Section 2: Interpretation

2. Interpretation In this Act— “affordable”, in relation to an agreement, means that the contracting authority shall meet any financial commitment likely to be incurred in relation to that agreement, from its existing or future budgetary funds; “agreement” means a public-private partnership agreement; “asset” includes an existing asset of a relevant contracting authority or a new asset to be acquired for the purposes of entering into an agreement; “Board“ has the same meaning as in the Public Procurement Act; “BOT Projects Unit” has the same meaning as in the Build Operate Transfer Projects Act 2016; “contingent liability” includes Government guarantee for loan and foreign currency transfer and step-in function in the event of default by the relevant contracting authority; “contracting authority” means a Ministry, a Government department, a local authority, the Rodrigues Regional Assembly, a statutory body or any other Government-owned, or Government-controlled, entity designated by Government; P55 – 1 [Issue 9] “control”, in relation to "Government-controlled", has the same meaning as in section 3 (1D) of the Public Procurement Act; “local authority” has the same meaning as in the Local Government Act; “Minister” means the Minister to whom responsibility for the subject of finance is assigned; “own”, in relation to "Government-owned", has the same meaning as in section 3 (1D) of the Public Procurement Act; “private party”, in relation to an agreement, means a party to the agreement other than a contracting authority; “project” means a project to be implemented under an agreement; “public-private partnership agreement” means an agreement between a contracting authority and a private party, approved under this Act, in terms of which— (a) the private party undertakes to perform a contracting authority’s function on behalf of the contracting authority for a specified period; (b) the private party receives a benefit for performing the function by way of— (i) compensation from a revenue fund; (ii) charges or fees collected by the private party from users or customers of a service provided by it; or (iii) a combination of compensation and charges or fees; (c) the private party is liable for the risks arising from the performance of its function; (d) State facilities, equipment or other State resources may be transferred or made available to the private party; “request for proposal” means the specific terms of the project requirements, the procedures for submission of bids, the criteria for the evaluation of bids and includes a model agreement; “value for money” means the provision by which the contracting authority’s functions under an agreement shall result in a net benefit to the consumers in terms of cost, delivery, price, quality, quantity or risk transfer, or a combination thereof. [S. 2 amended by s. 63 (1) of Act 33 of 2006; s. 28 (a) of Act 18 of 2008 w.e.f. 19 July 2008; s. 41 (a) of Act 18 of 2016 w.e.f. 7 September 2016.]