PUBLIC PRIVATE PARTNERSHIPS ACT.

(1) This Act shall apply to all public private partnerships and in particular shall apply to the design, construction, maintenance and operation of infrastructure or services provided under the following projects—

(a) road, rail, subway, water and air transport facilities, including harbour and port facilities, airports and airport facilities;

(b) information and computer technology, telecommunication and telecommunication networks;

(c) social infrastructure, including health care facilities, correctional facilities, education facilities, accommodation facilities, public housing and court facilities;

(d) water management facilities, including dams and water storages, water supply and distribution systems, irrigation and drainage systems and sanitation, sewerage and waste management systems;

(e) oil pipelines, gas pipelines and gas storage, refinery, conveyance and distribution facilities;

(f) energy-related facilities and other facilities for the generation, preservation, transmission and distribution of electricity;

(g) sports and recreational facilities, sports grounds and space for sports and recreation, including facilities for recreational, sports and cultural activities;

(h) tourist infrastructure facilities;

(i) extraction and processing of mineral raw materials;

(j) agricultural processing industries; or

(k) any other project as the Minister may, by statutory instrument, approve.

(2) A project specified in subsection (1) qualifies for implementation under this Act where it fulfills the objectives of the National Development Plan.

3. Principles to govern the implementation of public private partnerships.

The implementation of a public private partnership shall be governed by the following principles—

(a) ensuring value for money, by optimal allocation of risks to private parties and maximisation of the benefits to be obtained from expertise and financing by private parties;

(b) protection and respect of the rights and interests of users of the infrastructure or services offered under a project;

(c) transparency, by ensuring that the procurement of a public private partnership does not restrict competition among the bidders and that it is conducted on equal terms and uses objective criteria;

(d) transparency, by ensuring that all bid notices are advertised as prescribed and that the bidders have access to the same information;

(e) accountability of the contracting authority to the users of the infrastructure or service to be offered under a project;

(f) promotion of the participation of Ugandans as private parties in public private partnerships;

(g) ensuring that the terms and conditions of service of the employees affected by a project are in accordance with the relevant laws;

(h) protection of the intellectual property of bidders at all stages of a project;

(i) stimulating growth and development through harnessing private sector innovation and efficiency;

(j) providing policy stability in order to reduce private sector uncertainty on investment returns; and

(k) developing institutional capacities for technical analysis, negotiation, monitoring and management of public private partnerships contracts.

4. Interpretation.

In this Act, unless the context otherwise requires—

"accounting officer" means a person designated as such under law, to perform the functions of accounting officer of a contracting authority;

"agreement" means the public-private partnership agreement entered into in accordance with this Act;

"committee" means the Public Private Partnerships Committee established under section 5;

"contracting authority" means a Ministry, department of Government or any other body established by Government and mandated to carry out a public function;

"Fund" means the Project Development Facilitation Fund established under section 29;

"Minister" means the Minister responsible for finance;

"Ministry" means the Ministry responsible for finance;

"private party" means the private party provided for under section 20;

"process auditor" means a person appointed as such by the Accountant General;

"project" means a public private partnership;

"project team" means a project team established under section 15;

"public-private partnership" means a commercial transaction between a contracting authority and a private party where the private party performs a function of the contracting authority on behalf of the contracting authority, for a specified period, and

(a) acquires the use of the property, equipment or other resource of the contracting authority for the purposes of executing the agreement;

(b) assumes substantial financial, technical and operational risks in connection with the performance of the function or use of the property; or

(c) receives a benefit for performing the function through payment by the contracting authority or charges or fees collected by the private party from the users of the infrastructure or service, or both;

"public private partnership agreement" means a written contract recording the terms of a public private partnership concluded between a contracting authority and a private party;

"special purpose company" means a company incorporated under the laws of Uganda to implement a specific public private partnership;

"transaction advisor" means a person appointed in writing by a contracting authority who has the appropriate skill and experience to assist and advise the contracting authority or the Unit on matters related to a public private partnership, including the preparation, accession and conclusion of a project agreement and the financial close;

"Unit" means the Public Private Partnerships Unit established under section 10;

"value for money" means the optimal benefit of a public private partnership to a contracting authority, defined in terms of the cost, quality and quantity of the project and the risk transferred to the private party.

PART II
MANAGEMENT OF PUBLIC PRIVATE PARTNERSHIPS.

Contracting authority.

5. Establishment of the Public Private Partnerships Committee.

(1) There is established a Committee to be known as the Public Private Partnerships Committee which shall consist of—

(a) the Attorney General or a person appointed by him or her in writing;

(b) the Permanent Secretary of the Ministry responsible for finance or his or her representative, who shall be the chairperson of the Committee;

(d) a representative of the National Planning Authority;

(e) the Permanent Secretary of the Ministry responsible for lands or his or her representative;

(f) the Permanent Secretary of the Ministry responsible for local governments or his or her representative;

(g) four persons, who shall not be public officers; and

(h) a Director appointed under section 10 who shall be the secretary to the Committee.

(2) The persons under subsection (1)(g) shall—

(a) consist of—

(i) a representative of the Private Sector Foundation;

(ii) a representative of the Uganda Investment Authority;

(iii) a representative of the academia; and

(iv) a retired judge;

(b) be appointed by the Minister who shall ensure that at least one-third of the persons are of either gender; and

6. Terms and conditions of service.

The members of the Committee shall hold office on such terms and conditions as the Minister shall, in consultation with the Public Service Commission, determine.

7. Functions of the Committee.

The functions of the Committee are to—

(a) ensure that each project agreement is consistent with the provisions of this Act;

(b) formulate policy on public private partnerships;

(c) ensure that all projects are consistent with the national priorities specified in the Public Private Partnerships Framework Policy;

(d) approve project proposals submitted to it by a contracting authority;

(e) authorise allocations from the Fund;

(f) formulate standards, guidelines and procedures for awarding contracts and standardized bid documents;

(g) examine and approve feasibility studies conducted by a contracting authority under this Act;

(h) review the legal, institutional and regulatory framework of public private partnerships;

(i) approve the organisational structure of the Unit;

(j) oversee the monitoring and evaluation by contracting authorities, of a public private partnership from commencement to post completion stage;

(k) ensure approval of, and fiscal accountability in the management of, financial and any other form of support granted by the Government in the implementation of projects under this Act;

(l) ensure the efficient implementation of any project entered into by contracting authorities; and

(m) perform any other function as may be conferred on it by this Act.

8. Powers of the Committee.

(1) The Committee shall have all the powers necessary for the proper discharge of its functions under this Act and specifically—

(a) oversee the implementation of policies formulated under section 7(b);

(b) require any information from any party to a project on any matter relating to a public private partnership;

(d) monitor compliance with the terms and conditions of the public private partnership agreement.

(2) The meetings of the Committee shall be regulated under regulations made under this Act.

(3) The Committee may in writing, delegate to any sub-committee or to any member, officer, employee or agent of the Committee, the exercise of any of the powers or the performance of any of

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