Research Article
BibTex RIS Cite
Year 2023, Volume: 16 Issue: 1, 50 - 57, 01.02.2023
https://doi.org/10.17261/Pressacademia.2023.1664

Abstract

References

  • Akintoye, A et al. (2001). The financial structure of private finance initiative projects. Proceedings of the 17th ARCOM Annual Conference, Salford University, Manchester, 1, 361-369.
  • Alias, Z., Zawawi, E.M.A., Yusof, K., Aris, N.M. (2014). Determining critical success factors of project management practice: A conceptual framework. Procedia—Social and Behavioral Sciences, 153, 61–69.
  • Atın, M., Oğuztürk, B.S., Kuyucak Şengür, F. (2022). Analysis of critical success factors of the public-private-partnership model at Turkey airports' terminals. Süleyman Demirel Üniversitesi İktisadi ve İdari Bilimler Fakültesi Dergisi, 27(3), 445-460.
  • Ayo-Vaughan, E. A., Poon, J., Ibem, E. O. (2019) Critical Success Factors for Public-Private Partnerships (PPPs) in Airport Infrastructure in Lagos, Nigeria. International Journal of Civil Engineering and Technology 10(2), 2441–2453.
  • Chourasia, A.S., Dalei, N.N., Jha, K. (2021) Critical success factors for development of public-private-partnership airports in India. Journal of Infrastructure. Policy and Development, 5(1), 32-39.
  • DHMİ (2022). Havalimanları Karşılaştırmalı İstatistikleri, Retrieved from https://www.dhmi.gov.tr/Sayfalar/Istatistikler.aspx
  • Economic and Social Commission for Asia and the Pacific [ESCAP] (2008). A Primer to Public-Private Partnerships in Infrastructure Development, Retrieved from http://www.unescap.org/ttdw/ppp/ppp_primer/41_sources_of_project_finance.html
  • Farquharson, E., Yescombe, E. R., Torres De Mastle, C., & Encinas, J. (2011). How to engage with the private sector in public-private partnerships in emerging markets, Washington, DC: World Bank.
  • Grimsey, D., Lewis, M. (2004). Public Private Partnerships, the Worldwide Revolution in Infrastructure Provision and Project Finance, Edward Elgar Publishing, Cheltenham, UK.
  • Grimsey, D., Lewis, M. (2017). Global Developments in Public Infrastructure Procurement Evaluating Public–Private Partnerships and Other Procurement Options, Edward Elgar Publishing, Cheltenham, UK.
  • Hart, O., Moore, J. (1991). A Theory of Debt Based on the Inalienability of Human Capital, NBER Working Papers 3906, National Bureau of Economic Research, Inc.
  • IATA (2018). IATA Guidence Booklet: Airport Ownership and Regulation. Retriewed from https://www2.deloitte.com/content/dam/Deloitte/xe/Documents/finance/me_iata-guidance_booklet_June2018.pdf
  • ICAO (2022). Economic Development of Air Transport / Public-Private Partnership (PPP), Retrieved from https://www.icao.int/sustainability/pages/im-ppp.aspx
  • Linh, N.N., Wan, X., Thuy, H. T. (2018). Financing a PPP Project: Sources and Financial Instruments—Case Study from China. International Journal of Business and Management, 13(10), 40-248.
  • Kashef, M. (2011). Critical Success Factors for Build Operate Transfer (Bot) Projects: Lessons Learned from Airport Projects. METU, Civil Engineering, Master Thesis, Ankara.
  • Li, B. Et al. (2005). Critical Success Factors for PPP/PFI Projects in The UK Construction Industry. Construction Management and Economics, (June 2005) 23, 459-471.
