Critical ESG assessment criteria for public-private partnership projects: a pareto analysis of literature

Attempts to develop targeted industry-to-industry Environmental, Social and Governance (ESG) assessment criteria have become a daunting task. However, these assessment criteria are critical for investment decision in Public-Private Partnership (PPP) projects. The need for a clear definition of ESG criteria and measurement metrics has been a topical research need after the covid 19 pandemic. This study presents a comprehensive look at ESG assessment criteria that focuses on PPP projects by presenting 35 criteria that are realised in literature. This study has used a systematic literature review and pareto analysis to investigate this matter. Critical environmental, social and governance practices of projects are outlined in this study. A check list for ESG assessment has been presented and a pareto analysis has been used to identify critical ESG criteria from the check lists. The study showed that the long-term environmental impact of infrastructure development projects has an impact on ecosystems, green solid waste reduction and natural resource conservation. Attributes critical to social sustainability in PPP projects were identified to be prioritising worker health and safety, using effective PPP tendering and awarding through stakeholder engagement. The governance aspect of PPP sustainability practices also place emphasis on significant defined plan for reaching commercial and financial close of a project, using improved supply chain planning process, and ensuring due diligence with tender documents and drafted PPP contracts. These criteria will serve as the foundation for investors decision making in PPP projects.