Seoul Declaration on Public-Private Partnerships for Infrastructure Development in Asia and the Pacific

The Seoul Declaration on Public-Private Partnerships for Infrastructure Development in Asia and the Pacific (PDF) was adopted at the Ministerial Conference on PPPs for infrastructure development, held in Seoul, Republic of Korea, on 5 October 2007. On 30 April 2008, a slightly revised version of the Seoul Declaration was adopted by the United Nations Economic and Social Commission for Asia and the Pacific in its resolution 64/4 entitled "Implementation of the Seoul Declaration on Public- Private Partnerships for Infrastructure Development in Asia and the Pacific" (PDF).

PREAMBULAR

We, the Ministers attending the Ministerial Conference on Public-Private Partnerships for Infrastructure Development in Asia and the Pacific, held at Seoul, Republic of Korea, 5 October 2007,

Recognizing the increasing impact of globalization, and the substantial growth in output, trade and investment being experienced by many countries in the Asia and Pacific region,

Stressing the crucial role of economic and social infrastructure, including transport facilities and services, water, waste water treatment, power supply, telecommunications, education, health and welfare facilities in supporting continued economic and social development and achieving the Millennium Development Goals,

Recognizing that inadequate infrastructure facilities and services have strong adverse effects on production and transactions costs as well as on levels of social and personal health and welfare, which are affecting development efforts and preventing our countries from realizing their full development potential,

Realizing that infrastructure requirements are significantly larger than normal budget provision and that innovative solutions are needed to raise resources for financing the development of infrastructure, as well as to create incentives to promote the maintenance of infrastructure,

Recalling General Assembly resolution 55/2 on the United Nations Millennium Declaration of 8 September 2000; General Assembly resolution 60/1 on 2005 World Summit Outcome of 16 September 2005; the Johannesburg Declaration on Sustainable Development adopted at the 17th plenary meeting of the World Summit on Sustainable Development on 4 September 2002; and the Monterrey Consensus of the International Conference on Financing for Development, adopted at the 5th plenary meeting on 22 March 2002, all of which support and promote the concept of public-private partnerships (PPPs) in the development process,

Reiterating the importance of the ten universal principles of the United Nations Global Compact in the areas of human rights, labour standards, the environment and anti-corruption,

Convinced of the important role that PPPs can play in infrastructure development,

Realizing the need to address a number of issues of major concern to both the public and private sectors that impede the development of effective partnerships,

Being aware of the need to enhance or create an environment that is conducive to private sector participation in the provision of infrastructure facilities and services including:

(a) Formulation of a PPP policy framework;

(b) Reform of legislative and regulatory regimes;

(c) Establishment of administrative mechanisms to promote good governance in PPPs; and

(d) Enhancement of the capacity of the public sector to implement PPPs,

Taking note of the eight major characteristics of good governance, namely that it is participatory,
consensus oriented, accountable, transparent, responsive, effective and efficient, equitable and inclusive and follows the rule of law,

Convinced that application of information and communications technologies (ICT) has considerable potential to promote and realize good governance in PPPs,

Being aware that standardization of terminology, contracts, processes and procedures reduces the transactions costs of PPPs and is a prerequisite for introduction of ICT and e-Governance initiatives,

Noting the significant progress made in some countries that have facilitated and promoted PPPs,
Commending the work of the regional commissions of the United Nations for:

(a) Establishing a global PPP Alliance and corresponding networks at the regional and national levels;

(b) Developing training materials to support capacity-building of public officials;

(c) Assessing PPP-readiness and developing action plans to improve such readiness in participating countries; and

(d) Creating Internet-based training and resource facilities,

Recognizing the important contribution that bilateral donors, international financial institutions and other organizations are making to assist countries in their PPP endeavours,

COUNTRY COMMITMENT

Confirm that infrastructure development needs to be given high priority in our national development agendas,

Agree that PPP is an effective means to complement the efforts of governments in the development and provision of infrastructure facilities and services,

Declare our commitment to the promotion of PPPs in infrastructure development in our countries,

Resolve that our respective governments will develop and implement policies at the regional, subregional, national and sub-national levels in line with the above-mentioned principles of good governance,

Invite countries to review and assess their:

(a) Public-Private Partnership, sectoral and other relevant policy frameworks and action plans for infrastructure development;

(b) PPP-Readiness to identify the key issues that governments need to address in order to promote PPPs in infrastructure development;

(c) Processes and procedures for implementing PPPs, including effective management over their whole life cycle;

(d) Legislative, regulatory and institutional environment for PPPs at the general and sectoral levels that may impede effective PPPs; and

(e) Capacity to implement PPPs and evaluate their impact on development,

Encourage countries to actively engage in regional cooperation initiatives including:

(a) Participation in regional networking arrangements;

(b) Development and delivery of educational and training programmes;

(c) Development and sharing of databases on PPP projects, statistics, laws, guidelines, model agreements, etc;

(d) Standardization of terminology, contracts, processes and procedures; and

(e) Provision of technical assistance,

Request bilateral donors; United Nations secretariat, bodies and specialized agencies; international financial institutions and other organizations to support the implementation of this Declaration, including providing technical assistance and sharing experience,

Welcome the offer of the Government of Indonesia to host the next biennial Ministerial Meeting on Public-Private Partnerships for Infrastructure Development in Asia and the Pacific.

Seoul, 5 October 2007