  • Mohammed, A.O.R., Harputlugil, T. (2019). Identifying Critical Success and Risk Factors of Airport Projects in Turkey Based on Public-Private Partnership, Grid, Çankaya University.
  • Monsalve, C. (2009). Private participation in transport Lessons from recent experience in Europe and Central Asia. Gridlines, Public-Private Infrastructure Advisory Facility, The World Bank.
  • Osei-Kyei, R., Chan A.P.C. (2015). Review of studies on the Critical Success Factors for Public-Private Partnership (PPP) Projects from 1990 to 2013. International Journal of Project Management, 33(6),1335-1346.
  • Pagdadis, S.A. (2012). Leveraging PPPs for Airport Operation and Development: Overcoming the challenges of Airport development in Africa. ACI 21st African Region Annual Assembly, Conference and Exhibition, PricewaterhouseCoopers Private Limited.
  • Presidency of the Republic of Turkey Investment Office (2022). Investing In Infrastructure & In Turkey, Retrieved from https://www.invest.gov.tr/en/library/publications/lists/investpublications/infrastructure-industry.pdf
  • Pu Ming Shu et al. (2016). PPP Project Financial Analysis Application Guide, Beijing: CITIC Publishing Group.
  • Qiao, L., Wang, S.Q., Tiong, R.L.K. and Chan, T.S. (2001). Framework for critical success factors of BOT projects in China. Journal of Project Finance, 7(1), 53-61.
  • Republic of Turkey Ministry of Development (2018). Kamu Özel İşbirliği Uygulamalarında Etkin Yönetim Özel İhtisas Komisyonu Raporu. Onbirinci Kalkınma Planı.
  • Savas, E. (2000). Privatization and Public-Private Partnerships, New York: Seven Bridges Press.
  • Su, B. (2017). Yeni Kamu İşletmeciliği Bağlamında Kamu Özel İşbirliği Projelerinin Etkinlik ve Verimlilik Analizi: Devlet Hava Meydanları İşletmesi Genel Müdürlüğü Örneği. Türk Hava Kurumu Üniversitesi, Sosyal Bilimler Enstitüsü, Yüksek Lisans Tezi, Ankara.
  • Şengür, K.F. (2017). Emerging trends in airport business: a review on Turkey, Int. Journal of Management Economics and Business, 13(4), 226-238.
  • Tiong, R.L.K. (1990). BOT Projects: Risks and securities. Construction Management and Economics, 8, 315-328.
  • Topdemir, B. (2018). Public-Private-Partnership Applications and A Proposed Model For The Aviation Sector. İstanbul Okan University, Institute of Social Sciences, Doctoral Thesis, İstanbul.
  • World Bank Group (2015). Airport PPPs: Benefits, drivers,and success factors, Retrieved form https://www.unescap.org/sites/default/files/6.1%20PPP%20in%20Airport%20Development%20-%20World%20Bank.pdf
  • World Bank Group (2017). Public Private Partnerships Reference Guide Version 3, Retrieved from https://openknowledge.worldbank.org/handle/10986/29052
  • World Bank Group (2022a). Sources of Financing and Intercreditor Agreement, Retrieved from https://ppp.worldbank.org/public-private-partnership/financing/sources
  • World Bank Group (2022b). Public Private Partnerships in Airports, Retrieved from https://ppp.worldbank.org/public-private-partnership/sector/transportation/airports
  • Yescombe, E. (2007). Public-Private Partnership-Principle of Policy and Finance, London, UK, Elsevier Ltd.
  • Yusfida, I. (2022). Critical Success Factor for Labuhan Bajo Airport Public-Private Partnership Investment Pilot Project. Pena Teknik, 7(1), 29-41.

