Risk allocation in a public–private partnership: a case study of construction and operation of kindergartens in Kazakhstan

In Kazakhstan, a transitional nation in Central Asia, the development of public–private partnerships (PPPs) is at its early stage and increasingly of strategic importance. This case study investigates risk allocation in an ongoing project: the construction and operation of 11 kindergartens in the city of Karaganda in the concession form for 14 years. Drawing on a conceptual framework of effective risk allocation, the study identifies principal PPP risks, provides a critical assessment of how and in what way each partner bears a certain risk, highlights the reasons underpinning risk allocation decisions and delineates the lessons learned. The findings show that the government has effectively transferred most risks to the private sector partner, whilst both partners share the demand risk of childcare services and the project default risk. The strong elements of risk allocation include clear assignment of parties’ responsibilities, streamlined financing schemes and incentives to complete the main project phases on time. However, risk allocation has missed an opportunity to create incentives for service quality improvements and take advantage of economies of scale. The most controversial element of risk allocation, as the study finds, is a revenue stream that an operator is supposed to receive from the provision of services unrelated to childcare, as neither partner is able to mitigate this revenue risk. The article concludes that in the kindergartens’ PPP, the government has achieved almost complete transfer of risks to the private sector partner. However, the costs of transfer are extensive government financial outlays that seriously compromise the PPP value for money.

Public-private partnership's procurement criteria: the case of managing stakeholders' value creation in Kazakhstan

The article presents the study of the criteria that Kazakhstan's government used for granting a public–private partnership (PPP) contract to a private investor for construction and operation of eleven kindergartens in the city of Karaganda during 14 years. From the perspective of value creation for critical stakeholders, there was often misalignment between bidders' views of these criteria and the perceived value for citizens and the government. The latter may significantly enhance the creation of shared values in a PPP by actively engaging stakeholders in the design of the bids' assessment criteria.

Children's preconceptions of science: how these can be used in teaching

This paper focuses on young children’s initial ideas about science prior to any teaching and discusses teachers’ identification of these ‘preconceptions’ when teaching science in the early years. The research focuses on early years teaching in public and private kindergartens with children from three to five. The area of the children’s preconceptions has been extensively investigated by other researchers in the past. However, research focusing on children’s preconceptions and how teachers work with these in the early years is still limited in comparison, especially within Cypriot context. A case study was employed which facilitated in-depth investigation employing different methods of data collection including interviews and observations. The results indicate that teachers tend to avoid identification of the children’s preconceptions when planning and teaching science. This suggests a lack of appreciation of the children’s preconceptions and the consequences when they are not acknowledged. To help teachers respond to the children’s preconceptions, this paper provides a number of suggestion on how to identify children’s preconceptions.