INTOSAI Working Group on the Audit of Privatisation
Papers for the Tenth Meeting Prague, 9 and 10 June 2003
Draft Guidelines on best practice for the audit of risk in public/private partnerships
Note by the Chairman
- At their 8th meeting in Budapest, in June 2001, the Group agreed to consider the scope for developing audit guidelines covering the situation where the state is trying to deliver public services through a variety of partnerships with the private sector. These partnerships extend to joint ventures, minority shareholdings and a variety of new arrangements for procurement which go far beyond the letting of contracts. The Group examined these issues in light of the replies to the questionnaire on the role of the state as a minority shareholder, and of the many other contributions from members of the Group, especially on the need for SAIs to be seen to be more proactive, including the provision of guidance which is helpful to those engaged in trying to make a success of these partnerships.
- XVII INCOSAI has since endorsed the Working Group's recommendations that consideration should be given to developing guidance in this area.
- The Group therefore drafted guidelines on the audit of risk in public / private partnerships, which were discussed at their 9th meeting in Oslo, in June 2002. The guidelines have since been re-drafted to take account of the comments received from Group members.
- The Group now has the opportunity to discuss the draft guidelines for a second time and to consider if they are content to submit them to INCOSAI XVIII in October 2004,
May 2003