A CRITICAL APPRAISAL OF PUBLIC-PRIVATE-PARTNERSHIP AS A FINANCIAL MODEL AND CRITICAL SUCCESS FACTORS IN AVIATION SECTOR IN TURKEY

Year 2023, Volume: 16 Issue: 1, 50 - 57, 01.02.2023
https://doi.org/10.17261/Pressacademia.2023.1664

Abstract

Purpose- Due to the complexity and high-tech nature of airport projects, their completion takes a substantial amount of time and cost, posing significant financial hurdles for governments. In recent decades, infrastructure finance challenges are increasingly being met through the Public-Private Partnership (PPP) model, which brings together public and private sectors to build and maintain public facilities. This study provides an overview of the PPP model and the major stakeholders in its implementation. In addition, the financial structuring of PPP projects and the financial instruments typically employed in PPP model is also highlighted. Besides, it is aimed to discuss the critical success factors of PPP model in airport projects in Turkey.
Methodology- In this study, the charactheristics of PPP model, its associated stakeholders and the financial structure of PPP projects are highlighted through a review of literature and it is aimed to determine and classify the critical success factors of PPP model in airport projects in Turkey.
Findings- PPP project contracts need to address the adequate sharing of risk, profit, and the costs associated with making new investments. In the study, the macro-level and project-level critical success factors are determined through a review of literature and classified into 7 sub-groups.
Conclusion- In a general sense, a PPP project is considered successful if its objectives are met and its stakeholders are satisfied with the results. Besides, taking into consideration the significant EBITDA profitability of PPP airport projects in Turkey, the government’s partnership in the SPV companies with a public minority share is proposed in order to make it possible for the public to get its share of the profit and to gain more control over these companies. In this model, since the government is involved in the project as an active actor with its legislative power and expertise, the resilience, transparency, and profitability of the project will increase, and both sides may benefit more from the PPP project.

