CRITICAL SUCCESS FACTORS INFLUENCING THE IMPLEMENTATION OF

PUBLIC PRIVATE PARTNERSHIPS IN THE ROADS SECTOR:

A CASE OF UGANDA

BY

AJWANG PATRICIA

18/U/GMSC/19417/PD

SUPERVISORS

DR. CHARLES NDANDIKO

DR. PETER.W. OBANDA

A DISSERTATION SUBMITTED TO DIRECTORATE OF RESEARCH AND GRADUATE

TRAINING IN PARTIAL FULFILMENT OF THE REQUIREMENTS FOR THE

AWARD OF THE DEGREE OF MASTER OF SCIENCE IN PROCUREMENT

AND SUPPLY CHAIN MANAGEMENT OF KYAMBOGO UNIVERSITY

NOVEMBER, 2022
 DECLARATION

I, Ajwang Patricia hereby declare that this dissertation is my original piece of work and that it

has never been submitted to any University or Higher Institution of learning for any academic

award.

AJWANG PATRICIA

18/U/GMSC/19417/PD

'
 APPROVAL

This is to certifY that this dissertation has been submitted with our approval as academic

supervisors.

Signarure . .. . N~ ~ ... Date: Js1 uL~?.-z_

DR. CHARLES NDANDIKO (PhD)

,;:f/11~
.... .. .. .................. Date: ............. ......................... .

DR. PETER W. OBANDA (PhD)

Second Supervisor

ii
 DEDICATION

I dedicate this piece of work to my beautiful daughter who endured my absence to make my

studies a success.

iii
 ACKNOWLEDGEMENT

A word of appreciation goes to all people who contributed in distinctive measures to see to it that

this piece of work sees the light of day. Special appreciation goes my supervisors, Dr. Charles

Ndandiko and Dr. Peter W. Obanda for their professional guidance throughout the preparation of

this dissertation.

I am obliged to all my lecturers and friends at Kyambogo University who endeavored to provide

me with guidance and encouragement during the academic program.

Lastly, I thank God for His grace that enabled me write this dissertation.

iv
 TABLE OF CONTENTS

DECLARATION .............................................................................................................................................i
APPROVAL ................................................................................................................................................... ii
DEDICATION .............................................................................................................................................. iii
ACKNOWLEDGEMENT ............................................................................................................................iv
LIST OF FIGURES .......................................................................................................................................ix
LIST OF TABLES .......................................................................................................................................... x
LIST OF ACROYMNS .................................................................................................................................xi
ABSTRACT ................................................................................................................................................. xii

CHAPTER ONE ............................................................................................................................................. 1

INTRODUCTION .......................................................................................................................................... 1
1.0 Introduction ................................................................................................................................................ 1
1.1 Background of the Study ............................................................................................................................ 2
1.1.1 Historical Background ............................................................................................................................. 2
1.1.2 Theoretical Background .......................................................................................................................... 4
1.1.3 Conceptual Background .......................................................................................................................... 5
1.1.4 Contextual Background ........................................................................................................................... 8
1.2 Statement of the problem .......................................................................................................................... 10
1.3 General objectives of the study ................................................................................................................ 12
1.3.1 Specific Objectives ................................................................................................................................ 12
1.4 Research Hypothesis................................................................................................................................. 12
1.5 Significance of the study .......................................................................................................................... 12
1.6 Justification of the study ........................................................................................................................... 13
1.7 Scope of the Study .................................................................................................................................... 13
1.7.1 Geographical Scope ............................................................................................................................... 13
1.7.2 Content Scope ........................................................................................................................................ 14
1.7.3 Time Scope ............................................................................................................................................ 14
1.8 Operational Definition of Key Terms ..................................................................................................... 14
1.9 Conceptual framework ............................................................................................................................. 15

v
CHAPTER TWO .......................................................................................................................................... 17
LITERATURE REVIEW ............................................................................................................................ 17
2.0 Introduction .............................................................................................................................................. 17
2.1 Theoretical Review ................................................................................................................................... 17
2.1.1 Principal Agency Theory (PAT)............................................................................................................ 17
2.2 Conceptual Review .................................................................................................................................. 19
2.2.1 The Concept of PPP............................................................................................................................... 19
2.2.2 Critical Success Factors Influencing the Implementation of PPPs in the Roads Sector ....................... 20
2.2.3 PPP Implementation (Success Criteria for PPP Projects) ..................................................................... 23
2.3 Empirical Review ..................................................................................................................................... 24
2.3.1 Political Factors as a critical success factor for PPP implementation in the roads sector ..................... 24
2.3.2 Economic Factors as a critical success factor for PPP implementation in the roads sector .................. 27
2.3.3 Managerial Factors as a critical success factor for PPP implementation in the roads sector ................ 29
2.4 Summary of Literature review.................................................................................................................. 33

CHAPTER THREE ...................................................................................................................................... 35

METHODOLOGY ....................................................................................................................................... 35
3.1 Introduction .............................................................................................................................................. 35
3.2 Research design ........................................................................................................................................ 35
3.3 Study population ....................................................................................................................................... 36
3.4 Sample size determination ........................................................................................................................ 37
3.5 Sampling design and procedures .............................................................................................................. 37
3.6 Sources of data.......................................................................................................................................... 38
3.6.1 Primary data ........................................................................................................................................... 38
3.6.2 Secondary data....................................................................................................................................... 38
3.7 Data Collection Methods .......................................................................................................................... 38
3.7.1. Questionnaire Survey Method .............................................................................................................. 39
3.7.2. Interview method .................................................................................................................................. 39
3.8 Data Collection Instruments ..................................................................................................................... 40
3.8.1 Self-administered Questionnaire ........................................................................................................... 40
3.8.2. Interview Guide .................................................................................................................................... 41
3.9 Validity and Reliability of research instruments ...................................................................................... 41
vi
3.9.1 Validity .................................................................................................................................................. 41
3.9.2 Reliability .............................................................................................................................................. 42
3.10 Data Collection Procedure ...................................................................................................................... 46
3.11 Data Processing and Analysis................................................................................................................. 46
3.12 Measurement of Variables .................................................................................................................... 47
3.13 Ethical Considerations ............................................................................................................................ 48

CHAPTER FOUR ........................................................................................................................................ 49

PRESENTATION, ANALYSIS AND INTERPRETATION OF RESULTS ......................................... 49
4.0 Introduction .............................................................................................................................................. 49
4.1. Background information. ......................................................................................................................... 49
4.1.1. Gender of the respondents. ................................................................................................................... 49
4.1.2. Age categories of respondents. ............................................................................................................. 50
4.1.3. Respondent’s highest level of education. ............................................................................................. 50
4.1.4. Respondents’ position in the entity/company. ...................................................................................... 51
4.1.5. Sector under which the respondents belong ......................................................................................... 52
4.1.6. Number of years of exposure to PPP projects. ..................................................................................... 53
4.2. Critical Success Factors ........................................................................................................................... 54
4.2.1. Political factors ..................................................................................................................................... 54
4.2.2. Influence of Political factors on the successful implementation of PPPs............................................. 58
4.2.3. Economic Factors. ................................................................................................................................ 58
4.2.4. Influence of Economic factors on the successful implementation of PPPs. ......................................... 61
4.2.5. Managerial Factors. .............................................................................................................................. 62
4.2.6. Influence of Managerial factors on the successful implementation of PPPs. ....................................... 64
4.2.7. Public Private Partnership (PPP) Success Criteria. .............................................................................. 65
4.2.8. Relationship between successful implementation of a PPP road project and managerial factors,
economic factors and political factors. ........................................................................................................... 67
4.3 Interview Findings .................................................................................................................................... 70
4.3.1 Political Factors as a CSF in the implementation of PPPs in the roads sector ...................................... 70
4.3.2 Economic Factors as a CSF in the implementation of PPPs in the roads sector ................................... 71

vii
CHAPTER FIVE .......................................................................................................................................... 73
SUMMARY, DISCUSSIONS, CONCLUSIONS AND RECOMMENDATIONS ................................. 73
5.1. Introduction. ............................................................................................................................................ 73
5.2. Summary of the findings. ........................................................................................................................ 73
5.2.1 The influence of political factors on the implementation of PPP road projects .................................... 73
5.2.2 The influence of economic factors on the implementation of PPP road projects.................................. 73
5.3 Discussion of the findings ........................................................................................................................ 74
5.3.1 The influence of political factors on the implementation of PPP road projects .................................... 74
5.3.2 The influence of economic factors on the implementation of PPP road projects.................................. 75
5.3.3 The influence of managerial factors on the implementation of PPP road projects ............................... 75
5.4. Conclusion. .............................................................................................................................................. 76
5.5. Recommendations ................................................................................................................................... 77
5.6 Areas of future research ............................................................................................................................ 78
5.7 Limitations of the study ............................................................................................................................ 78
REFERENCES ............................................................................................................................................... 79

APPENDICES ............................................................................................................................................... 87
Appendix 1: The Krejcie and Morgan Table .................................................................................................. 87
Appendix 2: Research Questionnaire ............................................................................................................. 88
Appendix 3: Interview Guide ......................................................................................................................... 98

viii
 LIST OF FIGURES

Figure 1.1: Conceptual framework for PPP Implementation ........................................................................ 15

Figure 4. 1: Showing gender of respondents .................................................................................................. 49

Figure 4. 2: Showing respondent’s highest level of education ....................................................................... 51

Figure 4. 3: Showing sector under which the respondents belong ................................................................. 53

ix
 LIST OF TABLES

Table 1:Population Category and sample size ................................................................................................ 37

Table 2:Reliability of the data instruments..................................................................................................... 43

Table 3: Showing KMO and Bartlett’s Test .................................................................................................. 44

Table 4: Showing the rotated factor matrix .................................................................................................... 45

Table 5:Showing the respondent’s age categories .......................................................................................... 50

Table 6: Showing respondent’s positions held in their entities/ companies ................................................... 52

Table 7: Showing number of years of exposure to PPP projects.................................................................... 53

Table 8: Showing respondent’s perception on political factors on the successful implementation of PPP
projects in the roads sector ............................................................................................................................. 55

Table 9: Showing the influence of political factors on the successful implementations of PPP projects in the
roads sector ..................................................................................................................................................... 58

Table 10: Showing respondents of economic factors on the successful implementation of PPP projects in
the roads sector ............................................................................................................................................... 60

Table 11: Showing the influence of economic factors on the successful implementation of PPP projects in
the roads sector ............................................................................................................................................... 62

Table 12: Showing respondent’s perception of managerial factors on the successful implementation of PPP
projects in the roads sector ............................................................................................................................. 63

Table 13: Showing the influence of managerial factors on the successful implementation of PPP projects in
the roads sector ............................................................................................................................................... 65

Table 14: Showing success criteria for PPP projects in the roads sector ....................................................... 66

Table 15 showing summary of the multiple regression model. ...................................................................... 67

Table 16: showing the Statistical significance of the multiple regression model .......................................... 68

Table 17 showing the estimated multiple regression model coefficients. ...................................................... 70

x
 LIST OF ACROYMNS

CSF Critical Success Factors

CVI Content Validity Index

MoFPED Ministry of Finance Planning and Economic Development

MoWT Ministry of Works and Transport

PAT Principal Agent Theory

PPPs Public Private Partnerships

ROI Return on Investment

SC Success Criteria

SPSS Statistical Package for Social Scientist

VFM Value for Money

IFC International Finance Corporation

WTP Willingness to Pay

xi
 ABSTRACT

The study sought to establish critical success factors influencing the implementation of PPPs in
the roads sector in Uganda. The objectives of the study were to determine CSFs influencing the
implementation of PPP road projects in Uganda, to establish a success criterion for PPP road
projects that provide a mechanism for determining extent of success of a PPP road project and to
examine the extent of influence of PPP CSF to the successful implementation of PPP road
projects in Uganda. A cross-sectional survey design with a quantitative approach was adopted in
this study. A sample size of 140 respondents out of a population of 226 respondents. 140
questionnaires were administered to collect quantitative data. 132 questionnaires were filled and
returned constituting a response rate of 94%. Data was collected from the public and private
sector; specially selected from institutions with PPP exposure in varied capacities. Tests for
normality, validity and reliability of data were carried out. The findings of the study revealed that
there is a moderate positive relationship (0.512**) between political factors and PPP success
criteria and the relationship was statistically significant at 0.01 level of significance P-Value
(0.000) < 0.01. This finding was also reinforced by the interviews conducted in which all
respondents echoed political factors as being crucial to the success of PPP road projects. On the
other hand, the study also revealed that there is a moderate positive (0.620**) relationship
between managerial factors and PPP success criteria. Verbatim interviews also stressed
managerial factors as being critical for PPP implementation with regard to project identification,
skills and competence of PPP practitioners as well as contract management and control. The
findings further revealed that the relationship was statistically significant at 0.01 level of
significance P-Value (0.000) < 0.01. Lastly, there is a moderate positive relationship (0.556**)
between economic factors and PPP implementation and the relationship was statistically
significant at 0.01 level of significance P-Value (0.000) < 0.01. The study recommends that to
ensure the successful implementation of PPPs in the roads sector, the procurement process
should result into selection of a strong private consortium with strong technical strength.
Similarly, strong contract management and control should be undertaken throughout the PPP
project implementation. However, strong contract management and control can only be effective
if the organization staff and transaction adviser are competent in their understanding of PPP
mechanisms.

xii
 CHAPTER ONE

INTRODUCTION

1.0 Introduction

The inability of the public sector to independently meet the ever increasing need for

infrastructure and services by use of traditional procurement predominantly financed through

fiscal budgets has prompted governments especially in developing economies to venture into

Public Private Partnership as an alternate method for delivery of the much needed infrastructure

and services (Ndandiko, 2006; Muhammud, Sik, Johar & Sabri, 2016). Infrastructure such as

roads, are considered to be a pre-requisite of any country’s social-economic development

(Ivanová & Masárová, 2013). Like it is with any infrastructural sector in Uganda’s economy, the

roads sector is faced with an infrastructural deficit estimated at USD 2,212.23m; which is further

exacerbated by inadequate budgetary allocations (Mawejje & Munyambonera, 2017; National

Planning Authority, 2012; UNRA, 2019). Since Uganda intends to undertake PPPs, it is crucial

to understand the factors that are critical for the successful implementation of PPPs in the roads

sector and have a criterion against which the PPP project success will be measured. This research

henceforth, set out to investigate critical success factors influencing the implementation of PPPs

and establish a criterion against which PPP project success will be measured in the roads sector;

using Uganda as the case study. Therefore, chapter one focused on the background of the study,

research problem, objectives of the study, significance of the study, its justification, theoretical

and conceptual framework, scope of the study and operational definition of key concepts.

1
1.1 Background of the Study

1.1.1 Historical Background

PPPs can be traced way back in the 14th century where concessions were granted to the private

sector who exclusively operates, maintains and carries out development of infrastructure or

provides service of general economic interest (Jomo, Chowdhury, Sharma & Platz, 2016). For

example; concessions served as legal instruments for road construction during the time of the

Roman Empire (Jomo et al., 2016). In the mid17th century, PPPs were under taken in France

where a company founded by the Perrier brothers was licensed to supply piped water in Paris

area for a 15 year period (Eaton & Akbiyikli, 2009).

In the USA, the late 17th century saw the use of PPPs to implement infrastructure projects such

as the Lancaster Turnpike road; the Erie Canal – opened in 1823 and the Transcontinental

Railroad that was completed in 1869 (Smith, 2009). In Asia, the 1870s saw the construction of

the Princess Docks in India by the Bombay Port Authority, through a public bond issued by the

government, and competitively tendered and built by a private sector contractor (Siemiatycki,

2011).

