INGENIEUR
Brownfield
The term “Brownfield” has been defined in various ways to suit purposes and needs of an
organisation. The opposite of it is known as “Greenfield development”. EPA3 defines brownfield as
real property, the expansion, redevelopment, or reuse of which may be complicated by the presence
or potential presence of a hazardous substance, pollutant or contaminant (EPA, 2011). Brownfield
land is defined as an area of land or premises that has been previously used, but subsequently
becomes vacant, derelict or contaminated. Hence, the main element of brownfield development is
the redevelopment and reuse of land which has been previously settled. For the purpose of this
paper, brownfield development will refer to projects for developing sewerage treatment plants (STPs)
and/or sanitary landfills.
Public-Private Partnership
Public-Private Partnership (PPP) is a procurement method used by a Government to acquire public
assets beside the conventional procurement system. There is no universally accepted definition
for PPP. In Australia, PPP is defined where the private sector provides public infrastructure and
any related services and there is private investment or financing (Infrastructure Australia, 2008).
In Malaysia it is defined as a form of collaboration between public and private sectors in which a
standalone business entity is formed, financed and operated by the private sector which includes
construction, development, maintenance and refurbishment of public sector’s assets such as
buildings, infrastructures and facilities (Public Private Partnership Unit, 2009). In short, PPP is a
long term contractual arrangement for the delivery of public services which involves a significant
degree of risk sharing between the public and private sectors (Yong, 2010).
The implementation of PPP in Malaysia started in 1983 with the inception of the Malaysia
Incorporated and Privatization Policy. In 1991, the Privatization Masterplan was introduced by
the Economic Planning Unit before the Unit Kerjasama Awam Swasta (UKAS) was institutionalized
in 2009. UKAS which is the acronym for Public-Private Partnership Unit of the Prime Minister’s
Department has been tasked to monitor PPP affairs in the country. The department is the secretariat
to the PPP Committee chaired by the Director-General of UKAS and comprised representatives
from various Ministries and public agencies 4. The Committee’s responsibilities among others
are to formulate PPP policy in Malaysia and to negotiate terms and conditions of the Concession
Agreement with the private proponent.
There are several methods in PPP implementation, such as but not limited to:●●
Build-Operate-Transfer (B.O.T.)
●●
Build-Operate-Own (B.O.O.)
●●
Build-Lease-Maintain-Transfer (B.L.M.T.)
●●
Build-Lease-Maintain-Operate-Transfer (B.L.M.O.T)
●●
Operation & Management (O & M) Contract
●●
Sales of Public Assets / Equity
●●
Leasing
●●
Land swap
The reason for public procurement done by way of PPP is to ensure best value for money in
public spending. The benefits of PPP implementation, among others, are accelerated project
implementation, more effective project delivery and more efficient service delivery (Marcel, 2015).
6
52
VOL
– DECEMBER 2015
VOL64
55OCTOBER
JUNE 2013