Benefits Of Using Ppps Delivery Method

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1.0 Description of the Problem Each delivery method in the construction industry has some challenges that need to be considered to get the project done on time without any issue. Indeed, payment mechanisms play a major role in PPPs contracts because they allocate the risks between the public and the private parties. Therefore, they are essential because they reflect both of the levels of service required as well as the most cost-effective transfer of risk to the private entity . Since the PPPs are used to develop public facilities , such as hospitals, roads, and defense facilities, we have to pay more attention to the payment mechanisms and the risks that are associated with these types of project. The main reason for that is they can significantly affect the outcomes of the PPPs because they can influence the incentives of the public and private entities to deliver the facility that must satisfy the users requirements and needs . There is a few concerns come up when using PPPs delivery method. One of the most important concerns is the effectiveness of the payment mechanisms to achieve the government’s objectives in a particular project. Moreover, it is a fact that each payment mechanism has a unique advantage and disadvantage. Therefore, the need to develop and investigate new payment mechanisms has been raised to have a payment mechanism that has the most of the available advantages in the other payment mechanisms. 2.0 Research Questions or Hypothesis Addressed in
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