Public Governance of Public-Private Partnerships

In recent years, governments are increasingly facing the challenge to build effective bureaucracies to deliver quality public services. This is a complex task as citizens’ expectations for economic and social well-being put governments under immense pressure not only to perform, but also to minimise costs. To meet the rising expectations, some government leaders have overcome these obstacles and achieved remarkable results by dramatically increasing the value of the services they provide and becoming High Performance Governments.

In this GovLab report, we present a framework that was developed to explore some of the most important features and respective enablers of a High Performance Government. Later, we apply this framework to Indonesia’s context, conducting a high-level review of governance structures in Indonesia across three key functional areas: Public Finance Management, Infrastructure Development, and Public-Private Partnerships.

With infrastructure development as the Indonesian government’s top policy priority, a number of policy reforms have been made to boost the effectiveness of the nation’s Public-Private Partnerships. These projects, however, are long-term endeavours and require consistent and continuous governance and management efforts in order for visible results to be shown. To support Indonesia in maximising its potential in this area, we take a closer look at Indonesia’s Public-Private Partnerships later in this report.

Finally, a few high-level recommendations were made for government leaders to consider as they develop actionable plans to tackle these challenges and ultimately deliver higher quality public services to their citizens.