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India’s growth story is fueled by the infrastructural development and delivery of services. An important tool for the development as the nation progresses towards a five trillion economy is the Public Private partnership (PPP) which involves the public sector to collaborate with the private sector to develop a robust infrastructure and network for delivery of services. While the PPP agreement is an important tool in India’s growth story, the successful execution of the PPP agreement faces several challenges like misalignment of objectives, contractual ambiguities, and ineffective risk management among others which lead to the PPP projects falling into disputes. This paper discusses the key principles to effective drafting of the PPP agreement to mitigate disputes. Further, it looks at the different risks associated with the project at different phases and the preventive steps that can be undertook at the drafting stage. The paper proposes drafting techniques and risk-sharing models which shall not only reduce disputes but also address the systematic inefficiencies in the execution of the PPP agreement. Further, it looks at the clauses that can be included in the standard PPP agreement to mitigate the disputes between the parties.
Keywords:
: Public Private Partnership, Disputes, Drafting, Risk Allocation
Cite Article:
"Preventing Disputes in PPP Contracts: Best Practices for Effective Drafting", International Journal of Science & Engineering Development Research (www.ijrti.org), ISSN:2455-2631, Vol.10, Issue 2, page no.b70-b79, February-2025, Available :http://www.ijrti.org/papers/IJRTI2502109.pdf
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ISSN:
2456-3315 | IMPACT FACTOR: 8.14 Calculated By Google Scholar| ESTD YEAR: 2016
An International Scholarly Open Access Journal, Peer-Reviewed, Refereed Journal Impact Factor 8.14 Calculate by Google Scholar and Semantic Scholar | AI-Powered Research Tool, Multidisciplinary, Monthly, Multilanguage Journal Indexing in All Major Database & Metadata, Citation Generator