8.5.1  Commercial manager

The commercial manager has oversight of, and responsibility for, the commercial, financial and legal aspects of the transaction.  This role is generally supported by the following key external advisors:

•  Legal advisor. PPP arrangements involve complex contractual arrangements between government and private providers. For this reason, it is important that the procurement team includes legal expertise. The advisors should have proven experience and a demonstrated track record in advising on public-private partnership projects. The legal advisors play a key role in developing the risk allocation matrix, preparing a contract for release with the RFP, structuring the project, analysing departures from the RFP and contract and documenting final contractual requirements;

•  Commercial/financial advisor. Given the complexity of a PPP transaction a financial and commercial advisor provides significant benefit in the procurement phase including the development of the commercial framework and proposed commercial arrangements, bid evaluation and contract negotiations. The advisor will also generally provide continuing advice on market engagement strategies and assist in consulting with industry parties as necessary.  The commercial/financial advisors will often provide significant input into, and will generally be responsible for the development of, the PSC.