Delphi study for evaluating critical success factors (CSFs) for PPP power projects in Ghana

Abstract

Purpose This study aims to identify the critical success factors of public private partnership (PPP) power projects in Ghana and further evaluates the most significant critical success factors (CSFs) influencing both the public and private sector participation in PPP power projects. Design/methodology/approach Ranking-type Delphi survey in two rounds was conducted to establish a comprehensive list of critical success factors of PPP power projects. Using purposive and snowball sampling techniques, experts were targeted for the Delphi survey. Mean score ranking, Cronbach’s alpha coefficient and Kendall’s concordance were used for analysis. Findings From the list of 37 critical success factors, 9 CSFs were deemed to be extremely significant. The five topmost CSFs were as follows: shared authority, trust and communication between public and private sectors; necessity of power project; debt guarantee to enable private partner to raise funds from the local or international financial markets; appropriate risk allocation and risk sharing; and thorough and realistic assessment of cost, projections and benefits. Originality/value The CSFs identified and prioritized in this study have the propensity to trigger policy development towards the PPP power sector in Ghana and developing countries that shares similar context. This is because the study has wide implications for financing, politics, procurement, regulations, legal and capacity building.