Life cycle contract as an alternative to traditional public procurement

Abstract

Some common applications of public-private partnerships in foreign
countries are transport, infrastructure, health and education. Recently,
much attention is paid to a specific type of PPP – life cycle contract (LCC).
The adopted in Kazakhstan in October 2015 on public-private partnership
law allows the use of LCC. This article describes the features of the life
cycle contract, its advantages and disadvantages in order to improve the
efficiency of the public sector and summarizes the practical experience
of the foreign use of the life cycle contract. As the authors of the research
objectives was determined attempt to assess the life cycle contract as an
alternative to traditional public procurement. This problem is poorly understood
in Kazakhstan and requires further scientific research. Given the
vast territory of the country and especially the development of the subjects
in the article recommends the use of LCC, especially at the regional level
to create a transport infrastructure.