Examining Strategies to Manage Climate Risks of PPP Infrastructure Projects

Tackling climate change in the public-private partnership (PPP) infrastructure sector means radically transforming projects to be resilient against climate risks and free from excessive carbon emissions. PPP infrastructures such as transport, power plants, hospitals, schools and residential buildings experience more than 30% of global climate change risks. Therefore, this study aims at examining the climate risk management strategies in PPP infrastructure projects. The first step in conducting this research was to identify the strategies through a comprehensive literature review. The second step was data collection from 147 PPP stakeholders with a questionnaire. The third step was analysing the interrelationships between the strategies using a partial least square- structural equation model approach. The findings include green procurement, defined climate-resilient contract award criteria, identification of climate-conscious projects, feasible and contract management strategies. The results provide understanding of actionable measures to countermeasure climate risks, and it encourages PPP stakeholders to promote climate-friendly strategies. The results also serve as foundational information to investigate into climate change risk management strategies in PPP research.