The modern PPP focus began taking shape in the 1990s in Australia and UK when the latter

launched its Private Finance Initiative (PFI) scheme in bid to attract private finance for

construction of new infrastructure (Hodge & Boardman, 2017). This initiative marked a turning

point from a century of practice where concessions were predominantly used for construction of

infrastructure to a situation where such arrangements were a public policy preference. The late

20th century saw an increase in the use of PPPs; for example, Australia (that is now a leader in

PPP policy), Canada and France (with demonstrated successful PPP results). PPP projects began

to spread around the globe from being only a concern of Western countries to many developing

2
economies in African, Asia, Middle-East, and Latin American economies.

In 2013, a total of US$ 150.3 billion worth of investments in PPPs in developing economies was

reported, with total investments being largely dominated by India and Brazil (World Bank, 2013

as cited in Osei-kyei & Chan, 2018). In 2019, private investment commitments stood at US$96.7

billion in middle and lower income countries, with China largely dominating investments in

infrastructure at 39% (World Bank, 2019). The transport sector with investments in road

infrastructure continued to dominate as the largest PPP sector in 2019, accounting for half of

global investment commitments at 47.8% of PPI project investments.

PPP infrastructure development is on a steady increase in Africa with South Africa dominating

the PPP market with landmark projects like the N4 toll road, Gautrain rail, etc. (Maseko, 2014).

The development of PPPs in Sub-Saharan Africa (SSA) have been relatively slow as compared

to other parts of the developing economies, though it is now gathering pace (Yescombe, 2017).

The Case of Uganda

The World Bank Private Participation in Infrastructure (PPI) Database reported that Uganda has

since 1990 to 2019 implemented 30 contractual investments arrangements in which private

parties assume operating risks; representing an aggregated investment value of USD 2,036

million. The Government of Uganda (GOU) in 2010 adopted a national PPP Policy Framework;

backed by the PPP Act 2015 with its main objective being encouraging private sector investment

and participation in public infrastructure development where excellent value for money can be

clearly exhibited (Davis et al., 2016; World Bank, 2017). As per the new policy, the provision of

public services and infrastructure will remain with the government department(s) or state

enterprise(s) in question, charged with the responsibility of identifying, developing and

3
determining any expected outcome of the PPP project(s). The government expects that the policy

will result in an even more efficient development of public infrastructure and a simultaneous

growth in economic and foreign direct investments (Public Private Partnership Framework

Policy 2010).

Due to budget constraints, Government of Uganda (GOU) through Uganda National Roads

Authority (UNRA) expressed the desire to use the PPP mechanism to utilize private financing

resources and ensure a sustainable maintenance of the road network (Broek, 2013). In 2013

therefore, IFC was requested to provide recommendations for prioritizing and outlining a

roadmap for PPP implementation in the roads sector, in view of five selected road projects

namely; Kampala-Jinja Road (77km), Kampala-Southern Bypass (17km), Kampala-Mpigi Road

(50km), Kampala-Bombo Road (35km) and Kampala-Entebbe Express way (51.4km); (Broek,

2013).

1.1.2 Theoretical Background

The study based on the Principal Agency Theory (PAT), a theory developed by Michael Jensen

of Harvard Business School (HBS) and William Meckling of the University of Rochester (UR)

in the 1970s. The PAT is premised on the relationship between principles and agents who

administer authority for and on behalf of organizations (Fama, 1980). The theory contends that

principals should solve two basic assignments in selecting and managing their agents. First, they

are required to select the best agents (contractors or employees) and create inducements for them

to behave as expected. Secondly, they should monitor the behaviour of their agents to ensure that

they are performing as agreed upon (Baysinger, Kosnik & Turk.1991). However, there are risks

involved when there are conflicting goals of both parties involved or when it is cumbersome and

4
or expensive for the principal to ascertain exactly what the agent is in fact doing. The prevalence

of asymmetric information in such circumstances results into a detrimental selection and a moral

hazard problems (Baysinger et al., 1991).

PPPs involves relationships that are in the PAT; whereby the public entity is the principle while

the private party is the agent. These relationships need to be well articulated, lest problems

associated with the PAT arises from the information asymmetry: adverse selection and moral

hazard given the specific nature of risks associated with PPPs; by modelling the relation between

an informed party (the Agent) and an uninformed one (the Principal) (Ong’olo & Spellman &

Walker Co. Ltd, 2006).

1.1.3 Conceptual Background

The study is denoted by two main variables, namely; Critical Success Factors and PPP

Implementation. Critical Success Factors (CSF) being the independent variable, are the

conditions within a PPP project environment that has an influence on the successful

implementation (dependent variable) of a PPP project. By this therefore, each condition of

success has a relationship with the other. The successful implementation of a PPP project is thus

dependent on the project level (political and economic) and program level (managerial) within

which it operates. PPP implementation denotes the success criteria against which a PPP project is

measured.

PPP is a long-term contractual arrangement between a private party and a government entity, for

provision of a public facility or service, in which the private party bears substantial risk and

management responsibility, and remuneration is linked to performance (World Bank Group,

2017). The PPP Framework Policy 2010 defines PPP as a medium to long term contract between

5
the public and private sector to construct/renovate, develop, finance, manage or maintain a public

infrastructure or the provision of public service involving risks and rewards’ sharing, to deliver

desired policy outcomes that are in public interest (Public Private Partnership Framework Policy,

2010). As a result, government attempted to tap into private resources and other benefits of PPP.

This saw the PPP Policy 2010 and the PPP Act 2015 enacted as well as a dedicated PPP unit

being established (in the MoFPED) to ready the country for PPP infrastructural undertakings

(Public Private Partnership Framework Policy - September 2010). World economies are

consistently faced with chronic infrastructure gaps; and have sought sustainable alternatives in

PPPs to deliver this infrastructure while addressing budgetary constraints (World Bank, 2018).

Critical Success Factors for PPPs in the Roads Sector

Important contributions to the development of the CSF concept was brought by John F.

Rockart’s works in 1979 and the Sloan School of Management; who defined CSF as few

indispensable areas of activity for a manager's action in which desirable results are absolutely

necessary to accomplish the established goals (Rockart, 1982). It also facilitates continuous

scrutiny of such crucial factors by management, so that they are explicitly handled. Osei-kyei &

Chan (2018) contend that CSFs signify conditions and circumstances necessary for achieving

project success.

Li et al., (2005) argues that the PPP project procurement stage is very vital to the general success

of PPP projects. Tang, Shen, Skitmore & Cheng (2013) concur with Li et al., (2005) that all

construction projects’ briefing stages are the most important as they determine the projects’

success. However, Osei-kyei & Chan (2018) indicate that PPP projects success is largely

influenced by the PPP project environment – at program level, and at the parent organization – at

project level. This explains why a six-factor grouping of PPP CSFs was adduced as a suitable

6
representation for both the PPP project environment and internal organization. The six categories

acronymised as “PETSOM,” represented Political, Economic, Technological, Social,

Organizational and Managerial conditions. This research study zeroed on the political, economic

and managerial aspects as these are deemed relational to the Ugandan context.

PPP Implementation in the Roads Sector

Due to the multi-variate nature of PPPs, evaluating their successful implementation requires

more rigor as the complexity in establishing the success or failure of the project is reliant on

project objectives and criteria as set out/perceived by the varied stakeholders involved in the PPP

project lifecycle such as the project owners, designers, consultants, contractors and end users

(Muhammad & Johar, 2017).

According to Osei-kyei & Chan, (2018), success criteria are a set of concepts/parameters against

which success is quantified or evaluated.” It denotes a set of principles on which a project can be

considered as successful (Węgrzyn, 2016). The anticipated results of PPP projects could be

influenced by various factors and their interaction during the PPP project’s lifecycle (Węgrzyn,

2016). These factors could thus be classified according to the project implementation phases

identified as construction, operational and transfer phase (Ahmadabadi & Heravi, 2019).

PPP Success Criteria (SC) has been explored by various authors. From normative literature,

Muhammad & Johar (2017) established that success in PPPs has been denoted by Value for

Money (VFM), adequate financial return to the private investor, costs savings, meeting client’s

requirements and satisfying stakeholder requirements, maintenance of high quality service levels,

and reduction in construction time.

From comparative studies on PPP project success criteria conducted in Hongkong and Ghana,

7
Osei-kyei & Chan (2017 b) established that profitability, meeting output specifications, budget

consistency, time adherence and effectual risk management, were the dominant PPP success

criteria.

1.1.4 Contextual Background

Overview of the Road Sector in Uganda

The road sector in Uganda comprises of both paved and unpaved roads to ease transport. Road

transport is the most dominant mode carrying over 95% of passenger and freight traffic

(MoWorks & Transport, 2017). The country has a total road network of 144,785 km of which

20,856 km of national roads managed by UNRA - consists of paved and unpaved roads, with the

paved roads at 23.8% (4,971 km) while the unpaved road is at 76.2% (15,885 km) (UNRA

Annual Report, 2019).

UNRA is a body entrenched by Act of Parliament, the UNRA Act, 2006 and became operational

in 2008, as a body mandated to manage the provision and maintenance of the national road

network, rendering advisory services to the government on roads’ policy matters and assisting

the coordination and implementation of roads’ policy (UNRA Corporate Strategic Plan, 2017).

According to Broek (2013), “the road sector in Uganda is in need of rehabilitation and further

expansion as a result of significant road maintenance backlogs and increasing traffic levels.”

This has seen government commit financial resources for road infrastructure development and

maintenance by consecutive budget increases for the last twelve years (MoWT, 2017) channeled

to UNRA.

8
Public Private Partnerships (PPPs) in Uganda’s Roads sector

GOU indicated a desire to undertake PPPs for road infrastructure development; and through

UNRA, engaged the World Bank’s – IFC division in 2013 to undertake studies for five selected

road projects to establish their suitability/potential for PPP application; as well as find out the

adequacy of the legal, regulatory and institutional frameworks for PPPs in Uganda (Broek, 2013;

I F C Advisory, 2013). Their findings indicated that Uganda’s investment climate is not the best

and that the local market is not capable of delivering PPP schemes on its own i.e., there is a need

to attract international investors. Further, neither of the selected road projects are financially

viable and hence a viability gap financing (VGF) would be required or toll rates significantly

higher than international practices taking into account purchase power parity, which may lead to

social resistance(Broek, 2013).

Significant deficiencies were also noted in the PPP legal, regulatory and institutional

frameworks. It was established that although the PPP Policy 2010 outlines in detail the process,

purpose and need for PPPs in Uganda, it does not provide an indication of key infrastructural

focus sectors (Broek, 2013). Secondly, whereas the PPP Bill appears to be in line with

international best practices, some provisions are inappropriate; like the requirement that

parliament has to approve any future financial commitments or any contingent liability that

arises from a PPP arrangement. This implies that every PPP arrangement has to be approved by

parliament which might be cumbersome and delay the process or lead to unrealistic request for

contract amendments, as it cannot be expected that parliamentarians understand in detail the

mechanisms of PPP (Broek, 2013). Similarly, whereas the PPP Act 2015 outlines a clear PPP

institutional design for preparation, implementation and monitoring, the provision for cabinet

9
approval of a PPP project value above a certain threshold is inappropriate and it is not clear how

this requirement fits into the PPP project proceedings (Broek, 2013).

The absence of financial instruments for long-term financing was also identified as an

impediment to PPP implementation in Uganda’s road sector (Broek, 2013; IFC Advisory, 2013).

Uganda is faced with limited access to long-term debt facilities by the available commercial

banks although these banks are backed by large international banks like Barclays, Standard

Chartered and Stanbic bank, that are capable of providing global commercial project finance

(IFC Advisory, 2013). Uganda is also exposed to political and economic risks, in addition to

absence of risk insurance instruments which makes the project financers unwilling to provide

any lending that is exposed to political and market (economic) risk (I F C Advisory, 2013).

Further, it was established that Uganda is faced with limited institutional capacity as highlighted

in the knowledge and skills gap deficiency in PPP mechanisms both at the implementing

ministry (i.e. MoFPED) and agency (namely UNRA) (Broek, 2013).

1.2 Statement of the problem

National Development Plan 2 (NDP II) 2015 - 2020 and Uganda Vision 2040 recognizes the

roads sector as one of the key sectors fundamental for the development of Uganda’s economy

(National Planning Authority, 2015 & National Planning Authority, 2013). Uganda intends to

develop her road infrastructure to improve connectivity, effectiveness and efficiency to

comparable levels of the developed countries. The construction of multi-lane paved national

roads, expressways and improvement of road infrastructure; for connecting major cities, exit

ports and economic zones will require whooping capital investments estimated at USD

2,212.23million to finance (National Planning Authority, 2012).

10
Government hopes to tap into private finance and expertise by use of PPPs to implement these

complex road infrastructure projects. With PPP Policy 2010 and the PPP Act 2015 already in

place; a Road tolling policy, 2017 was enacted in bid to prepare the country for road PPPs

(Public Private Partnership Manual, 1999; Ministry of Works & Transport, 2017). The enactment

of these legal and institutional frameworks for implementation of PPPs provides a basis for the

country’s readiness to undertake PPP road projects.

However, despite having a PPP legal and institutional framework in place, PPPs implementation

in the roads sector have stalled. A case in point is the most feasibly expected PPP road project –

the Kampala-Jinja Expressway (dubbed the PPP ‘pathfinder’ in the roads sector), that stalled

after its procurement and financing proposals were halted due to suspicion and hostility from the

executive and legislature (parliament) respectively, attributed to lack of understanding of PPP

mechanisms (Ref. Daily Monitor Article Sept, 25th 2019 & Feb, 20th 2020).

Notwithstanding, in the energy sector where PPPs have been undertaken, critical audit findings

on PPP projects unearthed improper licensing agreements, none audit cooperation from PPP

partners and failure to meet government objectives like increased efficiencies, reduction of loses,

reduction of tariffs and reduced subsidies, among others (Broek, 2013).

Following such glaring shortfalls, it is imperative to understand CSF that influence the successful

implementation of road sector PPPs; a study this research intended to fill. Furthermore, since the

introduction of PPP in Uganda, factors contributing to its successful implementation have not

been fully explored. In other words, there had been a paucity of research studies on PPP CSF in

the roads sector within the Ugandan context. Most research studies on CSF covered the general

construction industry especially in regard to developed economies, affordable housing projects,

water projects and others (Bing, Li, Hardcastle, Akintoye, & Edwards, 2005; Zhang, 2005; Li et

11
al., 2007; Osei-kyei & Chan, 2018;) yet PPP success is country and sector specific. This study

therefore sought to contribute to the body-of-knowledge on CFS in regard to road sector PPPs in

developing economies especially in sub-Saharan Africa.

1.3 General objectives of the study

The study sought to establish critical success factors influencing the implementation of PPPs in

Uganda’s road sector.

1.3.1 Specific Objectives

i. To determine CSFs influencing the implementation of PPP road projects in Uganda.

ii. To establish a Success Criterion for PPP road projects that provides a mechanism for

determining extent of success of a PPP road project.

iii. To examine the extent of influence of PPP CSF to the successful implementation of PPP

road projects in Uganda.

1.4 Research Hypothesis

p Ho: Political factors have no influence on the successful implementation of PPPs.

p H1: Political factors have an influence on the successful implementation of PPPs.

e Ho: Economic factors have no influence on the successful implementation of PPPs.

e H2: Economic factors have an influence on the successful implementation of PPPs.

m Ho: Managerial factors have no influence on the successful implementation of PPPs.

m H3: Managerial factors have an influence on the successful implementation of PPPs.

1.5 Significance of the study

To Stakeholders: The study will draw attention to key PPP stakeholder critical areas that

necessitate stakeholders’ attention so as to achieve the success of a PPP road project. This in turn
12
provides key information aimed at improving the success chance of PPP road projects.

PPP Practitioners: The findings can be used as a roadmap for successful implementation of PPPs.

