can reduce the risk of
regulatory failure: political and financial autonomy,
decision-making structures that reduce regulatory
discretion, access to effective enforcement and other
regulatory tools, and efficient rules of accountability.
This note presents an analytical framework based on those
four elements and applies it in assessing regulatory
governance in Brazil.