It is mystifying to me where the advocates of PPP expect the private players to come up with money. S Balakrishnan in Business Line is a bit skeptical too:
Even a cursory analysis of every private sector power project financing would prove most of the debt funding is from public sector banks and equity is from the market. What we seem to be paying for is the ‘managerial' expertise of a businessmen with the right connections who is ‘packaging' a project that can be done more cheaply in the public sector.
So why not pay only for that expertise instead of setting up the private players with concessions and such things which work out costlier?