The PPP success factors will inform PPP practitioners on fundamental PPP elements which need

to be controlled and carefully managed, as well as standards to adopt in order to achieve the

envisaged PPP success level. It will also help in the evaluation of the success of the PPP project

road project in Uganda and other developing countries at large.

To Academic Field: The study sought to contribute to the body-of-knowledge on critical success

factors and success criteria for implementation of PPP road projects.

1.6 Justification of the study

Justification for the study was driven by GOU’s recent move to undertake the construction of the

77 km Kampala-Jinja-Expressway (KJE) by a PPP arrangement; as well as seeking to pay the

$476m loan obtained from China’s EXIM bank for the construction of the Kampala-Entebbe

expressway (KEE) using a PPP financing mechanisms - road tolls, following the enactment of

the Road Tolling policy in 2017 (MOW&T - Road Tolling Policy, 2017; World Bank Group,

2019b) in lieu of the country’s first experience with road PPPs.

1.7 Scope of the Study

The research study was limited to the Critical success factors influencing PPP implementation in

the roads sector.

1.7.1 Geographical Scope

The studies were conducted in Uganda.

13
1.7.2 Content Scope

The studies were limited to PPP Critical Success Factors at the program and project level within

a PPP project environment: specifically, factors influencing the implementation of PPPs in the

Road sector. Thus, the study looked at how political, economic and managerial factors influence

the successful implementation of PPPs in the road infrastructural sector. The study also looked at

PPP success criteria in the implementation of successful PPP road projects.

1.7.3 Time Scope

The study utilized relevant literature and information for the period 2000 – 2020, given the fact

that PPPs are a new phenomenon in public procurement.

1.8 Operational Definition of Key Terms

Public Private Partnerships (PPP): is a long-term contract between a private party and a

government entity, for providing a public asset or service, in which the private party bears

significant risk and management responsibility, and remuneration is linked to performance

(World Bank Group, 2017).

Critical Success factors (SCF): Those few key areas of activity for the manager's action, in

which favourable results are absolutely necessary to achieve the desired goals (Rockart, 1982).

Success Criteria (SC): A set of parameters on which a project can be deemed/judged as

successful (Węgrzyn, 2016).

PPP Road Project Implementation: The development or maintenance of a road project under

PPP.

14
 1.9 Conceptual framework

Independent variable Dependent Variable

Critical Success factors PPP Implementation

POLITICAL
 Political Support
 Political Stability
 Good Governance
 Favorable Legal & Regulatory Framework
 Effective PPP Procurement process
 Well organized & committed public agency
 Stakeholder Acceptance
 Multi-benefit objectives

ECONOMIC
 Available mature financial markets  Profitability
 Fixed Low interest-rate Financing  Long term partnership
 Sound Economic policies relationship
 Stable Macroeconomic indicators  Satisfying the need for
 Government financial support/ Subsidies public facility/service
 Government Guarantees  Adherence to time
 Fiscal concession & investment policy  Adherence to budget
 Project Economic Viability  Reduced litigations and
disputes
 Reduced public sector
MANAGERIAL
administrative costs
 Right Project Identification
 Detailed Project Planning  Effective technology
 Appropriate Risk Allocation transfers and innovation
 Sound Financial Package  Local economic
 Strong Private Consortium with technical development
strength  Environmental
 Competence of org. staff & T.A performance
 Strong Contract management and control
 Reduced project
 Acceptable Toll/Tariff levels
lifecycle costs
 Meeting output
Figure 1.1: Conceptual framework for PPP Implementation specifications
 Effective risk
Source: Adopted from Osei-Kyei & Chan 2018; modified by researcher
management
 Reduced public and
political protests.
15
The above conceptual framework is indicative of Critical Success Factors (CSF) as the

independent variable being constructs within a PPP project environment that have an influence

on the successful implementation (dependent variable) of a PPP project. In essence, each

condition of success is inter-related with another; i.e., political constructs directly influence

economic circumstances of a PPP project success and vice-versa. Successful implementation of a

PPP infrastructure project is thus dependent on the project level (political and economic) and

program level (managerial) within which it operates.

PPP implementation (dependent variable) denotes the success criteria against which a PPP

project is measured i.e., the outcomes of a successful project. The outcomes of a successful PPP

project differ from the traditional bid-build projects due to the uniqueness of PPP projects as the

latter involves complex contractual and stakeholder management, lengthy arrangements, risk

sharing and rewards management (Osei-kyei & Chan, 2018). The success criteria are thus

characterized by private consortia profitability, long-term partnership relationship, meeting the

need for public facility/service, timely project delivery, project budget adherence, minimal

disputes and litigations, reduction in public sector administrative costs.

16
 CHAPTER TWO

LITERATURE REVIEW

2.0 Introduction

The chapter reviewed the existent body of literature in Critical Success Factors (CSF)

influencing the implementation of PPPs in the roads sector in an effort to identify gaps in

knowledge and practice that need to be filled. It therefore covered the theoretical review,

conceptual review and empirical review in regard to the study objectives.

2.1 Theoretical Review

The theoretical framework of the study was anchored on the Principal Agency theory. This

theory relates to the CSF influencing the implementation of PPPs in road projects. The theory

underpins the concept of PPPs and what needs to be done to ensure its success.

2.1.1 Principal Agency Theory (PAT)

The PAT was evolved in the 1970s by Michael Jensen of HBS and William Meckling of the UR.

The PAT is premised on the disposition of property rights and information in regard to drafting

contracts that define the organization. It is focused on the relationship between principals and

agents who exercise authority for and on behalf of organizations (Fama, 1980). The theory

contends that principals should solve two basic assignments in selecting and managing their

agents. First, they are required to select the best agents (contractors or employees) and create

inducements for them to behave as expected. Secondly, they should monitor the behaviour of

their agents to ensure that they are performing as contractually expected (Baysinger, Kosnik &

17
Turk.1991); by instituting an effective incentivized system for the private party to act in

accordance with public interest (Kehl & Arnold, n.d.).

Realistically, PPPs involve the use of professional and experienced general contractor (private

partner); as well as an external consultant hired on behalf of the public partner – for expert

support in regard to contractual risk and profit allocation (Kehl & Arnold, n.d.). Hence, PPPs can

be considered successful when there is a general “fit” in the partnership. However, there are risks

involved when there are conflicting goals of both parties involved or when it is cumbersome and

or expensive for the principal to ascertain exactly what the agent is doing. The prevalence of

asymmetric information in such circumstances results into a detrimental selection and a moral

hazard drawback (Baysinger et al., 1991). Information asymmetries are existent especially in the

absence of balance in expertise (Kehl & Arnold, n.d.).

According to Eaton & Akbiyikli (2009), PPP is a procurement approach involving project

execution reinforced with an extensive span of contractual relationships between the public and

private sector to provide an asset and a service over a long-term period of time. PPPs involves

relationships that are in the PAT; whereby the public entity is the principle while the private

party is the agent. These relationships need to be well articulated, lest problems associated with

the PAT arises from the information asymmetry, adverse selection and moral hazard given the

specific nature of risks associated with PPPs; by modelling the relation between an informed

party (the Agent) and an uninformed one (the Principal) (Ong’olo & Spellman & Walker Co.

Ltd, 2006).

Asymmetric power relationships and dynamic interdependent stakeholder networks found in the

PAT aid in defining government’s role in the organization and maintenance of third party

networks; enabling private partners solve public issues and upholding collectively held

18
objectives in complex policy environments (Casady et al., 2017). Therefore, to avoid

opportunistic behaviour by the private partner, the public partner (principal) has an incentive in

the selection of instruments and contractual clauses which involve risk transfer and the

possibility to fine (punish) or reward the private party for its performance (Firmino, 2018).

Therefore, well-articulated government arrangements are required to be in place to deal with

agency problems involving various players and in varied forms throughout the project lifecycle

(World Bank Group, 2017).

2.2 Conceptual Review

2.2.1 The Concept of PPP

The PPP concept is arched on government’s desire to resolve endemic financial constraints

associated with the delivery of public infrastructure and services by engaging private sector

management skills and expertise to increase the efficiency, effectiveness and quality of service

delivery and facilities (HM Treasury, 2000 as cited in Li, Akintoye, Edwards & Hardcastle,

2007). This notion is supported by Jefferies (2006) who asserts that the adoption of PPPs is

viewed as a cost effective mechanism of overcoming infrastructure delivery and maintenance

costs. A number of scholars have advanced various definitions of PPP – but with key distinct

features. First, public and private sector arrangement to deliver an infrastructure of mutual

interest and or benefit. Secondly, lengthy contractual periods involving design, construction,

financing, operations & maintenance, thus, bundling up all stages of investment and service

provision; and thirdly, risk sharing and rewards between the private and public sectors (Akintoye

& Beck, 2009; Yescombe & Farquharson, 2018; World Bank, 2018).

Yescombe (2017), defined PPP as a long-term contractual undertaking between the public sector

entity (the ‘public authority’) and the private-sector entity (the ‘project company’), involving
19
significant transfer of risk to the private party. He further explains that under a PPP contract, the

project company is responsible for design, building/upgrade of the infrastructure, financial,

operational and maintenance of the public sector infrastructure. Smith (2009) defined PPP as a

long-term contractual agreement between a public and a private sector entity through which the

expertise, skills and assets of each party are shared in delivering an infrastructural facility or

service for public use. Additionally, project potential risks and rewards are shared in the delivery

of the project (National Council for Public Private Partnerships, 2007).

Mudi et al., (2015) opined that PPP road infrastructure developments require long-term

investments (between 10 to 30 years) to achieve the project objectives. The tenure of such

projects covers the economic life cycle of the road infrastructural project. According to

(Roehrich et al., 2014 as cited in Sehgal, Dubey & Tiwari, 2015), PPPs aggregate the strengths

of private players in terms of technical and expertise knowledge and skills, managerial acumen

and entrepreneurship, as well as the role of public accountability and local content leverage, to

create an enabling environment for the delivery of high quality infrastructure.

2.2.2 Critical Success Factors Influencing the Implementation of PPPs in the Roads

Sector

Important contributions to the development of the CSF concept was brought by John F.

Rockart’s works in 1979 and the Sloan School of Management (Jefferies, 2006); who defined

CSF as few indispensable areas of activity for a manager's action in which desirable results are

absolutely necessary to accomplish the ultimately established goals (Rockart, 1982). Such

significant factors are highlighted so that they receive careful and consistent management

attention. According to Hardcastle, Akintoye & Edwards (2005), CSF is defined as those key

20
activity areas in which favourable results are absolutely necessary for a particular manager to

reach his/her goals. Similarly, Rowhinson (1999) agrees that critical success factors are those

key issues inherent in a project which must be upheld for team working to take place in an

efficient and effective manner.

Campos et al., (2018) maintains that CSFs (in regard to PPPs) are elements that determine how

well PPPs function. Chua et al. (1999 as cited in Zhang, 2005) maintains that a construction

project’s success is hinged by four features, identified as: project characteristics, contractual

arrangements, project participants, and interactive processes. PPP road projects constitute

construction to a greater extent and hence, falls within the confines of infrastructure

development; on which this research study is based.

Political Factors

Political factors have been found to have a profound influence on PPP projects as political will

and leadership are key in terms of establishing an overall PPP policy framework (Turley &

Semple 2013). Political factors are an embodiment of political support, stability and good

governance that are enablers of favorable legal, regulatory and institutional frameworks. In their

study on PPP enabling factors in Germany, Kehl & Arnold (n.d.) established that government

political support and commitment accounted for the increased use of PPP for more projects.

Political will coupled with astute public management, are needed in third party settings as private

sector alone cannot be given monopoly over public welfare in lieu of their private interests

(Casady et al., 2017).

Political factors are mirrored by a sound public policy characterized by good governance, to

avoid opposition on the part of citizens and political parties (Firmino, 2018). Carter et al., (2017)

21
revealed that PPPs are a tool for public infrastructure provision requiring rigorous stakeholder

management, engagement and performance monitoring. Prior to PPP implementation, an

iterative and multi-stakeholder process is essential to determine cost of service provision, users’

ability and WTP, tariff required to achieve Return on Investment (ROI) as well as government

goals (Turley & Semple, 2013). The successful implementation of PPPs necessitates a stable

socio-political environment which is in turn highly dependent on the capability and stability of

the government (Sehgal et al., 2015).

Economic Factors

According to Li et al.,(2005a), the successful implementation of PPPs require favourable

economic conditions, policies and government support. The use of favourable economic policies

oftenly fosters a stable and growing economic environment which allows for private sector

participation with confidence. Additionally, stable economic environments often leads to

reasonable market certainity which reduces private sector risk (Li et al., 2005b). Stable economic

environments are characterised by the presence of mature financial markets with low interest

rates associated with lower financing benefits. Availability of diversified range of financing that

incentivizes private sector investment in PPP projects as project financing is a key component for

private sector investment in public infrastructure projects (Ghazali, Rashid & Sadullah, 2017; Li

et al., 2007; Sehgal et al., 2015).

Further, stable economic environments are characterized by the ability to curtail fluctuations in

exchange and interest rates and are able to predict currency exchange risk, thereby fostering

favorable economic systems (Ahmadabadi & Heravi 2019). Economic policies driven towards

private sector participation in infrastructural development inform of government guarantees,

revenue guarantee, tax reductions and holidays (Ismail, 2013) as well as government financial

22
subsidies and flexible concession tenure (Yescombe & Farquharson, 2018).

It is imperative to note that private participation in PPPs is largely influenced by the presence of

bankable projects (Sharma, 2012). The bankability of projects is characterized by long-term

demand for the products/ services offered by the project; limited competition from other projects;

sufficient profitability of the project to attract investors; long-term cash flow that is attractive to

the lender; and long-term availability of suppliers needed for the normal operation of the project

(Zhang, 2005b).

Managerial Factors

Managerial factors denote conditions which influence the success of a PPP project at a project

level (Osei-kyei & Chan, 2018). These include right project identification, detailed project

planning, appropriate risk allocation, sound financial package, strong private consortium with

technical strength, competence of organization staff and Transaction advisor (T.A), strong

contract management and control and acceptable toll/tariff levels (Ghazali et al., 2017; Li et al.,

2007; Maseko, 2014; Sehgal et al., 2015; Zhang, 2005b).

2.2.3 PPP Implementation (Success Criteria for PPP Projects)

Success criteria focuses on the parameters on which a project can be deemed or judged as

successful (Osei-kyei & Chan, 2018). The relative success or failure of any project is usually

measured in terms of cost, time and quality parameters usually linked to meeting these

contractual parameters as specified in the contractual framework (Nallathiga, Ramakrishna ;

Farhan, Sheik ; Haris, 2017). According to Osei-Kyei & Chan (2017), “there has been a gradual

shift from the traditional approach of measuring project success in terms of cost, time and quality

towards a mix of objective and subjective measures.” Ahmadabadi & Heravi (2019), reiterate

23
similar opinions that the SC in PPPs is different from that in traditional contracts due to the long-

term nature of these projects, the importance of the operation stage, and the presence of a private

sector consortium in infrastructure projects. The success of a PPP project depends on “reaching

the predetermined objectives set by project stakeholders.” Furthermore, PPP SC is best exploited

during the construction, operation and final transfer stages of a PPP project (Ahmadabadi &

Heravi, 2019).

Osei-kyei & Chan (2018) evaluated fifteen success criteria derived upon the basis of the

satisfaction of the main stakeholders of PPP projects in Ghana (i.e., public, private and users).

These were: profitability, long term partnership relationship, satisfying the need for public

facility/service, adherence to time, adherence to budget, reduced litigations and disputes, reduced

public administration costs, and effective technology transfer and innovation. Others include;

local economic development, environmental performance, reduced project lifecycle costs,

reliable and quality service operation, meeting output specifications, effective risk management

and reduced public and political protests (Osei-kyei & Chan, 2018).

