Environmental, social and governance assessment criteria for public-private partnership projects: a systematic review

Purpose – The use of Environmental, Social and Governance (ESG) criteria has become crucial for investment decision-making. However, industry-to-industry ESG assessment criteria has become a daunting task because of the peculiarities of industry practices. This study contributes to this research domain by identifying ESG assessment criteria of public-private partnership (PPP) projects and assessing their resultant effects on project sustainability. Design/methodology/approach – The study followed the PRISMA guidelines and conducted systematic review of 47 peer-reviewed articles from Scopus database and organisational reports. Comprehensive search is done using keywords such as social sustainability, corporate social responsibility, environmental sustainability, and governance sustainability for PPP projects. Identified articles are evaluated using descriptive analysis to identify PPPs ESG assessment criteria. Findings – The results show that the long-term impact of infrastructure development projects on ecosystems, green solid waste reduction and natural resource conservation are critical environmental criteria. Also, with social criteria, how PPPs prioritize worker health and safety, PPP tendering and stakeholder engagement are key criteria. Furthermore, how PPP projects outline a defined plan for reaching commercial and financial close of a project, how it improves supply chain planning process, and ensuring due diligence with tender documents and drafted PPP contracts are realised governance practices. The findings from the study establishes industry-specific adaptable ESG criteria that promises positive project sustainability. Originality/value – The study establishes a theoretical checklist of forty-six PPP ESG assessment criteria for PPP investment decision-making.