References

  • Akintoye, A et al. (2001). The financial structure of private finance initiative projects. Proceedings of the 17th ARCOM Annual Conference, Salford University, Manchester, 1, 361-369.
  • Alias, Z., Zawawi, E.M.A., Yusof, K., Aris, N.M. (2014). Determining critical success factors of project management practice: A conceptual framework. Procedia—Social and Behavioral Sciences, 153, 61–69.
  • Atın, M., Oğuztürk, B.S., Kuyucak Şengür, F. (2022). Analysis of critical success factors of the public-private-partnership model at Turkey airports' terminals. Süleyman Demirel Üniversitesi İktisadi ve İdari Bilimler Fakültesi Dergisi, 27(3), 445-460.
  • Ayo-Vaughan, E. A., Poon, J., Ibem, E. O. (2019) Critical Success Factors for Public-Private Partnerships (PPPs) in Airport Infrastructure in Lagos, Nigeria. International Journal of Civil Engineering and Technology 10(2), 2441–2453.
  • Chourasia, A.S., Dalei, N.N., Jha, K. (2021) Critical success factors for development of public-private-partnership airports in India. Journal of Infrastructure. Policy and Development, 5(1), 32-39.
  • DHMİ (2022). Havalimanları Karşılaştırmalı İstatistikleri, Retrieved from https://www.dhmi.gov.tr/Sayfalar/Istatistikler.aspx
  • Economic and Social Commission for Asia and the Pacific [ESCAP] (2008). A Primer to Public-Private Partnerships in Infrastructure Development, Retrieved from http://www.unescap.org/ttdw/ppp/ppp_primer/41_sources_of_project_finance.html
  • Farquharson, E., Yescombe, E. R., Torres De Mastle, C., & Encinas, J. (2011). How to engage with the private sector in public-private partnerships in emerging markets, Washington, DC: World Bank.
  • Grimsey, D., Lewis, M. (2004). Public Private Partnerships, the Worldwide Revolution in Infrastructure Provision and Project Finance, Edward Elgar Publishing, Cheltenham, UK.
  • Grimsey, D., Lewis, M. (2017). Global Developments in Public Infrastructure Procurement Evaluating Public–Private Partnerships and Other Procurement Options, Edward Elgar Publishing, Cheltenham, UK.
  • Hart, O., Moore, J. (1991). A Theory of Debt Based on the Inalienability of Human Capital, NBER Working Papers 3906, National Bureau of Economic Research, Inc.
  • IATA (2018). IATA Guidence Booklet: Airport Ownership and Regulation. Retriewed from https://www2.deloitte.com/content/dam/Deloitte/xe/Documents/finance/me_iata-guidance_booklet_June2018.pdf
  • ICAO (2022). Economic Development of Air Transport / Public-Private Partnership (PPP), Retrieved from https://www.icao.int/sustainability/pages/im-ppp.aspx
  • Linh, N.N., Wan, X., Thuy, H. T. (2018). Financing a PPP Project: Sources and Financial Instruments—Case Study from China. International Journal of Business and Management, 13(10), 40-248.
  • Kashef, M. (2011). Critical Success Factors for Build Operate Transfer (Bot) Projects: Lessons Learned from Airport Projects. METU, Civil Engineering, Master Thesis, Ankara.
  • Li, B. Et al. (2005). Critical Success Factors for PPP/PFI Projects in The UK Construction Industry. Construction Management and Economics, (June 2005) 23, 459-471.
  • Mohammed, A.O.R., Harputlugil, T. (2019). Identifying Critical Success and Risk Factors of Airport Projects in Turkey Based on Public-Private Partnership, Grid, Çankaya University.
  • Monsalve, C. (2009). Private participation in transport Lessons from recent experience in Europe and Central Asia. Gridlines, Public-Private Infrastructure Advisory Facility, The World Bank.
  • Osei-Kyei, R., Chan A.P.C. (2015). Review of studies on the Critical Success Factors for Public-Private Partnership (PPP) Projects from 1990 to 2013. International Journal of Project Management, 33(6),1335-1346.
  • Pagdadis, S.A. (2012). Leveraging PPPs for Airport Operation and Development: Overcoming the challenges of Airport development in Africa. ACI 21st African Region Annual Assembly, Conference and Exhibition, PricewaterhouseCoopers Private Limited.
  • Presidency of the Republic of Turkey Investment Office (2022). Investing In Infrastructure & In Turkey, Retrieved from https://www.invest.gov.tr/en/library/publications/lists/investpublications/infrastructure-industry.pdf
  • Pu Ming Shu et al. (2016). PPP Project Financial Analysis Application Guide, Beijing: CITIC Publishing Group.
  • Qiao, L., Wang, S.Q., Tiong, R.L.K. and Chan, T.S. (2001). Framework for critical success factors of BOT projects in China. Journal of Project Finance, 7(1), 53-61.
  • Republic of Turkey Ministry of Development (2018). Kamu Özel İşbirliği Uygulamalarında Etkin Yönetim Özel İhtisas Komisyonu Raporu. Onbirinci Kalkınma Planı.
  • Savas, E. (2000). Privatization and Public-Private Partnerships, New York: Seven Bridges Press.
  • Su, B. (2017). Yeni Kamu İşletmeciliği Bağlamında Kamu Özel İşbirliği Projelerinin Etkinlik ve Verimlilik Analizi: Devlet Hava Meydanları İşletmesi Genel Müdürlüğü Örneği. Türk Hava Kurumu Üniversitesi, Sosyal Bilimler Enstitüsü, Yüksek Lisans Tezi, Ankara.
  • Şengür, K.F. (2017). Emerging trends in airport business: a review on Turkey, Int. Journal of Management Economics and Business, 13(4), 226-238.
  • Tiong, R.L.K. (1990). BOT Projects: Risks and securities. Construction Management and Economics, 8, 315-328.
  • Topdemir, B. (2018). Public-Private-Partnership Applications and A Proposed Model For The Aviation Sector. İstanbul Okan University, Institute of Social Sciences, Doctoral Thesis, İstanbul.
  • World Bank Group (2015). Airport PPPs: Benefits, drivers,and success factors, Retrieved form https://www.unescap.org/sites/default/files/6.1%20PPP%20in%20Airport%20Development%20-%20World%20Bank.pdf
  • World Bank Group (2017). Public Private Partnerships Reference Guide Version 3, Retrieved from https://openknowledge.worldbank.org/handle/10986/29052
  • World Bank Group (2022a). Sources of Financing and Intercreditor Agreement, Retrieved from https://ppp.worldbank.org/public-private-partnership/financing/sources
  • World Bank Group (2022b). Public Private Partnerships in Airports, Retrieved from https://ppp.worldbank.org/public-private-partnership/sector/transportation/airports
  • Yescombe, E. (2007). Public-Private Partnership-Principle of Policy and Finance, London, UK, Elsevier Ltd.
  • Yusfida, I. (2022). Critical Success Factor for Labuhan Bajo Airport Public-Private Partnership Investment Pilot Project. Pena Teknik, 7(1), 29-41.
There are 35 citations in total.

