Pennsylvania used a P3 to replace over 500 minor bridges back in 2013. This spring it is expected to approach the market for a new P3 involving its major bridges. Legislation and utility fees are also making P3s more likely in other sectors, reports Bianca Giacobone.
The US state of Pennsylvania is generally considered a friendly place for public-private partnerships (P3s) by investors for three reasons. Firstly, it is a state with a lot of aging infrastructure and not a lot of money; it has an expanding framework of P3-enabling legislation; and it has had a range of market experiences in the past, both failed and successful.
But unlike other previously popular P3 states, such as Texas or Florida, Pennsylvania is not a “growth state” looking to population or demographics, says a source familiar with the market. “Pennsylvania’s infrastructure challenge is one of rehabilitation,” the source says.
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