2.3 Empirical Review

2.3.1 Political Factors as a critical success factor for PPP implementation in the roads
sector
Since PPPs involve lengthy time frames / contractual agreements, the existence of a stable and

favourable political environment establishes the private sectors’ confidence in the PPP project

despite changes in subsequent governments (Firmino, 2018). Dairu & Muhammad (2016) opine

that inherent political instability perpetuates policy discontinuity and may result in project

abandonment, insecurity, weak governance and absence of both transparency and accountability.

Casady et al., (2017) asserts that effective PPP delivery is dependent on institutional maturity (in
24
terms of legal, normative and cultural-cognitive rules and processes) exhibited by robust

standardized judicial practices as well as normative rules and procedures governing public and

private actors’ interaction. Furthermore, the principle of accountability which is a hall mark of

good governance, determines the degree of successful collaboration conditioned by a network of

actors and institutions within a PPPs framework (Casady et al., 2017).

As a political construct, the existence of an enabling PPP legal and regulatory framework/policy

is considered both as a legislative and political factor, empowering the public sector to enable the

private sector undertake investments in a PPP project by creating an enabling PPP environment

(Debela, 2019). According to Ndandiko (2006), “ appropriate legal and regulatory frameworks

streamline PPP set up, implementation and outcome.” Suitable legislation provides a solid

foundation for PPPs against which developers can structure a contractual vehicle that is in

tandem with the country’s laws (Zhang & Kumaraswamy, 2001). Further, the specificity in

enabling laws for a specific PPP road project (as being practiced in Hong Kong for example)

largely eliminates private sector risks and concerns regarding politically derived risks, for

example expropriation, nationalization as well as changes in law. Sharma (2012) in his study on

PPP determinants in developing countries established that regulatory environment are important

considerations.

As Hammami et al., (2006) notes, the sustainability of PPP arrangements are critically dependent

on the regulatory environment harnessed by institutional independence and maturity. Hence,

weak institutions foster uncertainties about legal and regulatory instruments. A well-organized

public agency is therefore important in providing essential public management systems (Casady

et al., 2017), as private firms cannot be exclusively relied upon to independently construct and

deliver public structures (Hammami et al., 2006). Campos et al., (2018) opines that a stable

25
regulatory policy contributes to the consecution of rights and guarantees to partnerships which

curtails political meddling from government agencies/bodies (Pongsiri, 2002 as cited in

Ndandiko, 2006).

It is imperative to note that political factors are an enabler for an effective procurement process.

Hardcastle et al., (2005) opines that an effective procurement process is cognizant of

transparency and competitiveness throughout the procurement process. Furthermore,

transparency and competitiveness in a procurement process enhances project value for money. Li

et al., (2007) contends that a transparent and competitive procurement process is critical for the

public entity in the procurement a PPP project. Transparency is endeared between the public and

private entity, as well as their advisers; a phenomenon implying that three features are crucial for

transparency: good communication between the public entity and private contractor and their

advisers; the private sector openly consulting with the public sector and its adviser, while

keeping responsibility for all decisions; and the private sector establishing a clear basis for

making decisions (Li et al., 2007).

The public sector should institute a framework that provides an overview of the procurement

process and clarify what appraisal needs to be done and what decisions should be taken at each

stage of the procurement process (Zhang & Kumaraswamy, 2001). Further, competitive

tendering processes should be adhered to till PPP contract award (Zhang, 2005). Tender

evaluation criteria and methods should be transparent enough to ensure fair competition and to

avoid criticism of sponsor selection or political favoritism which are greatly known to hinder

public interest. PPPs are a tool for public infrastructure provision requiring rigorous stakeholder

engagement and management as well performance monitoring (Carter et al., 2017). Prior to PPP

implementation, an iterative and multi-stakeholder process is essential to determine cost of

26
service provision, users’ ability and WTP, tariff required to achieve ROI as well as government

goals (Turley & Semple, 2013). Based from the reviewed literature it can be concluded;

H1 the political factors have an influence in the implementation of PPPs.

2.3.2 Economic Factors as a critical success factor for PPP implementation in the roads
sector
PPPs are intended to eases government budgetary constraints by having the private sector

finance the PPP project through debt and equity financing – this explains why the availability of

flexible, adequate and long-term financial markets is a CSF (Zhang, 2005b). An accessible

financial market is associated with lower financing benefits and diversified range of financing

that incentivizes private sector investment in PPP projects (Ghazali, Rashid & Sadullah, 2017 &

Li et al., 2007).

Li et al., (2005) submits that a stable and growing economic environment brought about by the

adoption of appropriate economic policies is an enabler of private sector participation with

confidence. Further, a stable economic environment can also lead to reasonable market certainty

which in turn reduces private sector risk. Ahmadabadi & Heravi (2019) contend that sound

economic policies are characterized by the ability to deal with fluctuations in exchange/interest

rates and are also able to predict currency exchange risk, thereby fostering favourable economic

systems. According to Hammami et al., (2006), majority of infrastructure projects in developing

countries are financed using a significant amount of foreign capital in form of loans and equity;

however, debt and dividend risks devaluation. This explains why sound macroeconomic policies

can substantially reduce commercial project risks and increase the private firms’ profitability

prospects (Sharma, 2012).

Economic factors also embody the presence of government guarantee / financial support

27
especially as perceived by the private sector (Ismail, 2013). Li et al., (2005) identified

government guarantee as an important success factor in the early PPP stages in the UK

construction industry; comprising of government involvement through provision of guarantees

and multi-benefit objectives. Hence, revenue guarantees or firm committed policies from

government should be in place to ensure protection of private sector investments as well as

protect revenue streams.

There are a various ways in which the public sector (government) can support the private sector

in PPP contracts, provided this support is justifiable on grounds of affordability, VFM and does

not create public sector balance sheet problems (Yescombe & Farquharson, 2018). Such support

can be in form of a robust flexible concession time frame, revenue guarantees and subsidies,

partial project construction, capital grants, debt financing, pro-rata debt guarantee, debt

underpinning, credit guarantee finance and equity investment (Yescombe & Farquharson, 2018).

For financially unviable projects that are otherwise economically/politically significant, the

government can provide project-specific support and guarantees to make them financially viable

(Zhang 2005b). Such guarantees may be in form of foreign exchange, high inflation and interest

rates, tax reduction and exemptions, government equity, concession tenure extension in case of

force majeure, property development rights and the use of existing facilities, and a suitable

payment adjustment mechanism (Zhang, 2005b).

From the economic perspective, economic viability of a project is of paramount influence,

concerned with project bankability; thus, the project’s ability to generate a sustainably sufficient

cashflow and yield optimal results. The bankability of infrastructure projects attracts private

sector financing and is dependent on the demand for the services or products offered by the

project for a long term period; minimal or no competition from other projects; project

28
profitability to attract investors; sustainable long-term cash flow which is attractive enough to the

lender; and long-term availability of suppliers needed for normal project operations (Zhang,

2005). It can be concluded that;

H2 Economic factors have an influence on PPP implementation in the road sector.

2.3.3 Managerial Factors as a critical success factor for PPP implementation in the roads

sector

Managerial factors are considered to affect PPPs at project levels as they are concerned with the

project execution and management of all actual intrinsic details of the project during construction

and eventual transfer of ownership (Osei-kyei & Chan, 2018). Qiao et al., (2001) established that

project identification as the most influential CSF in BOT projects in China. A project suitably

identified to be executed through a PPP mechanism implies that it is has both a strong technical

and economic rationale (PPIAF, 2009). Following his analysis on South African PPP CSF,

Maseko (2014) recommended an adequate feasibility analysis on technical capability and funds

availability before any PPP project implementation. A clearly structured and established national

infrastructure plan enables right project selection by public authorities - that is characterized by

demonstrated and accepted need for the project/facility by the public and the project being a

near-monopoly in providing the public facility (Osei-kyei & Chan, 2018).

In the selection of suitable projects for delivery using the PPP scheme, the PPIAF (2009)

highlighted factors such as project aims/objectives, practicality and VFM. These factors can be

used to give guidance to public authorities in developing countries when selecting projects for

PPP schemes. Project objectives are hinged on pertinent issues such as economic value of the

facility, risks inherent the facility and environmental impact imposed due to development of the

29
facility. On the other hand, practicality is related to the political, legal and social issues of the

facility while VFM looks at financial sustainability of the facility.

As a managerial construct, detailed project planning is pivotal in the implementation of PPP

projects as it involves undertaking thorough cost-benefit analyses, clear project briefs and

understanding about client requirements, and output specifications (Ghazali et al.,2017). Cost-

benefit analyses defines correct expenditure parallel to profits gained while a clear project brief

details client requirements and provides clear understanding on the aims and goals of the project

(Ghazali et al., 2017). Output specifications on the other hand detail technical data and project

design details.

According to Li et al., (2007), a strong private consortium is a CSF for PPP/PFI projects’ success

as established in their study on success factors for the UK construction industry. They therefore

suggested that during the PFI projects’ development stage, sponsors ought to strategically pay

attention to the private consortia. Shi et al., (2016) provides attributes of a strong private

consortium as firm’s capabilities of fulfilling the contract, their financial abilities and PPP

project experience. This collaborates with (Zhang, 2005a) who noted that the concessionaire

should also possess strong managerial capabilities, including leading role by a key enterprise or

entrepreneur, workable project organization structure, good relationship with host government,

partnering skills, solid experience in international PPP project management, multidisciplinary

participants, and a strong project team. Maseko (2014) also emphasized that the selection criteria

for the private partner should prioritize experience and capability to deliver PPP projects.

According to Zhang (2005a), whereas government is better placed to create a favorable political

and socio-economic environment for private sector participation in development of public

infrastructure, the private consortia is fundamental in the successful implementation of PPP

30
projects. Further, significant risk realignment among multiple project participants is a key PPP

attribute, in which the concessionaire undertakes more commitments and assumes much broader

and deeper risks than a mere contractor. Selection of the right concessionaire is therefore critical

to the success of the project, and can be achieved through a competitive tendering process

(Zhang, 2005a).

Key aspects such as technical and financial strength are key critical success factors in

competitive tendering for a PPP project (Tiong 1996). Technical assessment involves project

design evaluation of and planned facilities in a life cycle scenario including environmental,

safety and health considerations. The financial strength of the private consortia largely affects

their capability to meet investments required for implementing the PPP project (Campos et al.,

2018).

As a managerial factor, competence of organization staff and Transaction Advisor (T.A) is a key

success factor for any PPP project. The impact of experience by key project personnel towards

successful project delivery has been widely acknowledged. Węgrzyn (2016), adopted Pinto and

Slevin’s 1987 success factor list that emphasized the significance of recruitment, selection and

training of competent personnel for PPP projects. Similar studies by Kahwajian et al., (2014)

established that the lack of skilled/experienced private and public consulting organizations in

Syria specializing in technical, legal and financial aspects of PPP projects were among the main

problems being encountered in PPP projects in Syria.

The implementation of a successful PPP project is hinged on highly experienced professional

external consulting with sensible fee agreements and reliable business conduct in regard to the

public party (Kehl & Arnold n.d.). A Transaction Advisor is a person or group of persons

appointed contractually by an accounting officer/authority of an institution, who has or have

31
appropriate skills and expertise to assist and advise the institution in regard with a PPP, including

the preparation and conclusion of a PPP agreement (Public Private Partnership Manual, S.A

1999). The Transaction Advisor is a very important player in the success of a PPP undertaking

and should possess professional skills and experience in areas spanning commercial project

finance, project management, contract (commercial) and administrative law, insurance, PPP

procurement management, as well as all technical disciplines relevant to the particular project

sector.

In PPPs, a key distinct feature is the concept of risk transfer from the public sector to the private

sector in circumstances in which the private party is in best position to manage the risk

(Alinaitwe & Ayesiga, 2013). In PPP contractual arrangements, risk identification and allocation

are key pertinent issues critical for a project success (Zhang, 2005). Explicit contractual

arrangements of importance in PPP projects entail a clear statement of the contract objectives,

obligations and rights of contracting parties, adequacy and clarity of plans; technical

specifications, a formal dispute resolution process; motivation and incentives to the contracting

parties (Chua et al. 1999).

According to Zhang (2005a), strong representation benefits all parties involved in PPP

transactions. He contends that the inability to resolve legal issues had led to a number of

projects’ failure to reach closures. Strong and effective legal input at the beginning of the project

cycle would have ameliorated partner-agency problems, and in addition, various risks can be

effectively managed by allocating them to parties best able to manage them through appropriate

contractual arrangements, including a concession agreement between the government and the

concessionaire, and shareholder agreement, design and build contract, loan agreement, insurance

agreement, supply agreement and operation agreement among others. From the review, it can be

32
concluded that;

H3 Managerial factors have an influence on PPP implementation.

2.4 Summary of Literature review

Studies conducted by various PPP researchers such as Li et al., (2005), Kahwajian et al., (2014);

Li et al., (2007); Shi et al., (2016), Zhang (2005a) and others, centered on CSF for PPP project

success in the construction industry; mainly in developed economies. Even Osei-kyei & Chan

(2018), who conducted their studies in Ghana - a developing country, were focused on the

general construction industry. It should be noted that the use of PPPs in road infrastructure have

increased exponentially with the transport sector being the type of infrastructure with the highest

number of projects delivered through PPPs (Siemiatycki, 2011); although studies against them

are scanty (Cui, Liu & Hope, 2018; Ma, Li, Jin & Ke 2019). Normative literature hence forth

suggests that PPPs in the road infrastructure sector have largely escaped academic research in

both theory and practice, save for the few specific studies done by Ahmadabadi & Heravi (2019);

Debela (2019); Shrivastava & Rao, (2011) in Iran, Ethiopia and India respectively. Sector

specific PPP CSF has not been thoroughly undertaken; particularly in regard to the road

construction industry. There is therefore no doubt that CSF influencing PPPs in the roads sector

of a developing country (like Uganda), has not been explored; a phenomenon this research

intends to explore so as to fill this knowledge gap.

Despite the significant success of the PFI projects in UK, it has also been criticized on grounds

of abnormally high tendering costs, complexity in negotiation, cost restraints on innovation, and

differing objectives among the project stakeholders (Hardcastle, Edwards, Akintoye & Li, 2002).

Li et al., (2007) also argues that “the opportunity to adopt strategic measures to address project

33
success is best exploited in the early stages of a project.” However, the success of PPP projects

transcends the early project phases. PPPs bundle up various project stages into a single contract

that need to be explicitly managed up to the end of the project lifecycle to ensure successful

project/service delivery. Similarly, there a number of CSF such as the political environment,

country’s investment climate, legal and institutional frameworks, that need to be considered as

they always play out throughout the project lifecycle of the PPP project.

34
 CHAPTER THREE

METHODOLOGY

3.1 Introduction

This chapter presented the research methodology that was used during the study. It entails the

research design, study population, sample size determination, sampling design and procedures,

sources of data, data collection methods, data collection instruments, validity and reliability of

research instruments, data collection procedure, data processing and analysis, measurement of

variables, ethical consideration, and anticipated limitations of the study.

3.2 Research design

A research design details the research strategy, data collection and analysis procedure and the

time frame within which the research was undertaken (Saunders, Lewis & Thornhill, 2009). A

cross-sectional survey design with a mixed research approach using both quantitative and

qualitative approach was adopted in this study. With a cross-sectional survey design relating to

the study variables are collected from the selected sample at one specific point in time

(Creswell, 2014). Kumar (2011) affirmed that the cross-sectional design is best suited to studies

focusing at ascertaining the prevalence of a phenomenon, situation, attitude or issue at a specific

point in time by taking a cross-section of the population. A cross-sectional survey was preferred

for this study as it was relatively affordable, easier to conduct, enabled collection of data from

many selected respondents within a limited time frame, and laid the groundwork for decisions

about follow-up studies (Sekarana, 2000). A cross-sectional survey design helps in testing a

theory, hypothesis and/or research questions on a large sample of people, and to generalize the

findings where a large study sample is drawn (Tharenon, Donohue, & Coopers, 2007).

