Managing the PPP agreement starts at the inception phase of the PPP project cycle with designing appropriate solutions and managing input from different advisers. It continues through the selection of the investors and then during implementation of the project. After the exuberance of financial close, the real work begins. This is a critical point, one often ignored by policy makers, to their detriment.

After procurement, the government must manage the development phase, transitioning the project toward delivery of services. This involves:

• establishing the government management team;

• approving construction arrangements, design, and detailed design;

• establishing performance monitoring systems;

• arranging asset, property, and staff transfers;

• monitoring and assisting with applications by the project company for approvals and permissions;

• monitoring and managing subsidy payments (including triggers for payments) and government liabilities;

• approving construction completion and commencement of operations;

• establishing the mechanism for periodic review of end-user requirements.