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Public - Private Partnership in Slovenia

Public - Private Partnership in Slovenia. Ministry of the Economy Tourism Directorate Marjan Hribar, MSc. Director General Chairman of the Commission for Europe Moscow, 15 March 2010. Public - Private Partnership in Slovenia. CONTENT: TOURISM IN SLOVENIA PPP IN SLOVENIA

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Public - Private Partnership in Slovenia

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  1. Public - Private Partnership in Slovenia Ministry of the Economy Tourism Directorate Marjan Hribar, MSc. Director General Chairman of the Commission for Europe Moscow, 15 March 2010

  2. Public - Private Partnership in Slovenia CONTENT: • TOURISM IN SLOVENIA • PPP IN SLOVENIA • BEST PRACTICE EXAMPLES

  3. Public - Private Partnership in Slovenia CONTENT: • TOURISM IN SLOVENIA • PPP IN SLOVENIA • BEST PRACTICE EXAMPLES

  4. Tourism in Slovenia Statistical data for 2009: • Tourist arrivals (total): 2.722.002 (-2%) • Overnight stays (total): 8.302.231 (-1%) • Overnight stays of foreign tourists: 4.526.553(-7%), domestic +6%. Structure of overnight stays: 55% foreign tourists, 45% domestic. Main source markets: Italy (21%), Austria (14%) and Germany (11%), followed by: Croatia 6%, Netherlands 5%, UK 5%, Russian federation 4%, Hungary 3%, Serbia and France each 3%. Export from tourism in 2009**: 1,8 bil €, decreased by 7,5%, compared to 2008.

  5. Travel & Tourism Economic Impact 2009 Report (WTTC) Slovenia

  6. Competitiveness of Slovene Tourism in 2009 The WEF Travel & Tourism Competitiveness Report 2009 Rank: 35 (out of 133 countries) 2008: Rank 36 2007: Rank 44

  7. Public - Private Partnership in Slovenia CONTENT: • TOURISM IN SLOVENIA • PPP IN SLOVENIA • BEST PRACTICE EXAMPLES

  8. Why Public-Private Partnership? • Lack of budged funds for implementation of all projects and provision f the funds needed, • Lack of infrastructural facilities, • Higher environmental standards, • Higher citizens expectations, • Know-how transfer from private to public sector. Goals of PPP are: • Efficiency and service quality increase, traditionally ensured by the state, • Investment enlargement into infrastructure, • Efficiency transfer from public to private sector, • Share of risk and efficiency between pubic and private sector.

  9. PPP format • CONSESSION • MANAGEMENT CONTRACT • JOINT VENTURE • DBFO – design, build, finance, operate • BOT – build, operate, transfer MORE PRIVATE AND LESS PUBLIC CONTROL!

  10. Conditions for a successful cooperation • High political support for projects, which are financed in line with the PPP model, • Legislative and institutional framework, • Accurate evaluation of risks and their distribution to public and private sector, • Definition of partnership management, • Supervision!

  11. PPP is not privatisation PPP: PRIVATISATION: – Transfer of funds - Resources ownership transfer – Public sector maintains the responsa- - Public sector maintains only bility for conducting policy and extent legislative function of services - Public sector withdraws from – Share of risk/award the branch – PPP is a partnership - Transfer of risk/award - Includes the owners’ interests

  12. Partnerships according to Law on PPP • Contractual partnership • Statutory partnership, where public and private partners constitute a common enterprise: - Foundation of legal person - Partnership through sale of share - Partnership through purchase of share, capital increase

  13. Public - Private Partnership in Slovenia CONTENT: • TOURISM IN SLOVENIA • PPP IN SLOVENIA • BEST PRACTICE EXAMPLES

  14. Best practice • Funicular railway on Pohorje: • concession for the construction of funicular railway and performance of public service (40 years) • strong financial support of the government • vital importance for tourism development on Pohorje mountain and city of Maribor

  15. Best practice Enterprise Postojna cave tourism has been granted a 20-years concession for the use of natural values in the Postojna cave system...

  16. Best practice …and the Predjama cave system.

  17. Best practice Protected area management (Park Sečovlje Salina) and the use of natural values of Sečovlje Salina – concession was granted to company Soline Ltd for the period of 20 years.

  18. Best practice Concession for the management of Škocjanski zatok nature reserve was granted to the Bird watching and research Society

  19. Best practice Natural park Logarska dolina: Local inhabitants have founded a company, which municipality has granted a concession for management of the park. Private sector invests into infrastructure and program.

  20. Ministry of the Economy Tourism Directorate Marjan.Hribar@gov.si

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