35
The quantitative approach was used to quantify findings on the study variables using the

measures of central tendency, Pearson correlation and multiple regression analysis. Quantitative

analysis techniques, particularly statistics allow for the exploration, presentation, description

and examines relationships and trends with data (Saunders, 2009). Further, quantitative research

was used to confirm the hypothesis from the sample of the population to the entire population. A

correlation approach was employed to establish the relationship amongst the study variables. A

mixed method of data collection techniques was used where both quantitative and qualitative

data were collected using a survey questionnaire and structured interviews conducted to validate

findings.

3.3 Study population

The study population consisted of 226 respondents who worked at specially selected institutions

with PPP exposure in different capacities and sectors. The respondents were employees at either

strategic or tactical levels, with specific emphasis on those employees or respondents who had

been exposed to PPP projects and mechanisms in the past five years (or more years) or those

who were knowledgeable about PPP projects in Uganda. The study population included; Public

and private sectors, development partners, consultants and academicians on PPPs. This

population category was preferred because of their exposure, knowledge and or experience with

regards to PPPs. The unit of analysis were selected institutions with PPP exposure in different

capacities and sectors and unit of inquiry were selected institutions with PPP exposure in

different capacities and sectors.

36
3.4 Sample size determination

The study considered a sample size of 140 respondents based on Krejcie and Morgan (1970)
sampling guidelines as detailed in table 1 below.

Table 1: Population Category and sample size

Category Population Sample Sampling technique

Senior/mid-level Managers 185 35 Stratified sampling

in Public sector Institutions

Owners/Directors in 160 80 Stratified sampling

Private sector Companies

Development partners 10 10 Purposive sampling

Consultants 10 10 Purposive sampling

Academicians 5 5 Purposive sampling

Total 226 140

Source: Primary data, 2021.

3.5 Sampling design and procedures

Non-probability sampling techniques including proportionate stratified sampling and purposive

sampling were used for this study. Stratified sampling was used for diving respondents into

categories or stratus according to their specific characteristics. In this study, there were three

stratums namely; Public sector, private sector and Development partners exposed to PPPs.

Secondly stratified sampling was used to group managers in public sector institutions who are

directly involved in the sectors where PPP implementation is currently undertaken as well as the

owners or directors of private companies that tender to provide financial support toward delivery

of public services. The use of stratified sampling in this study was preferred as the population

from which the sample was to be drawn did not constitute a homogenous group. Therefore, as

37
recommended by Kothari (2004), there was need to use stratified sampling technique to obtain a

representative sample by diving the population into a number of non-overlapping

subpopulations or strata so that sample items can be selected from each stratum.

The study used purposive sampling that involves the researcher using own judgment or common

sense regarding the participants from whom the information was collected. Thus the selection of

the respondents was based on the researcher’s experience with the respondents’ possession of

the required information on critical success factors and PPP implementation in the road sector of

Uganda based on Amin (2005) guidance on purposive sampling. Purposive sampling was used

for respondents such as development partners, academicians and consultants actively involved

in shaping PPP policy and implementation frameworks.

3.6 Sources of data

3.6.1 Primary data

Primary data relating to the study variables were obtained using self-administered questionnaires.

Primary data was used because it is accurate, reliable and gives up-to-date information about the

variables being studied.

3.6.2 Secondary data

Secondary data relating to the study variables were obtained from textbooks, files, reports and

journals to reinforce the results from primary data sources. Secondary data from journals were

reviewed about the concept of PPP, CSF and SC.

3.7 Data Collection Methods

The study used a survey approach where both quantitative and qualitative data was collected

using questionnaire and interview.

38
3.7.1. Questionnaire Survey Method
The questionnaire was used to collect quantifiable primary data from the selected respondents by

personally delivering them to the respondents. The questionnaire was issued to all the 140

respondents in their different categories where the respondents recorded their answers within

closely defined alternatives. The choice of the questionnaire was on the basis that it could collect

vast amounts of data in short time with less resources (Hair, Black, Babin & Anderson, 2010).

The questionnaire was also useful in collecting information on perceptions since the variables of

critical success factors and intent to implement PPPs in the road sector of Uganda cannot be

observed or reliably reviewed from secondary data (Amin, 2005). The question method is

associated with the following benefits; absence of bias where it is used to obtain information, it

is an economical method of data collection, respondent is at ease to select or fill their responses,

respondents are likely to cooperate in questions that are confidential in nature, and absence of

interview bias (Osang, Udaimuk, Etta, Ushie, & Offiong, 2013).

3.7.2. Interview method

An interview guide was used to enable gaining of in-depth information from the targeted

respondents through forms of face to face conversations and probing of the respondent’s

responses to gain detailed explanations on the critical success factors that influence PPP

implementation in the road sector of Uganda as suggested by Sekeran (2009). The researcher

interviewed key informants from the field of consultants, academicians and development

partners.

39
3.8 Data Collection Instruments

3.8.1 Self-administered Questionnaire

The study used a self-administered questionnaire to elicit responses. A questionnaire is an

instrument comprising of written list of questions, the answers to which are recorded by

respondents (Kumar, 2011). The questionnaires were closed-ended as they are much easier to

statistically analyze as compared to open-ended questionnaires (Sudman & Bradburn, 1982).

With a questionnaire, there is less likelihood of researcher bias in summarizing the responses. As

commended by Hurmerinta-Peltomaki & Nummela (1998), the measurement items for all the

study constructs were tested for validity and reliability and then edited through a pilot test

process before the final survey. As part of the pilot study, the instrument was first administered

to 10 purposively selected experienced PPP experts in Uganda. This was done for the purpose of

guiding the study in ascertaining the direction of the responses and the degree of intensity with

which the views would be held.

These were channeled into observable and measureable elements to enable the development of

an index of the concept. The questionnaire sought the respondent’s perception on PPP CSF and

SC in the roads sector. All the measurement items in the instrument were anchored on a five-

point Likert scale, ranging from 1 – 5 where ‘1’ is perceived as ‘not important’ ‘2’ is perceived

as ‘less important’ ‘3’ is perceived as ‘some importance’ 4 is perceived as ‘important’ and ‘5’is

perceived as ‘very important. The instrument was pretested for reliability and the Cronbach alpha

values of 0.7 or above for all the study variables were acceptable as this indicated that the

instrument was reliable (Nunnally, 1978).

The use of a questionnaire as an instrument of data collection was preferred in this study because

it was cost effective, free from interviewer bias, and respondents had adequate time to give well

40
thought out responses. Besides, it was convenient for reaching out respondents who were not

easily approachable (Tharenon et al., 2007; Kothari, 2004). Since they are highly structured,

questionnaires are suitable for generating quantitative data from a large sample for the purpose of

testing research questions (Tharenon et al., 2007).

3.8.2. Interview Guide

The interview schedule used semi structured questions focusing on areas of critical success

factors and PPP implementation in the road sector (See Appendix III).

3.9 Validity and Reliability of research instruments

The measurement items were subjected to both validity and reliability tests.

3.9.1 Validity
Validity is the ability of the research instrument to measure what it is intended to measure

(Kumar, 2011). The validity of the instrument was determined using content validity, criterion-

related validity, and construct validity (Kothari, 2004). This is consistent with Sekaran (2000)

who reiterated that a data collection instrument should be valid and able to yield similar results at

all time.

Content validity was performed to establish the degree to which the measures accurately

represent what they are supposed to measure (Hair et al., 2010). An exploratory factor analysis

was then run and the study ensured that the items correlated and that they loaded well with each

other. Factor analysis was done for questions of all variables so as to test their factor loadings. In

the analysis, Varimax Rotation was run to achieve a more meaningful factor structure. The factor

analysis technique facilitated the itemization of success factors into major categories. In carrying

41
out factor analysis, certain questions that were not explained by more than one factor (or

discriminant items) were dropped from the scales and not included in subsequent analysis.

Content validity is the extent to which a measuring instrument provides adequate coverage of the

study variables under study. Content validity was determined with the help of the two research

supervisors who were regarded as subject experts. Content validity was also guaranteed by

giving the instruments to 4 respondents who were experts and practitioners in the field of PPPs.

The researcher pre-tested the instrument among a section of the intended respondents (4 experts

and practitioners) and inappropriate questions that were detected were subsequently revised or

removed. The Content Validity Index (CVI) was used to test for the validity of the instrument to

ensure that the scale items were meaningful to the sample and that the issues that were captured

were measurable. The instrument was valid since the coefficients for all the study variables

exceeded the minimum acceptance value of 0.70 as recommended by Nunnally (1978). The

formula for computing the CVI was as follows;

CVI = Number of items declared valid

Total number of items

3.9.2 Reliability
Reliability relates to the degree at which the research instrument gives consistent results a

number of times when it is administered more than once at different time intervals (Sekaran,

2009). The researcher tested the internal consistency reliability of the research instrument in

order to ascertain whether it consistently measured the study variables on the scales used

(Nunnally, 1978). The Cronbach alpha coefficients (measures of internal consistency) of study

variables (Field, 2009) were computed using SPSS version 25. The instrument was reliable since

all the coefficients for the study variables were above 0.7 (Nunnally & Bernstein, 1994).

42
During the study, the internal consistency reliability of the research instrument was tested in

order to ascertain whether it consistently measures the study variables on the scales used.

Findings in table 2 revealed a Cronbach alpha coefficients of political factor variables as 0.729

which is greater than 0.7. It can therefore be concluded that the collected data for these variables

is reliable. For the economic factors, the Cronbach alpha coefficients (0.712) were found to be

greater than 0.7 and also the Cronbach alpha coefficients (0.805) were found to be greater than

0.7. Overall, the Cronbach alpha coefficients for all the variables were found to be 0.874 greater

than 0.7 implying that there was good consistency and reliability of the data used in this study.

Table 2:Reliability of the data instruments

Critical success factors Cronbach's Alpha No. of Items

Political factors 0.729 8

Economic factors 0.712 8

Managerial factors 0.805 8

Overall reliability. 0.874 24

Source: Primary data

In order to determine the critical success factors of PPP projects in the roads sector, an

exploratory factor analysis (EFA) was conducted. An exploratory factor analysis was preferred

in this study because it allows common items to hang on a common factor.

This analysis included conducting a Kaiser-Meyer-Olkin (KMO) test for reliability assurance.

The researcher tested whether the collected data was suitable to conduct factor analysis.

Findings in table 3 below revealed that the resulting value of 0.760 significantly exceeded the

recommended threshold of 0.5, thus indicating the justification for implementation of this

43
method. The realized value for Bartlett’s test also showed that all conditions were met (χ 2

=1058.912; df = 276; Sig. = 0.000), which means that a certain degree of correlation that exists

between the variables will enable their grouping and forming of the factors.

Table 3: Showing KMO and Bartlett’s Test

KMO and Bartlett's Test
Kaiser-Meyer-Olkin Measure of Sampling Adequacy. .760
Bartlett's Test of Sphericity Approx. Chi-Square 1058.912
df 276
Sig. .000
Source: Primary data

The analysis in table 4 shows the rotated factor matrix with factor loadings. The factor loadings

indicate the relative importance of each statement in forming a particular factor. In other words,

it is the correlation coefficient between each statement with the factor itself. For a higher

correlation coefficient implies that the given statement better fits the factor. This analysis was

conducted in order for the researcher to easily interpret the factors.

The first factor contained a total of four statements (Sound Financial package, Strong Private

Consortium with Strong technical strength, Competence of Organization staff and Transaction

Advisor (T.A) and Strong Contract Management and Control). The highest loading factor 0.705

had the statement strong contract management and control. This was closely followed by 0.607

with the statement that competence of organization staff and transaction advisor (T.A). other

factor loadings were 0.556 and 0.546 with statement that strong private consortium with strong

technical strength and sound financial packages respectively.

A total of three statements loaded on factor 2. These included (multi-benefit objectives, stable

macro-economic indicators and fiscal concession and investment policy). The highest loading

44
factor 0.679 had the statement fiscal concession and investment policy. This was followed by

multi-benefit objectives and stable macro-economic indicators with factor loadings of 0.611 and

0.513 respectively

The third factor contained only one factor with a 0.557 factor loading. This loading factor had

the statement acceptable toll/tariff levels.

Table 4: Showing the rotated factor matrix

Rotated Factor Matrixa
Factor
1 2 3
Political Support .258 .286 .336
Political Stability .384 .220 .469
Good Governance .296 .413 -.103
Favourable Legal & Regulatory Framework .416 .426 -.204
Effective PPP Procurement Process .319 .297 .025
Well Organized & Committed Public agency .171 .385 .369
Stakeholder acceptance/support .314 .272 .127
Multi-benefit objectives .219 .513 .270
Available Mature Financial Markets .355 .370 .242
Fixed Low interest-rate Financing .344 .258 .086
Sound Economic Policies .126 .429 .241
Stable macro-economic indicators -.009 .611 .190
Government Financial Support/Subsidies -.030 .116 .404
Government Guarantees .015 .059 .453
Project Economic Viability .129 .277 .224
Fiscal Concession and Investment policy .107 .679 .130
Right Project Identification .392 .278 .252
Detailed project Planning .491 .393 -.059
Appropriate Risk Allocation .465 -.001 .476
Sound Financial package .546 .276 .307
Strong Private Consortium with Strong technical strength .556 .006 .305
Competence of Organization staff and Transaction Advisor (T.A) .607 .283 .259
Strong Contract Management and Control .705 .022 .043
Acceptable Toll/Tariff Levels .238 .069 .557
Extraction Method: Principal Axis Factoring. Rotation Method: Varimax with Kaiser Normalization.
a. Rotation converged in 20 iterations.

45
3.10 Data Collection Procedure

The researcher obtained an introductory letter from the Kyambogo University which introduced

the researcher to the respondents and the purpose of carrying out the study. The introductory

letter was used to seek for permission from relevant authorities to carry out the study in their

organizations/companies. Upon getting permission from relevant authorities to conduct the

study, questionnaires were uploaded on a data collection software and sent to the respondents via

a link on the internet which allowed for data response and online submission for preceding data

analysis. Primary data obtained from the field using questionnaires were sorted, edited,

summarized, coded and analyzed in order to draw conclusions and recommendations about the

study variables.

3.11 Data Processing and Analysis

Quantitative data analysis

The data collected from the field were sorted, and coded. Data were then tabulated and input in

the Statistical Package for Social Scientists (SPSS) version 25. Thereafter, data were checked

for entry errors, missing values, presence of outliers and normality prior to the multivariate

analysis. Negatively worded scale items were reverse-coded. Simple frequency runs were done

so as to screen the data to identify and replace missing values using series of means value

replacement method (Field 2006).

Quantitative data analysis techniques including descriptive statistics and inferential statistics

were then used for analyzing the research findings. Descriptive statistics like the measures of

central tendency were run so as to establish the demographic characteristics of the respondents.

46
The Pearson’ correlation coefficient was used to establish the relationship between independent

variables and the dependent variable. Inferential statistics (like multiple regression analysis)

were conducted to determine variance in the dependent variable, which is explained by the

independent variables. Reliability and factor analysis were performed in order to test the

research data. An Exploratory Factor Analysis (EFA) was conducted to detect the factor

dimensions of success of PPP projects. EFA was preferred in this study because it allowed

common items to hang on a common factor and it also made it possible for the researcher to

reduce items to fewer constructs which were then used for further analysis.

Qualitative Analysis

Key themes were developed from the key issues raised by the key informants and later analyzed

to draw conclusions and recommendations. These were used to back up the quantitative analysis

and findings.

