Financing Public Investments Between budgetary and legal limitations and the public interest imperative contract no. 39/29.04.2013, project PN-II-RU-PD-2012-3-0103

Project objectives

Primary objectives:

  1. provide the foundation for a comprehensive legal regime for the financing of public investments, integrating all relevant legal norms, principles and deriving legal interpretations from the various legal domains currently analysed on a limited area basis, and identifying legislative gaps and norms that impede on the performance of public investment projects.
  2. define a set of criteria and minimal elements as a basis for the selection by a public authority of the appropriate financing structure for an intended public investment project, in the context determined by its budgetary and legal constraints (as identified by reference to the prevailing legal regime) and considering the public interest imperative.

In pursuing these objectives, the research will consider issues pertaining to several domains of law – public finance law, including sovereign or local debt, EU law with a special emphasis on structural and cohesion funds, public property regulations, public contracts such as public procurement contracts, concessions of public assets, of public works and of public services, delegation of public utilities services, public-private partnerships, selection procedures, regulatory issues, state aid rules – as well as principles of administrative science such as good governance, rules and practices of the international financial institutions, as significant financiers for public investment projects, and good practices developed at national and international level. In addition, relevant case studies will be considered.

The implementation of these objectives may help create a specific area of expertise, at least at national level, valuable to both the public and the private sectors, as it seeks to provide a clear and comprehensive legal regime for the financing the public investments and a set of basic elements and criteria for selecting the appropriate financing structure for each such investment project, in compliance with both the applicable law and the public interest protection imperative.

This research project may contribute to the dissemination of a concept–centred approach at the level of the Romanian legal science, which currently maintains and even adds new elements to Ulpian’s distinction amongst public and private law and defines the various domains of law by considering primarily their qualification as public or private law. The result is a quasi-rigid delimitation of law domains and the confining of legal studies within such limits. The research proposed in this project not only seeks to demonstrate the flexibility of the branches of law relevant to this topic and the important contribution of interdisciplinary research to the understanding of the concept of public investment or of the mechanisms for their operation, but also seeks to demonstrate the theoretical and practical importance of the relation between law and other social sciences in approaching complex subjects such as the financing of public investments.

From a broader perspective, the analysis of the financing structures selected and implemented in public investment projects could contribute to the clarification of the relationship between the state and the private sector, given that the state performs a double role within these structures: as direct participant (party to the contract) and as a regulator, in terms of monitoring, licensing and approving tariff adjustments.

Year

Phase

Objectives

Activities

Deliverables per phase

Results

2014

Single

1. Completion of analysis of the legal regime of public investments in Romania

1.1. Study and analysis of new regulations enacted after December 2013 (new law on public-private partnership, methodological norms of EGO no. 88/2013, directives 2014/23, 2014/24, 2014/25

 

 

 

 

 

achieved

1.2 Drafting relevant chapters from the monograph on the project subject matter

Completion of relevant chapters dedicated to the analysis of the legal regime of public investments in Romania

 

 

achieved

2. Completion of identification of specific issues of the applicable regulations and of those related to their implementation

 

2.1. Study and analysis of regulations

 

Completion of relevant chapter

 

achieved

2.2. Drafting chapter from the monograph on the project subject matter

 

Publication of relevant findings in an article in BDI legal journal

 

achieved

3. Completion of comparative analysis of national systems of regulation of financing public investments

 

3.1. Analysis of relevant regulations and legal doctrine

Completion of paper describing the relevant findings and submission for publication in BDI legal journal

 

 

Achieved.

2 papers accepted for publication in conference proceedings volumes

3.2. Drafting chapters from the monograph on the project subject matter

Participation to 1 conference for dissemination of preliminary results of the research

Achieved.

Participation to 3 conferences with contributions related to the research

This research project is supported by a grant of the Romanian Ministry of Education, CNCS-UEFISCDI, project number PN-II-RU-PD-2012-3-0103

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