On November 6, 2012, the Statute of the Public-Private Partnerships Law, which was published on November 5, 2012 in the Official Gazette, became effective.
This Statute's main objective is to regulate the Public-Private Partnerships in which the Mexican government and private companies take part.
Different kinds of Public-Private Partnerships
The Statute defines the different kinds of Public-Private Partnerships as follows:
- A Pure Public-Private Partnership project is one in which the economic resources for the payment of services to the Mexican government, operation and maintenance expenses come from federal resources.
- A mixed Public-Private Partnership project is one in which the economic resources for the payment of services to the Mexican government, operation and maintenance expenses come from the Mexican government, National Infrastructure Fund or other public economic resources that are not part of the budget.
- An auto-financing Public-Private Partnership project is one in which payment of all the expenses comes from private companies or from the profits earned by the project
The Statute provides that the Public Function Ministry will submit information in relation to the Public-Private Partnerships project proposals on the CompraNet website.
Creation of a Project Developers Registry
Also, it establishes the creation of a Project Developers Registry, with information regarding the partners controlling the company and its managers, and it includes a separate section of the registry for the project developers that have been punished by a court resolution.
This Statute seeks to motivate private companies to participate in these projects and to satisfy general population concerns by providing a solid guideline that allows a safe association between the Mexican government and private companies.
The Statute will also provide more legal certainty to the parts of the Public-Private Partnerships and the conditions of the competitive process. The granting of the project will be public.
Originally published November 2012.
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