3.12 Measurement of Variables

The variables in this study were measured based on previous scholarly works. This is in line with

Okafor & Osuagwu (2006) who recommend adapting item scales from previous studies due to

their wide item scale reliability and validity. Critical success factors which were the independent

variable, were conceptualized as political, economic and managerial factors (Ahmadabadi &

Heravi, 2019). For all the constructs in the study, the item scales were anchored on a five-point

Likert scale, ranging from ‘‘5’’ = Strongly agree to ‘‘1’’ = strongly disagree. On the other hand,

PPP implementation being the dependent variable were conceptualized as profitability, long term

partnership relationship, satisfying the need for public facility/service, adherence to time,

adherence to budget, reduced litigations and disputes, reduced public sector administrative costs,

47
effective technology transfers and innovation (Casady et al., 2017). Responses were anchored on

a five-point Likert scale ranging from 5=very important to 1=not important.

3.13 Ethical Considerations

Ethical principles that were upheld in this study include; confidentiality, seeking consent,

avoiding plagiarism, and privacy of research participants.

The researcher protected the identity and information provided by respondents so as to avoid

possible victimization of respondents for disclosure of certain information which would be

regarded as confidential.

The researcher avoided plagiarism by acknowledging scholarly works done by other researchers

using American Psychology Association (APA) Referencing Style in an appropriate format, as

required by Kyambogo University.

48
 CHAPTER FOUR
PRESENTATION, ANALYSIS AND INTERPRETATION OF RESULTS

4.0 Introduction

This chapter presents and interprets findings from the data collected by use of a questionnaire

(Appendix II). The chapter was presented in relation to the study objectives, literature,

methodology and questionnaires.

4.1. Background information.

This section consists of information that describes basic demographic characteristics of the

respondents that include; gender, age category, position in entity, highest education level

attained, sector and number of years of exposure to PPP projects.

4.1.1. Gender of the respondents.

During the study, a total of 132 respondents responded to the questionnaire. Figure 4.1 below

revealed that of the 132 respondents, majority 79.5% (n=105) were males and only 20.5% (n=27)

of the respondents were females. This implies that most employees in the companies/ sectors

with exposure to PPPs projects are males.

Figure 4. 1: Showing gender of respondents

Source: Primary data

49
4.1.2. Age categories of respondents.

The study also revealed that majority 71.2% (n=94) of the respondents were between 25-45 years

of age. Only 28.8% (n=38) of the respondents were above 45 years. This implies that companies/

entities with exposure to PPPs projects embrace generational leadership.

Table 5:Showing the respondent’s age categories

Age categories of respondents Frequency Percent

25-35 38 28.8

36-45 56 42.4

46-50 15 11.4

51+ 23 17.4

Total 132 100.0

Source: Primary data

4.1.3. Respondent’s highest level of education.

During the study, respondents were asked their highest level of education. Figure 4.2 below

revealed that majority 54.5% (n=72) of the respondents had attained master’s degree followed by

34.1% (n=45) of the respondents who had attained Bachelor’s degree. About 10.6% (n=14) of

respondents reported that they had attained diploma as their highest level of education. Only 1

person reported having attained PhD.

50
Figure 4. 2: Showing respondent’s highest level of education

Source: Primary data

4.1.4. Respondents’ position in the entity/company.

During the study, respondents were asked their positions held in their institutions or entities.

From table 6, it was revealed that majority 27.3% (n=36) of the respondents held managerial

positions. This was closely followed by 25.8% (n=34) of the respondents who reported that they

were officers. About 20.4% (n=27) of the respondents reported that they held senior officer

positions in their entities. Other positions held by the respondents in their respective entities

included head of departments and directors as reported by 19.7% and 6.8% respectively as

shown in table 6 below.

51
Table 6: Showing respondent’s positions held in their entities/ companies
Managerial positions Frequency Percent

Director 9 6.8

Head of department 26 19.7

Manager 36 27.3

Officer 34 25.8

Senior officer 27 20.4

Total 132 100.0

Source: Primary data

4.1.5. Sector under which the respondents belong

During the study, the researcher wanted to know under which sector the respondents’

entity/company exposed to PPPs projects in the roads sector in Uganda belonged. From figure

4.3 below, it was established that majority 65.1% (n=86) of the respondents reported that they

belong to public sector. This was followed by 20.5% (n=27) of the respondents reported that

they were from the private sector. Other respondents of the study were from the academia, civil

society organizations, development partners and consultants with exposure to PPPs projects.

52
 Figure 4. 3: Showing sector under which the respondents belong

Source: Primary data

4.1.6. Number of years of exposure to PPP projects.

During the study, it was established that majority 58.3% (n=77) of the sampled respondents had

less than 5 years of exposure to PPP projects. About 26.5% (n=35) of the respondents reported

that they had completed 6-10 years of exposure to PPP projects and only 15.1% (n=20) of the

respondents reported that they had completed more than 10 years of exposure to PPP projects.

This implies that majority of the respondents did not have much experience in PPP projects in

the roads sector although they had encountered PPPs in other spheres. This is attributed to the

fact that PPPs are a relatively new phenomenon in Uganda and particularly in the roads sector.

Table 7: Showing number of years of exposure to PPP projects

Number of years of exposure to PPP projects Frequency Percent
0-5 77 58.3
6-10 35 26.5
11-15 4 3
16+ 16 12.1
Total 132 100.0
Source: Primary data

53
4.2. Critical Success Factors

This section presents and discusses the findings on influence of critical success factors on the

successful implementation of the PPP project. The section focuses on the influence of political,

economic and managerial factors on the successful implementation of a road project.

4.2.1. Political factors

Political factors are an embodiment of political support, stability and good governance that are

enablers of favorable legal, regulatory and institutional frameworks. During this study, the

researcher sought the respondent’s perception of political factors (political support, political

stability, good governance, favorable legal & regulatory framework, effective PPP procurement

process, well organized & committed public agency, stakeholder acceptance/support and multi-

benefit objectives) on the successful implementation of PPP projects in the roads sector in

Uganda. The instrument used was anchored on a five-point Likert scale, ranging from 1 – 5

where ‘1’ was perceived as ‘not important’ ‘2’ was perceived as ‘less important’ ‘3’ was

perceived as ‘some importance’ 4 was perceived as ‘important’ and ‘5’ was perceived as ‘very

important as shown in table 8 below. A mean result below 4.2 suggests low Political factors’

influence on PPP implementation while a mean result of >4.2 suggests a high political factor’s

influence on PPP implementation on a particular item of the variable.

54
 Table 8: Showing respondent’s perception on political factors on the successful
implementation of PPP projects in the roads sector

Very Some Less

Political factors Important Mean
important importance important

Freq. 64 38 25 5
Political support 4.22
Percent 48.5 28.8 18.9 3.8

Freq. 73 42 13 4
Political Stability 4.39
Percent 55.3 31.8 9.8 3.0

Good Governance Freq. 62 57 10 3

4.35
Percent 47.0 43.2 7.6 2.3

Favorable Legal & Freq. 54 53 20 5

4.18
Regulatory Framework Percent 40.9 40.2 15.2 3.8

Effective PPP Procurement Freq. 61 43 22 6

4.20
Process Percent 46.2 32.6 16.7 4.5

Well Organized & Freq. 38 59 29 6

3.98
Committed Public agency. Percent 28.8 44.7 22.0 4.5

Stakeholder Freq. 55 55 17 5
4.21
acceptance/support Percent 41.7 41.7 12.9 3.8

Freq. 29 73 25 5
3.95

Multi-benefit objectives Percent

22.0 55.3 18.9
Average 4.2
mean:

Source: Primary data

55
Political support: During the study, respondents were asked their perception of political support

on the successful implementation of PPP projects in the roads sector in Uganda. Table 8 revealed

that majority 48.5% (n=64) of the respondents reported that political support is a very important

factor in determining the successful implementation of PPP projects in the roads sector. In this

case political support meant an increment in inclinations towards PPPs and effective address of

barriers faced in the roads sectors by leaders in the executive and legislature (Parliament). Only

3.8% (n=5) of the respondents reported that political support is not an important factor in

determining the successful implementation of PPP projects in the roads sector.

Political Stability: Political stability is defined as “…the likelihood that the government will be

destabilized or overthrown by unconstitutional or violent means, including politically‐motivated

violence and terrorism” (Kaufmann et al., 2010; p.4). A stable political environment largely

affects factors such as regulatory and macro-economic environments. Political instability may

result in PPP project termination, poor governance, insecurity and lack of transparency and

accountability on the part of government. During the study, respondents were asked the extent to

which political stability influences the successful implementation of PPP projects in the roads

sector. From table 4.4 above, it was revealed that majority 55.3% (n=73) of the respondents

reported that political stability is a very important factor that influences successful

implementation of PPP projects in the roads sector. This was followed by 31.8% (n=42) of the

respondents who reported that political stability is an important factor in determining the success

of the implementation of PPP projects in the roads sector. Only 3.0% (n=4) of the respondents

reported that political stability is less important in determining the success of a PPP project in the

roads sector.

56
Good Governance: The study revealed that 47.0% of the respondents reported that good

governance is a very important factor in determining the successful implementation of a PPP

project in the roads sectors. This was followed by 43.2% of the respondents who ranked good

governance an important factor in the success of a PPP project in the roads sector. About 9.9% of

the respondents reported that good governance is not important in the successful implementation

of a PPP project in the roads sectors.

Favorable Legal & Regulatory Framework: The study further revealed that majority 81.0% of

the respondents reported that favorable legal & regulatory framework is an important factor in

determining the success of a PPP project in the roads sector. Only 19.0% of the respondents

reported that favorable legal & regulatory framework is not an important factor in the success of

a PPP project in the roads sector.

In conclusion, political stability was the most rated political factors with an influence on the

successful implementation of PPP projects in the roads sector with a mean value of 4.39. This

was closely followed by good Governance with mean value of 4.35, Political support with a

mean value of 4.22 and Stakeholder acceptance/support with a mean value of 4.21. Political

factors reported to have a less influence on the successful implementation of PPP projects in the

roads sector were well organized & committed public agency with a mean value of 3.98,

effective PPP procurement process with a mean of 4.20, Favorable legal and Regulatory

framework with a mean of 4.18 and multi-benefit objectives with a mean value of 3.95. Items

with mean scores above or equal to 4.2 implies that the respondents accorded much importance

to the factors and agreed that they have an influence in PPP implementation while items that

were below 4.2 implies that the respondents did not accord them much importance.

57
4.2.2. Influence of Political factors on the successful implementation of PPPs.

To establish the influence of political factors on the successful implementation of PPPs projects

in the roads sector, a Pearson’ correlation coefficient was conducted. From table 9 below, it was

established that there is a moderate positive (0.512) relationship between political factors and

PPP Success Criteria. The results further revealed that this relationship was statistically

significant at 0.01 level of significance since the p-value (0.000) < 0.01. Thus, political factors

have an influence on the on the successful implementation of PPPs projects in the roads sector

implying that if the political factors are favorable, then PPP implementation would progressively

be achieved.

Table 9: Showing the influence of political factors on the successful implementations of

PPP projects in the roads sector

Successful Implementation
Political factors
of a PPP road project
Pearson Correlation .512** .512**
Political factors Sig. (2-tailed) .000 .000
N 132 132
Successful Pearson Correlation 1
implementation of a PPP Sig. (2-tailed)
road project N 132 132
**. Correlation is significant at the 0.01 level (2-tailed).
Source: Primary data

4.2.3. Economic Factors.

In this study economic factors for the successful implementation of PPP projects in the roads

sector included available mature financial markets, fixed low interest-rate financing, sound

economic policies, stable macro-economic indicators, government financial support/Subsidies,

58
government guarantees, project economic viability and fiscal concession and investment policy.

During the study, the researcher sought the respondent’s perception of economic factors on the

successful implementation of PPP projects in the roads sector in Uganda. The researcher applied

descriptive statistical analysis to the sample and frequencies, percentages and arithmetic mean

for each economic factor were calculated as shown in table 9 below. A mean result below 3.93

suggests low economic factors’ influence on PPP implementation while a mean result of >3.93

suggests a high economic factor’s influence on PPP implementation on a particular item of the

variable.

Regarding the available mature financial markets, majority of the respondents 40.9% (n=54)

reported that it is a very important factor in determining the successful implementation of the

PPP projects in the road projects. This was followed by 32.6% (n=43) of the respondents who

reported that availability of a mature financial markets is an important factor in the successful

implementation of the PPP projects in the road projects. Only 3.0% (n=4) reported that

availability of a mature financial markets has less importance on the successful implementation

of the PPP projects in the road projects.

For fixed low interest-rate financing, about 35.6% (n=47) of the respondents reported that it is a

very important factor in the successful implementation of the PPP road projects. This was closely

followed by 31.1% (n=41) of the respondents who reported that it is an important factor in the

successful implementation of the PPP projects in the roads. Only 3.8% of the respondents

reported that fixed low interest-rate financing has less importance in the successful

implementation of the PPP projects in the roads.

59
 Table 10: Showing respondents of economic factors on the successful implementation of

PPP projects in the roads sector

Very Some Less

Economic Factors Important Mean
important importance important
Available Mature Freq. 54 43 31 4
4.11
Financial Markets Percent 40.9 32.6 23.5 3.0
Fixed Low interest-rate Freq. 47 41 39 5
3.98
Financing Percent 35.6 31.1 29.5 3.8
Sound Economic Freq. 39 64 28 1
4.07
Policies Percent 29.5 48.5 21.2 0.8
Stable macro-economic Freq. 26 52 37 17
3.66
indicators Percent 19.7 39.4 28.0 12.9
Government Financial Freq. 41 60 29 2
4.06
Support/Subsidies Percent 31.1 45.5 22.0 1.5
Government Freq. 45 54 28 5
3.71
Guarantees Percent 34.1 40.9 21.2 3.8
Project Economic Freq. 43 59 24 6
4.05
Viability Percent 32.6 44.7 18.2 4.5
Fiscal Concession and Freq. 18 78 31 5
Investment policy Percent 3.8
3.83
13.6 59.1 23.5
Average
mean 3.93

Source: Primary data

In conclusion, availability of mature financial markets was the most rated economic factor with

an influence on the successful implementation of PPP projects in the roads sector with a mean

value of 4.11. This was closely followed by sound economic policies with mean value of 4.07,

government financial support/subsidies with a mean value of 4.06 and project economic viability

60
with a mean value of 4.05. Economic factors reported to have a less influence on the successful

implementation of PPP projects in the roads sector were stable macro-economic indicators with a

mean value of 3.66, government guarantees and fiscal concession and investment policy with

mean values of 3.71 and 3.83 respectively. Fixed low interest rate financing had a mean of 3.98

implying that items whose mean was above the average mean of 3.93 were accorded much

importance as economic factors influencing PPP implementation while those items whose mean

was below 3.93, the respondents did not accord them much importance as economic factors

influencing PPP implementation.

4.2.4. Influence of Economic factors on the successful implementation of PPPs.

For the researcher to establish the influence of economic factors on the successful

implementation of PPPs projects in the roads sector, the researcher conducted a bivariate analysis

where a Pearson’ correlation coefficient was conducted. The results of the Pearson’ correlation

coefficients are shown in table 11 below. The study findings in table 4.7, revealed that there is a

strong positive (0.556) relationship between economic factors and PPP Success Criteria. The

results further revealed that this relationship was statistically significant at 0.01 level of

significance since the p-value (0.000) < 0.01. Thus, economic factors have an influence on the on

the successful implementation of PPPs projects in the roads sector.

