PPP Canada publishes Schematic Design Estimate Guide for public-private partnerships

PPP Canada, a federal Crown corporation that acts as the Government’s go-to group for public-private partnerships (P3s), released a Schematic Design Estimate Guide to assist Canadian governments at all levels procuring public infrastructure through P3s. The guide provides detailed advice on developing appropriate schematic designs that support the preparation of accurate and reliable cost estimates for P3 projects.

“PPP Canada is actively developing knowledge products to grow Canada’s capacity to deliver high-quality P3s”, said John McBride, CEO of PPP Canada. “We are committed to sharing our expertise. This guide is the latest in a series of studies and guides the Corporation has developed to make P3s, and the value and accountability they provide, more accessible to Canadians”.

As explained in a press release, because P3 projects encourage design innovation and integration, only minimal design work is undertaken by public authorities ahead of procurement. This means that the resulting cost estimates carry significant contingencies to account for variance. The guide highlights industry best practices aimed at achieving a high degree of accuracy. It addresses design requirements, approaches to the application of contingences, sector-specific considerations, and the treatment of outputs. Through use of the guide, practitioners will develop cost estimates that are easily verifiable and can be benchmarked against existing construction cost data. The guide’s methods also promote a consistent approach to the preparation of cost estimates, allowing for improved cost comparisons over time.

Previous releases by PPP Canada include:

  • P3 Business Case Development Guide;     
  • Identifying P3 Potential: A Guide for Federal Departments and  gencies;
  • Water / Wastewater Sector Study;
  • Public-Private Partnerships: A Guide for Municipalities; and
  • two guides to assist Building Canada Fund applicants in navigating the new P3 screening process, which PPP Canada manages in collaboration with Infrastructure Canada.

All of these documents are available for download in English and French. They can be found in the Resource Library section of www.p3canada.ca.

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