PUBLIC-PRIVATE PARTNERSHIPS IN NATURE MANAGEMENT: BACKGROUND, TRENDS AND CONTRADICTIONS

Abstract

The article provides insights into the process of developing and implementing public-private partnerships (PPP) as a key pattern of interaction between government and business which is characterized by a range of advantages, in particular investment attraction, risk sharing, handling socioeconomic and infrastructural issues, creating new jobs, etc. It is argued that building PPPs in the area of nature management embeds features associated with the existence of certain contradictions, in particular, the issue of reducing the environmental burden is the government’s responsibility whereas nature management is held at the enterprise level where environmental costs are financed by a leftover principle. This article seeks to explore the critical importance of building public-private partnerships in nature management. To attain the above goal, it is recommended to pursue the following basic objectives: to explore global trends in the process of PPP creation including those in the field of nature management; to provide argument for the critical role of PPPs for nature management in Ukraine; to identify the key issues in the implementation of the principles of environmental responsibility at the corporate level. To meet the research objectives, general scientific research methods have been employed, in particular, logical generalization, graphic analysis of the dynamics of the key indicators of nature management and in PPP functioning. A study of international good practices in the implementation of PPPs in other countries has identified the main trends which translates in transaction and investment drop and active participation of international investors from the United States, China, and France. The article exposes the reasons for the excessive human-caused environmental load in Ukraine against the corresponding indicators in developed economies. Thus, implementation of PPPs should become an important tool to tackle environmental challenges. According to the research findings, the key barriers to successful PPP performance in Ukraine are the following: their low attractiveness due to lack of awareness, fragmentary character of the registration system, low level of project implementation and completeness. Based on the study results, a conclusion could be drawn that industries alone are not capable to reduce environmental risks and harmful effects. The amount of wastes and pollutant emissions does not demonstrate a positive trend towards reduction in recent years. The article substantiates the need to implement PPPs in nature management. However, it is argued that the search for such projects is a complicated process that requires a well-balanced approach.