61
Table 11: Showing the influence of economic factors on the successful implementation of
PPP projects in the roads sector
Economic Successful implementation
factors of a PPP road project
Economic factors Pearson Correlation 1 .556**
Sig. (2-tailed) .000
N 132 132
Successful Pearson Correlation .556** 1
implementations of a Sig. (2-tailed) .000
PPP road project N 132 132
**. Correlation is significant at the 0.01 level (2-tailed).
Source: Primary data

4.2.5. Managerial Factors.

In this study, managerial factors that influence the successful implementation of PPP projects in

the roads sector in Uganda are an embodiment of right project identification, detailed project

planning, appropriate risk allocation, sound financial package, strong private consortium with

strong technical strength, competence of organization staff and transaction advisor (T.A), strong

contract management and control and acceptable toll/tariff levels. The instrument was used to

understand the respondents’ perception on the influence of managerial factors on the successful

implementation of PPP projects in the roads sector was anchored on a five-point Likert scale,

ranging from 1 – 5 where ‘1’ was perceived as ‘not important’ ‘2’ was perceived as ‘less

important’ ‘3’ was perceived as ‘some importance’ 4 was perceived as ‘important’ and ‘5’ was

perceived as ‘very important as shown in table 12 below. The researcher applied descriptive

statistical analysis to the sample and frequencies, percentages and arithmetic mean for each

managerial factor were calculated as shown in table 4.8 below. A mean result below 4.22

suggests low managerial factors’ influence on PPP implementation while a mean result of >4.22

suggests a high managerial factor’s influence on PPP implementation on a particular item of the

variable.

62
 Table 12: Showing respondent’s perception of managerial factors on the successful
implementation of PPP projects in the roads sector

Very Some Less

Managerial Factors Important Mean
important importance important
Right project Freq. 75 46 10 1
4.48
identificationPercent 56.8 34.8 7.6 0.8
Detailed projectFreq. 62 54 16 0
4.35
Planning Percent 47.0 40.9 12.1 0.0
Appropriate Risk Freq. 54 54 21 3
4.20
AllocationPercent 40.9 40.9 15.9 2.3
Freq. 51 49 25 7
Sound Financial package 4.09
Percent 38.6 37.1 18.9 5.3
Strong Private Freq. 57 58 13 4
Consortium with Strong Percent 43.2 43.9 9.8 3.0 4.27
technical strength
Competence of Freq. 48 61 21 2
Organization staff and Percent 36.4 46.2 15.9 1.5 4.17
Transaction Advisor
(T.A)
Strong Contract Freq. 55 60 13 4
Management and Percent 41.7 45.5 9.8 3.0 4.26
Control
Freq. 39 63 19 11
Acceptable Toll/Tariff
Percent 29.5 47.7 14.4 8.3
Levels
3.98
Average mean
4.22
Source: Primary data

From the study findings in table 12 above, majority 56.8% (n=75) of the respondents reported

that right project identification as a very important managerial factor in influencing the

successful implementation of PPP projects in the roads sector in Uganda. This was closely

followed by detailed project planning reported by 47.0% (n=62) of the respondents, strong

private consortium with strong technical strength 43.2% (n=57). Further analysis revealed that

important managerial factors to influence the successful implementation of PPP projects in the

63
roads sector included acceptable toll/tariff levels 47.7% (n=63) followed by competence of

organization staff and transaction advisor (T.A) 46.2% (n=61) and strong contract management

and control 45.5% (n=60). On the other hand, acceptable toll/tariff levels, at 8.3% were reported

to be the least important managerial factor in determining the successful implementation of PPP

projects in the roads sector.

In conclusion, right project identification was the most rated managerial factor in determining the

successful implementation of PPP projects in the roads sector with a mean value of 4.48. This

was closely followed by detailed project planning with mean value of 4.35, strong private

consortium with strong technical strength with a mean value of 4.27 and strong contract

management and control with a mean value of 4.26. Managerial factors reported to have a less

influence on the successful implementation of PPP projects in the roads sector were acceptable

toll/tariff with a mean value of 3.98 and sound financial package with mean values of 4.09.

Appropriate risk allocation had a mean of 4.20 implying that items whose mean was above the

average mean of 4.22 were according much importance compared to those below 4.22 as

managerial factors influencing PPP implementation in road sector.

4.2.6. Influence of Managerial factors on the successful implementation of PPPs.

To establish the influence of managerial factors on the successful implementation of PPPs

projects in the roads sector, the researcher conducted a bivariate analysis where a Pearson’

correlation coefficient. The results of the Pearson’ correlation coefficients are shown in table 13

below. The study findings in table 13, revealed that there is a strong positive (0.620) relationship

between managerial factors and PPP implementation. The findings further revealed that this

relationship was statistically significant at 0.01 level of significance since the p-value (0.000) <

64
0.01. Thus, managerial factors have an influence on the on the successful implementation of

PPPs projects in the roads sector.

Table 13: Showing the influence of managerial factors on the successful implementation of

PPP projects in the roads sector

Successful Implementations of
Managerial factors a PPP road project
Managerial factors Pearson Correlation 1 .620**

Sig. (2-tailed) .000

N 132 132
Successful Pearson Correlation .620** 1
implementation of a
Sig. (2-tailed) .000
PPP road project
N 132 132
**. Correlation is significant at the 0.01 level (2-tailed).
Source: Primary data

4.2.7. Public Private Partnership (PPP) Success Criteria.

According to Węgrzyn (2016), Success Criteria in PPP project implementation is a set of

parameters on which a project can be deemed/judged as successful. In this study, Public Private

Partnership (PPP) Success Criteria in the roads sector in Uganda were profitability, long term

partnership relationship, satisfying the need for public facility, adherence to time, adherence to

budget, reduced litigation and disputes, reduced public administration costs and effective

technology. A mean result below 4.01 suggests low success criteria for PPP projects in the road

sector while a mean result of >4.22 suggests a high success criterion for PPP projects in the road

sector on a particular item of the variable.

65
 Table 14: Showing success criteria for PPP projects in the roads sector

Very Some Less Not

Success Criteria Important Mean
important importance important important
Freq. 40 54 23 14 1
Profitability 3.89
Percent 30.3 40.9 17.4 10.6 0.8
Long Term Partnership Freq. 41 57 27 6 1
3.99
Relationship Percent 31.1 43.2 20.5 4.5 0.8
Satisfying the need for Freq. 50 52 25 5 0
4.11
public facility Percent 37.9 39.4 18.9 3.8 0.0
Freq. 47 52 20 13 0
Adherence to Time 4.01
Percent 35.6 39.4 15.2 9.8 0.0
Freq. 55 49 18 8 2
Adherence to Budget 4.11
Percent 41.7 37.1 13.6 6.1 1.5
Reduced Litigation and Freq. 43 56 26 7 0
4.02
Disputes Percent 32.6 42.4 19.7 5.3 0.0
Reduced Public Freq. 42 57 18 15 0
3.95
Administration Costs Percent 31.8 43.2 13.6 11.4 0.0
Freq. 48 49 26 7 2
Percent 36.4 1.5
Effective Technology 4.02
37.1 19.7 5.3
Average
mean 4.01
Source: Primary data

From table 14 above, satisfying the need for public facility (4.11) and adherence to budget (4.11)

were ranked highly by the study respondents as the success criteria for PPP projects in the roads

sector. This was closely followed by reduced litigation and disputes and effective technology.

The least ranked success criteria for PPP projects in the roads sector in Uganda was profitability

(3.89). Long term partnership relationship had a mean of 3.99, Adherence to time had a mean of

4.01, reduced litigation and dispute had a mean of 4.02, reduced public administration costs had

a mean of 3.95 and effective technology had a mean of 4.02 implying items above 4.01 were

66
accorded much importance than items below 4.01 in measuring success criteria for PPP project

in the road sector.

4.2.8. Relationship between successful implementation of a PPP road project and

managerial factors, economic factors and political factors.

During the study the researcher employed the multiple regression analysis to determine the

strength of the relationship between successful implementation of a PPP road project and

managerial factors, economic factors and political factors. The multiple regression was also used

to form an opinion on the study hypotheses that:

1. Political factors have influence on the successful implementation of PPPs.

2. Economic factors have influence on the successful implementation of PPPs.

3. Managerial factors have influence on the successful implementation of PPPs.

From table 15 below, it was revealed that the R² = of the model was 0.443 which implies that

44.3% of the variance in successful implementation of a PPP road project can be explained by

managerial factors, economic factors and political factors.

Table 15 showing summary of the multiple regression model.

Model Summary

Adjusted R Std. Error of the

Model R R Square Square Estimate

1 .675a .456 .443 3.029

a. Predictors: (Constant), Total score Managerial factors, Total score

Economic factors, Total score Political factors

Source: Primary data

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Further analysis in table 16 below, revealed that the F-statistic of the model was statistically

significant at 0.05 level of significance since the p-value (0.000) < 0.05 thus we can assume that

the model explains a statistically significant amount of the variance in the factors determining the

successful implementation of a PPP road project. It can be concluded that managerial factors,

economic factors and political factors can be used to reliably predict the successful

implementation of a PPP road project.

Table 16: showing the Statistical significance of the multiple regression model
ANOVAa

Model Sum of Squares df Mean Square F Sig.

1 Regression 985.117 3 328.372 35.797 .000b

Residual 1174.179 128 9.173

Total 2159.295 131

a. Dependent Variable: Total score Successful Implementation of a PPP road project

b. Predictors: (Constant), Total score Managerial factors, Total score Economic factors,

Total score Political factors

Source: Primary data

Estimated model coefficients.

The general regression equation is as below;

Success factors (Y) = X0 + X1b1 + X2b2 + X3b3……………… Equation 1

Success factors = 4.687 + 0.082 Political factors + 0.282 Economic factors + 0.415 Managerial

factors. ………………………………………………………Equation 2

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From equation 2 above and table 17 below, it was revealed that when the score on political

factors, managerial factors and economic factors is zero, the score on success factors on the

implementation of a PPP project in the roads sector in Uganda is 44.3%; keeping other factors

constant. like communication, organizational structure, negotiation skills nature of relationship

and compatibility between partners. These three factors contribute 44.3% variations in PPP

implementation.

Further analysis from the standardized coefficient results revealed that the score of managerial

factors was the strongest predictor of PPP implementation in the road sector the strongest effect

with (β = 0. 415) which is significant at 5% level of significance since the p-value 0.000 <0.05

leaving other factors constant. Therefore, the study concluded that managerial factors have an

influence on the successful implementation of PPP projects in the roads sector. This implies that

availability of managerial factors like appropriate risk allocation, detailed project planning,

strong contract management and control, competence of the organizational staff and transaction

advisor results into PPP implementation.

The study further revealed that economic factors were the second most predictors of PPP

implementation in the road sector and was statistically significant at 5% level of significance

since the p-value (0.000) ˂0.05 with a (β = 0.282) implying that availability of a favorable

economic environment in form of fixed low interest financing, project economic viability and

stable macroeconomic indicators results into PPP implementation.

The study also revealed that a political factor were the least predictors of PPP implementation in

the road sector p-value (0.003) <0.05 and a (β = 0.082) implying that implying that a presence of

favorable factors like political support, political stability, good governance, stakeholder support,

69
favorable legal and regulatory framework among others results into success of PPP

implementation in terms of adherence to time, budget and reduced administration costs.

Table 17 showing the estimated multiple regression model coefficients.

Coefficientsa
Unstandardized Standardized 95.0% Confidence
Coefficients Coefficients Interval for B
t Sig.
Lower Upper
Model B Std. Error Beta Bound Bound
1 (Constant) 4.687 2.735 1.714 .089 -.725 10.099
Total score Political factors .087 .097 .082 .898 .003 -.105 .279
Total score Economic
.330 .099 .282 3.337 .001 .134 .526
factors
Total score Managerial
.418 .087 .415 4.784 .000 .245 .590
factors
a. Dependent Variable: Total score Successful Implementation of a PPP road project

4.3 Interview Findings

Views on the influence of political, economic and managerial factors for PPP implementation

were sought. Four people were interviewed to reinforce the study findings. These included a

Senior Engineer with Kampala Jinja Express way PPP Project, a director from UNRA, a director

from MoFPED’s PPP unit and a Senior Manager in the PPP unit.

4.3.1 Political Factors as a CSF in the implementation of PPPs in the roads sector

All the interviewees strongly agreed that political factors were important for PPP

implementation.

Interviewee 1 pointed out that political factors are very important for the successful

implementation of PPPs. She elaborated:

70
.…political support is very important, but PPPs do not need any interference and meddling as

PPP processes are very lengthy and you are dealing with funders coming to invest their money in

a project. No one would invest their money in a high-risk place (politically unstable) and when

they are not sure of the transparency of the process…. Political factors play a key role and if you

don’t have your factors in order, the chances are that you won’t have a PPP and even if you do,

the chances are that you won’t attract the right players.

Similarly, interviewee 2, stressed that;

….. politics play a very critical in the Public Private undertakings in terms of passing relevant

legislation that facilitate PPP undertakings, such as road tolling policies….

Interviewee 3 categorically said that;

…… you cannot underestimate the impact of political factors in the successful implementation a

PPP project as any contracting authority would tell you that without political buy-in, a project

fails …. during budget appropriation, project approvals from cabinet.

The mentioned interviewees’ perspectives suggest that political factors are important for PPP

implementation: as established by the questionnaire data. This is consistent with Ramli &

Mohamed (2019) who contend that government political influence was a highly rated factor for

PPP success in Malaysia.

4.3.2 Economic Factors as a CSF in the implementation of PPPs in the roads sector
Interviewee 1 … Economic policies reduce the risk profile of the project …. available financial

markets enable private players obtain financing that can be repaid using the local currency,

which lowers cost of doing business….

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Interviewee 2 asserted that; …… economic factors are very key for PPP project success. Factors

such as interest rates and financial markets, favorable economic environment - all translate to the

total cost of the project and have a bearing on tolling rate determination.

4.3.3 Managerial Factors as a CSF in the implementation of PPPs in the roads sector

Interviewee 2 …. Managerial factors are very critical for PPP project success because project execution

is handled by the implementing agency on behalf of government ……... you must have a highly skilled

and robust staff portfolio to handle PPP road projects; a team that is able to interrogate, review and make

substantial remedy or comments in view of PPP project reports – even those from the T.A - not simply

relying on the T.A 100%, …. a team that is able to interpret whatever the T.A submits.

Interviewee 4 reiterated that …. Managerial factors are key as you won’t be able to structure a PPP

project without proper skills set.

Managerial factors are very key for PPP project implementation especially skills set and

transaction advisory services for the PPP project.

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 CHAPTER FIVE

SUMMARY, DISCUSSIONS, CONCLUSIONS AND RECOMMENDATIONS

5.1. Introduction.

This chapter presents the summary of the findings, conclusions drawn and recommendations of

the study.

5.2. Summary of the findings.

5.2.1 The influence of political factors on the implementation of PPP road projects

The study revealed that when political factors, managerial factors and economic factors are

regressed, they contribute to variation in PPP implementation in road projects in Uganda.

Specifically, the findings revealed that there was a strong positive relationship between political

factors and PPP implementation in the road projects and this relationship was statistically

significant. Thus, political factors have an influence on the on the successful implementation of

PPPs projects in the roads sector. The study also revealed that political factors were the least

predictors of PPP implementation in the road sectors and also significant implying that political

factors like support from policy makes is highly important if these kinds of financing

mechanisms are to be used.

5.2.2 The influence of economic factors on the implementation of PPP road projects

The study also revealed that there is a strong positive relationship between economic factors and

PPP Success Criteria. The results further revealed that this relationship was statistically

significant. Thus, economic factors have an influence on the successful implementation of PPPs

73
projects in the roads sector. The study further adduced that a presence of favorable economic

factors would increase in the successful implementation of a PPPs project in the roads sector

keeping other factors constant. This is statistically significant thus it can be concluded that

economic factors have an influence on the successful implementation of a PPPs project in the

roads sector. This was the second most predictor of PPP implementation in the road sector of

Uganda.

