Rwanda's Chamber of Deputies passed the Law governing public private partnerships (PPP) last Monday 09th November, 2015.
This law aims at filling the gaps in attracting potential investors and thus lead to the achievement of big projects for the benefit of the country. Francis Gatare, CEO of Rwanda Development Board, reiterated that the Government recognizes the need for partnerships between the public and private sectors in delivering public services and infrastructure by using options that make the best use of resources of both sectors. Francis Gatare commented:
"It has been proved that clear PPP frameworks, such as PPP laws, provide important instruments for attracting private sector investment."
The passed law define several PPP models including, among others, Lease-Operate-Develop (LOD), Build-Operate-Transfer (BOT), and Build-Operate-Own (BOO).
The PPP's that have been identified as a procurement method that the government can use to deliver public services and infrastructure to Rwandans will focus on the transportation sector, energy, tourism, social and IT infrastructure and the natural resources sector.
The Law governing PPP shall apply to the PPP arrangements including, among others, the management contract, whereby a contracting authority awards a partner the right to manage and perform a specific service with respect to an infrastructure facility or other asset for an agreed time period. The Law, however, will not apply to contracts subject to the Law on Public Procurement.
After discussions, deputies voted the law governing Public Private Partnerships, which shall enter into force on the date of its publication in the Official Gazette of the Republic of Rwanda.