El Salvador Prepares a Public-Private Partnership Law

The new legal framework will give private companies authority to manage megaprojects.

Monday, August 16, 2010

Alexander Segovia, technical secretary to the president, indicated that the new law will regulate the state's participation as investor and regulating entity.

"The port of La Unión is the first megaproject that Mauricio Funes' government has announced will be carried out using the Public-Private Partnership (PPP) model. The project seeks a private interinational company to operate the shipping terminal, which is currently managed by El Salvador's state ports authority (CEPA)," reports Laprensagrafica.com.

More on this topic

Criticism of Public-Private Partnership Projects

February 2012

Representatives of employers in El Salvador say the bill submitted to the Legislature does not provide legal certainty to investors.

The draft Law on Public Private Partnerships (PPP) is unsatisfactory to businesses and analysts, and they fear that if passed in its present form, there would be enormous discretion used when carrying out its regulatory functions which would not ensure legal certainty for investors .

El Salvador: Public-Private Partnership Law Under Spotlight

August 2011

Experts from various countries have been discussing the how to make the law successful in terms of attracting foreign investment.

Flexiblity, clarity and the inclusion of detailed processes are the characteristics that should define the new public-private partnership law whose draft version is currently being re-discussed in the country.

El Salvador: 40-year Contracts for Public-Private Partnership

May 2011

The bill submitted by the Government proposes a term not exceeding 40 years, including extensions, for public-private contracts.

The government is seeking to encourage private participation in infrastructure with the new law on Public-Private Partnerships (PPP).

The proposal includes three types of contracts for the PPP:

Panama: Public-Private Partnership Law

August 2010

The government bill to regulate PPPs is now being reviewed by several sectors.

The law would regulate the role of the state in these associations, determine the involvement of private companies and define the contract and tender process.

"The government's contribution to the PPP would be through the payment of monies, concession of specified assets and the granting of rights on state-owned public property," reports Prensa.com.

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