5.2.3 The influence of managerial factors on the implementation of PPP road projects

It was also reported that there is a strong positive relationship between managerial factors and

PPP Success Criteria. The findings further revealed that this relationship was statistically

significant. Thus, managerial factors have an influence on the on the successful implementation

of PPPs projects in the roads sector. Further analysis from the standardized coefficient results

revealed that the score of managerial factors has the strongest effect PPP implementation

implying that presence of managerial factors would result into increase on the successful

implementation of a PPPs project in the roads sector which is significant. Therefore, the study

concluded that managerial factors have an influence on the successful implementation of a PPPs

project in the roads sector.

5.3 Discussion of the findings

5.3.1 The influence of political factors on the implementation of PPP road projects
From the findings, political factors have an influence on the successful implementation of PPP

road projects. These study findings and observations are supported by previous studies which

attributed political instability as a determinant towards project implementation success (Dairu &

Muhammad (2016) . Additionally, Casady et al., (2017) asserts that effective PPP delivery is

dependent on institutional maturity. Political factors are mirrored by a sound public policy

74
characterized by good governance, to avoid opposition on the part of citizens and political parties

(Firmino, 2018). Furthermore, Carter et al., (2017) revealed that PPPs are a tool for public

infrastructure provision requiring rigorous stakeholder management, engagement and

performance monitoring. From the study findings and related literature, the study affirms that

political factors have an influence on the successful implementation of PPPs in road projects

implying that the government of Uganda and policy makers should put this in consideration

while planning for the implementation of PPP.

5.3.2 The influence of economic factors on the implementation of PPP road projects

Economic factors were also found to have an influence on the successful implementation of PPP

road projects. These study findings were in line with Li et al., (2005) who submits that a stable

and growing economic environment brought about by the adoption of appropriate economic

policies is an enabler of private sector participation with confidence. Ahmadabadi & Heravi

(2019) contend that sound economic policies are characterized by the ability to deal with

fluctuations in exchange/interest rates and are also able to predict currency exchange risk,

thereby fostering favorable economic systems. Economic factors also embody the presence of

government guarantee / financial support especially as perceived by the private sector (Ismail,

2013). Therefore, economic factors as well has influence the successful implementation of PPP

projects in roads. This implies that private sector investment is desirable to have implementation

a success.

5.3.3 The influence of managerial factors on the implementation of PPP road projects

Lastly, managerial factors pose an influence on the implementation of PPP road projects. this is

supported by previous studies for example, Osei-kyei & Chan, 2018 who noted that a clearly

75
structured and established national infrastructure plan enables right project selection by public

authorities - that is characterized by demonstrated and accepted need for the project/facility by

the public and the project being a near-monopoly in providing the public facility. Similar studies

by Kahwajian et al., (2014) established that the lack of skilled/experienced private and public

consulting organizations in Syria specializing in technical, legal and financial aspects of PPP

projects were among the main problems being encountered in PPP projects in Syria. Maseko

(2014) also emphasized that the selection criteria for the private partner should prioritize

experience and capability to deliver PPP projects. based on the study findings and the reviewed

literature, it’s evident enough to affirm that proper management in all aspects has an influence on

whether the implementation of these PPP projects in the road sector succeed or fail.

5.4. Conclusion.
This study set three hypotheses which included 1) Political factors have no influence on the

successful implementation of PPPs, 2) Economic factors have no influence on the successful

implementation of PPPs and 3) Managerial factors have no influence on the successful

implementation of PPPs.

From the findings the researcher can conclude that political factors, economic factors and

managerial factors have a significant influence on the successful implementation of Public

Private Partnership projects in the roads sector in Uganda. This implies that favorable political

factors are key in terms of establishing an overall PPP policy framework which influences the

successful implementation of PPPs and the adoption of appropriate economic policies could lead

to a stable and growing economic environment which allows private sector participation with

confidence. In conclusion therefore, more emphasis should be put on the three factors that were

under study because it was found out that all have an influence in the success of PPP

76
implementation hence favorable conditions should be put in place if implementation is to

succeed.

5.5. Recommendations

The study recommends that;

There should be deliberate political will to enable institutions work without undue interference

and meddling in the implementation of PPP road projects as such projects are characterized by

lengthy time frames, costly investments and multilevel stakeholders’ involvements. Functional

institutions will facilitate right project identification, transparent procurement processes that

enables selection of a strong private consortium as well as selection of a Transaction Advisor for

the PPP road project; as all these factors contribute to the success of PPP road projects.

The study also recommends that to ensure the successful implementation of PPPs in the roads

sector, the procurement process should result into selection of a strong private consortium with

strong technical strength. The procurement process should therefore be transparently void of

undue influence. Similarly, strong contract management and control should be undertaken

throughout the PPP project implementation. However, strong contract management and control

can only be effective if the organization staff and transaction adviser are impeccably competent

in their understanding of PPP mechanisms. The study additionally should be able to inform the

policy makers and stakeholders that detailed planning is key to the success of PPP projects. The

PPP frameworks put in place should be key informants in project identification, planning and

execution, to be an enabler of a successful PPP road project implementation as PPPs are country

and sector specific.

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5.6 Areas of future research

The study revealed that the R² = of the model was 0.443 which implies that 44.3% of the

variance in successful implementation of a PPP road project can be explained by managerial

factors, economic factors and political factors. 56.7% of the variation is caused by other factors

which were not studied. Therefore, the study recommends that other studies be conducted to

establish the other factors that influence PPP implementation in the road sector.

5.7 Limitations of the study

Some respondents had reservations towards answer the questionnaire as they thought that the

researcher could obtain and release confidential information about PPP projects to the public.

This challenge was addressed by the researcher through assuring the respondents that the

information that they would give would be treated as confidential and that they would remain

anonymous through the study including in the research report.

The measurement scales that were used in the current study were adapted from previous

research studies. Subsequently, the limitations that were entrenched in them likewise affected

this study. However, the researcher utilized secondary data source for more explanation on the

study variables.

Respondent were slow at filling in the questionnaire due to their busy work schedule, which

somehow delayed the data collection exercise. The researcher attempted to resolve this

challenge by sending humble reminder messages to respondents to fill the questionnaire within

the duration earlier agreed upon with the researcher.

78
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 APPENDICES

Appendix 1: The Krejcie and Morgan Table

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Appendix 2: Research Questionnaire
QUESTIONNAIRE

Dear Sir/Madam,

My name is Patricia Ajwang, a student of Kyambogo University pursuing a Master of Science in Procurement and Supply Chain

Management. As a requirement for the award of this degree, I am conducting a research study on Critical Success Factors

influencing the Implementation of Public Private Partnerships (PPP) in the Roads Sector in Uganda.

As an esteemed respondent, all information you provide will be treated with utmost confidentiality and used strictly for purposes of

this academic research. At no times shall the information you provide be used against you.

The survey is aimed at identifying critical success factors influencing the implementation of Public Private Partnerships (PPPs) in

Uganda’s Roads sector.

SECTION 1: Respondent’s Background Information (Tick as Appropriate)

Company/Organization name: ……………………………………………………………………………

Gender:

Male Female

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Age Group

25-30 31-35 36-40 41-45 46-50 51 and over

Highest Level of Education

PhD Masters/PG Degree Diploma

Level in Management

Director: Head of Dept. Manager Senior Officer Officer

Sector
Public Sector Private Sector Development Partners Consultants Academicians
yll

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Number of years of Exposure to PPP projects
0-5 years 6-10 years 11-15 years 16 + years

SECTION 2

SECTION 2:
Please evaluate the extent to which each of the listed Critical Success factors affects or promotes the successful implementation of

PPP road projects in Uganda. Basing on a scale of 1 to 5 where ‘1’ is perceived as ‘not important’ ‘2’ is perceived as ‘less important’

‘3’ is perceived as ‘some importance’ 4 is perceived as ‘important’ and ‘5’is perceived as ‘very important.

S/N Success Factors Rating Definitive Narrative

POLITICAL FACTORS
1 Political Support Policy should increase inclinations towards PPPs and
1 2 3 4 5 effectively address barriers faced.
2 Political Stability A stable political environment largely affects factors such
as regulatory and macro-economic environments. Political
1 2 3 4 5 instability may result in PPP project termination, poor
governance, insecurity and lack of transparency and
accountability of the government.
3 Good Governance Good governance is important for developing sound

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 1 2 3 4 5 economic policy and effectiveness of public institutions to
empower them administer projects.
4 Favourable Legal & Regulatory Allows a PPP project to be developed without undue legal
Framework restrictions on private sector involvement. Regulatory
1 2 3 4 5 policy contributes to the consecution of rights and
guarantees to partnerships.
5 Effective PPP Procurement An effective procurement process is anchored on the
Process principles of competition and transparency which
1 2 3 4 5
enhances project value for money and fosters stakeholder
confidence in the project.
6 Well Organized & Committed A well-organized and committed public agency to
Public agency 1 2 3 4 5 negotiate on behalf of the public body is essential for a
PPP project.
7 Stakeholder acceptance/support Critical stakeholder management system to identify and
manage issues and concerns that may impact the project.
1 2 3 4 5 Public acceptance of the concept of private provision in
terms of localized employed, economic and social
development.
8 Multi-benefit objectives PPP partners must understand and respect each other’s

1 2 3 4 5 goals. Public sector aims to reduce financial constraints &

attain value for money. Private sector aims at profit
generation, market penetration and diversification.

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ECONOMIC FACTORS
9 Available Mature Financial Presence of flexible and long-term project financers with
Markets appropriate risk insurance instruments.
1 2 3 4 5

10 Fixed Low interest-rate Financing Acts as a mitigant against interest-rate risk that affects
1 2 3 4 5 project value for money and financial viability of the
project.
11 Sound Economic Policies Government adoption of economic policies to maintain a
stable and growing economic environment which fosters
1 2 3 4 5
private sector confidence e.g., fiscal policy.

12 Stable macro-economic indicators Presence and extent of geo-political risks where the
market exhibits reasonable certainty and market risk is
1 2 3 4 5 correspondingly low, does a great deal to reduce risks for
private investors. Macro-economic indicators such as
purchase power parity/income levels, GDP and level of
investments in the economy (local & foreign).
13 Government Financial Government support through provision of partial capital
Support/Subsidies 1 2 3 4 5 financing, grants and tax exemptions.
14 Government Guarantees Government guarantees tend to lower the risk taken by the
concessionaire, support the cash flows of the
1 2 3 4 5

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 concessionaire, and raise the level of confidence of
investors and lenders.
15 Project Economic Viability Emphasizes the bankability of PPP projects. Bankability
(Split econ & fin, abilities) 1 2 3 4 5 connotes the project’s ability to generate a sustainably
sufficient cash flow and yield optimal results.
16 Fiscal Concession and Investment Use of budgetary process in line with government fiscal
policy 1 2 3 4 5 policy to minimize fiscal risk and ensure project
affordability in consideration of government expenditure
and revenue levels.
MANAGERIAL FACTORS
17 Right Project Identification A good PPP projects means a project is suitable and has a
strong technical and economic rationale. It should be in
1 2 3 4 5
line with the country’s national development plan and/
sector specific plan.
18 Detailed project Planning Aims to highlight all project intrinsic stages and
associated costs, risks and measurable output from the
1 2 3 4 5
inception stage to transfer of the good/service to the public
sector.
19 Appropriate Risk Allocation Technical, construction, operational, financial, foreign
(corner stone of PPPs) exchange risks, force majeure. Risk allocation entails
1 2 3 4 5 identification & allocation of risks to the party best suited/
positioned to handle, through a competitive concession

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 agreement.
20 Sound Financial package Cost of delivering the PPP project should be

1 2 3 4 5 commensurate with private party’s Return on Investment

(ROI) over the PPP contractual period.
21 Strong Private Consortium with Experienced Private partners with specific PPP
Strong technical strength 1 2 3 4 5 technical/construction experience and financial abilities so
as to achieve the most favourable project results.
22 Competence of Organization staff General knowledge and experience about PPP concept and
and Transaction Advisor (T.A) mechanism. PPP Project technical, financial, insurance,
1 2 3 4 5
procurement, and legal skills of agency staff & transaction
advisor.
23 Strong Contract Management and Strong contract management that ensures compliance
Control – key for both the from both the public and private partners. PPP projects are
1 2 3 4 5
concession agreement & inclined to be characterized by variations of scope as the
project progresses, both justified and unjustified.
24 Acceptable Toll/Tariff Levels Projects that are carried out with a PPP approach should
be viable for revenue generation without excessive tariffs
1 2 3 4 5
being applied during operation, therefore causing a public
outcry which sends a negative sentiment to foreign
investors.

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2.2 Are there any other critical success factors you consider to be important that are not included in this questionnaire? (Please tick as

appropriate; your response is highly valued).

Yes …………………………. No …………………………..

2.3 If Yes, please mention them.

…………………………………………………………………………………………………………………………………..

……………………………………………………………………………………………………………………………………

……………………………………………………………………………………………………………………………………

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SECTION 3
PPP Success Criteria denote the extent of success of an implemented PPP project. To what extent do the following signify the

successful implementation of a PPP road project? Basing on a scale of 1 to 5 where ‘1’ is perceived as ‘not important’ ‘2’ is perceived

as ‘less important’ ‘3’ is perceived as ‘some importance’ 4 is perceived as ‘important’ and ‘5’is perceived as ‘very important.

S/N Success Criteria Rating Definitive narrative

1 Profitability Determination of appropriate toll/tariff level so that the
1 2 3 4 5 private party (concessionaire) receives a reasonable ROI in
line with the quality of facilities and services offered.
2 Long Term Partnership Partnership of the public and private sector span over a
Relationship lengthy time period.
1 2 3 4 5
3 Satisfying the need for public Satisfying key interests of all stakeholders in terms of
facility 1 2 3 4 5 functionality, fit-for-purpose and quality.
4 Adherence to Time PPP project completion within contractual stipulated time
frame.
1 2 3 4 5
5 Adherence to Budget Meeting the projected budget threshold for the PPP
1 2 3 4 5 project.
6 Reduced Litigation and Disputes Disputes arising from and within the public sector and
private parties as well as within the latter (private
1 2 3 4 5
consortium) should be minimal.
7 Reduced Public Administration Public sector costs on administration are arguably
Costs low/reduced due to transfer of greater risks to the private
1 2 3 4 5
party that is able to best control them.
8 Effective Technology New technology advanced by the project should be user
1 2 3 4 5 friendly / easily adaptable by the users but patent protected
from duplication.

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3.1 Are there any other PPP road project Success Criteria that you would like to draw to this research’s attention? (Please Tick as

appropriate)

Yes: …………………. No: …………………...

If Yes, please mention them.

…………………………………………………………………………………………………………………………………………..

SECTION 4

4.1 To what extent do PPP CSFs influence the implementation of PPP road projects in Uganda? (Please Tick as appropriate)

Large Extent: ………………………………… Lesser Extent: ……………………………………..

Thank you for your valuable responses.

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Appendix 3: Interview Guide
INTERVIEW GUIDE FOR PPP SPECIFIC RESPONDENTS

Self-introduction

My name is Patricia Ajwang, a student of Master of Science in Procurement & Supply Chain
Management at Kyambogo University. I am conducting a study on Critical Success Factors
influencing the Implementation of PPPs in the Roads sector – A case of Uganda; as the partial
requirement for the Master’s degree award.

You have been selected as a respondent to provide me with your views on this study based on
your experience on the subject matter. Your views will be kept and treated confidentially and at
no moment will it be used against you.

1. What is your perception of Political Factors as an influential element of the successful

implementation of PPPs in the roads sector?

2. Comment on the importance of stakeholder engagement and management in a PPP road

project.

3. Do you perceive Economic Factors as key constructs in the successful implementation of

PPPs in the roads sector?

4. What can government do to encourage private sector involvement in PPP road projects?

5. Comment on the influence of Managerial Factors as a PPP critical success factor in the

roads sector.

6. PPP Success Criteria denote the extent of success of an implemented PPP project. How

are you able to tell that a PPP road project has been implemented successfully?

THANK YOU FOR YOUR TIME AND PARTICPATION.

98