Details

Primary Language English
Subjects Finance, Business Administration
Journal Section Articles
Authors

Yuksel Akay Unvan This is me 0000-0002-0983-1455

Muhsin Tamer Ozdemir This is me 0000-0003-4950-6670

Publication Date February 1, 2023
Published in Issue Year 2023 Volume: 16 Issue: 1

Cite

APA Unvan, Y. A., & Ozdemir, M. T. (2023). A CRITICAL APPRAISAL OF PUBLIC-PRIVATE-PARTNERSHIP AS A FINANCIAL MODEL AND CRITICAL SUCCESS FACTORS IN AVIATION SECTOR IN TURKEY. PressAcademia Procedia, 16(1), 50-57. https://doi.org/10.17261/Pressacademia.2023.1664
AMA Unvan YA, Ozdemir MT. A CRITICAL APPRAISAL OF PUBLIC-PRIVATE-PARTNERSHIP AS A FINANCIAL MODEL AND CRITICAL SUCCESS FACTORS IN AVIATION SECTOR IN TURKEY. PAP. February 2023;16(1):50-57. doi:10.17261/Pressacademia.2023.1664
Chicago Unvan, Yuksel Akay, and Muhsin Tamer Ozdemir. “A CRITICAL APPRAISAL OF PUBLIC-PRIVATE-PARTNERSHIP AS A FINANCIAL MODEL AND CRITICAL SUCCESS FACTORS IN AVIATION SECTOR IN TURKEY”. PressAcademia Procedia 16, no. 1 (February 2023): 50-57. https://doi.org/10.17261/Pressacademia.2023.1664.
EndNote Unvan YA, Ozdemir MT (February 1, 2023) A CRITICAL APPRAISAL OF PUBLIC-PRIVATE-PARTNERSHIP AS A FINANCIAL MODEL AND CRITICAL SUCCESS FACTORS IN AVIATION SECTOR IN TURKEY. PressAcademia Procedia 16 1 50–57.
IEEE Y. A. Unvan and M. T. Ozdemir, “A CRITICAL APPRAISAL OF PUBLIC-PRIVATE-PARTNERSHIP AS A FINANCIAL MODEL AND CRITICAL SUCCESS FACTORS IN AVIATION SECTOR IN TURKEY”, PAP, vol. 16, no. 1, pp. 50–57, 2023, doi: 10.17261/Pressacademia.2023.1664.
ISNAD Unvan, Yuksel Akay - Ozdemir, Muhsin Tamer. “A CRITICAL APPRAISAL OF PUBLIC-PRIVATE-PARTNERSHIP AS A FINANCIAL MODEL AND CRITICAL SUCCESS FACTORS IN AVIATION SECTOR IN TURKEY”. PressAcademia Procedia 16/1 (February 2023), 50-57. https://doi.org/10.17261/Pressacademia.2023.1664.
JAMA Unvan YA, Ozdemir MT. A CRITICAL APPRAISAL OF PUBLIC-PRIVATE-PARTNERSHIP AS A FINANCIAL MODEL AND CRITICAL SUCCESS FACTORS IN AVIATION SECTOR IN TURKEY. PAP. 2023;16:50–57.
MLA Unvan, Yuksel Akay and Muhsin Tamer Ozdemir. “A CRITICAL APPRAISAL OF PUBLIC-PRIVATE-PARTNERSHIP AS A FINANCIAL MODEL AND CRITICAL SUCCESS FACTORS IN AVIATION SECTOR IN TURKEY”. PressAcademia Procedia, vol. 16, no. 1, 2023, pp. 50-57, doi:10.17261/Pressacademia.2023.1664.
Vancouver Unvan YA, Ozdemir MT. A CRITICAL APPRAISAL OF PUBLIC-PRIVATE-PARTNERSHIP AS A FINANCIAL MODEL AND CRITICAL SUCCESS FACTORS IN AVIATION SECTOR IN TURKEY. PAP. 2023;16(1):50-7.

PressAcademia Procedia (PAP) publishes proceedings of conferences, seminars and symposiums. PressAcademia Procedia aims to provide a source for academic researchers, practitioners and policy makers in the area of social and behavioral sciences, and engineering.

PressAcademia Procedia invites academic conferences for publishing their proceedings with a review of editorial board. Since PressAcademia Procedia is an double blind peer-reviewed open-access book, the manuscripts presented in the conferences can easily be reached by numerous researchers. Hence, PressAcademia Procedia increases the value of your conference for your participants. 

PressAcademia Procedia provides an ISBN for each Conference Proceeding Book and a DOI number for each manuscript published in this book.

PressAcademia Procedia is currently indexed by DRJI, J-Gate, International Scientific Indexing, ISRA, Root Indexing, SOBIAD, Scope, EuroPub, Journal Factor Indexing and InfoBase Indexing. 

Please contact to procedia@pressacademia.org for your conference proceedings.