Public-Private Partnership in Education: Enhancing Education Services

1. INITIATIVES UNDER PUBLIC PRIVATE PARTNERSHIP ______________________________________________________________________ PUBLIC PRIVATE PARTNERSHIP (NODE) EDUCATION & LITERACY DEPARTMENT GOVERNMENT OF SINDH 3rd Floor, Old KDA Building, Sindh Secretariat No.3, Karachi-Pakistan ______________________________________________________________________

2. Why PPP In Education? Research highlights a dire need for “PPP in Education” because participation of private sector in the provision of education brings about positive results in the enhancement of education services. • Political Will. • Regulatory Measures by the government for identification and addressing of PPP needs. • Identification of Private Partners by the Government. • Adequate Funds Availability. • Proper Guidelines. • Communication Strategy. • Accountability Mechanism. • Monitoring and Evaluation. As indicative by Research these are some of the prerequisites for successful implementation of PPP, now lets embark on the journey of PPPsin SINDH.

3. Background Of Public Private Partnership in Sindh: Sindh Public Procurement ACT 2009 & Sindh Public Procurement Rules 2010 The Sindh Public Procurement Bill, 2009 was passed by the Provincial Assembly of Sindh and assented by the Governor of Sindh on 22nd of May 2009 as an ACT. The Act helped in the establishment of Public Procurement Regulatory Authority. Sindh Public Procurement Rules 2010 were notified on 8th March 2010 and later amended in (2013) is applicable for procurement of Goods, Works and Services. It has a complete section, Part (IV) covering Public Private Partnerships. For details please visit: http://www.pprasindh.gov.pk/downloads/files/SPPRAAmendments081013.PDF

4. Legal Framework:The PPP ACT-2010 Sindh: • In provision of this Act, the Government and its Agencies have been entrusted with power to enter into agreements with private parties under mutually agreed terms and conditions.

5. Establishment of the Public Private Partnership (Node), Education & Literacy Department, Government of Sindh With the approval of the Competent Authority, the Education & Literacy Department Government of Sindh established a Public Private Partnership (NODE) under section 7 of the Public Private Partnership Act 2010 vide Notification bearing NO.SO(G-III)E&L/PPA/2013 dated 3rd December 2013.

6. Regulatory Framework for PPP Projects

7. PPPs in Sindh - Genesis of PPP Node Lead by Timeline

8. Initiatives under PPP Mode Story of Sindh

9. Education Management Organizations Reform : An innovative endeavour of the Education & Literacy Department, GoS initiated under the Sindh Basic Education Program in collaboration with USAID

10. Sindh Basic Education Program USD 165 million USAID – Government of Sindh • Seven Components: • Construction of approx. 106 state-of-the-art schools • Sindh Community Mobilization Program • Sindh Reading Program • Sindh Capacity Development Program • Program Management and Implementation Unit • Architectural and Engineering Services • Monitoring and Evaluation

11. Formation of Project Advisory Group To Review PPP Legal Framework and Guide Implementation of EMOs Reform. Suggestion of PAG in its meeting on January 13, 2015: Sindh PPP Act 2010 more focused on Infrastructure Projects; Amendments Recommended to Facilitate Social Sectors

12. APPROVAL OF THE SINDH PUBLIC PARTNERSHIP (AMENDMENT) ORDINANCE, 2014 The ordinance is called the Sindh Public Private Partnership (amendment) ordinance, 2014. The Law Department, Government of Sindh issued a notification on December 4, 2014 bearing No.S. Legis: 1(4)/2014. After clause (z) the following clause is inserted: (z-I) “Services” means any of the professional activities imparting of public benefits in publicly owned institution or facility or the objective ancillary thereof” In Schedule I, after the entry of “Tourism and Resort Development” the following is added: Health Services Education Services Social Welfare Special Education Women Development Or any other sector or service as the Board may approve to undertake in Public Private Partnership mode.

13. Approval by the Public Private Partnership Policy Board for EMOs

14. A Technical and Financial Evaluation Committee for EMOs

15. POLICY FRAMEWORK APPROVAL FOR SINDH EDUCATION MANAGEMENT ORGANIZATION (SEMO 2015)

16. A Legal Firm to Support PPP Node of the Education & Literacy Department, Govt. of Sindh

17. LEGAL OPINION ON PUBLIC PRIVATE PARTNERSHIP LAW LEGAL OPINION by HAIDERMOTA(BNR) The legal firm after thorough analysis of the PPP ACT/Law is of the opinion the Education Department of the GoS is empowered to outsource the operation and management of certain public schools in the province of Sindh to Education Management Organizations from the private sector on a public-private partnership basis. QUESTION OF LAW • Whether the GoS can outsource the management and operation of certain public schools in the province of Sindh to Education Management Organizations from the private sector on a public-private partnership basis in pursuant to the PPP ACT.

18. Consultation with Key Stakeholders: Policy Dialogue on EMOs Sept 2014. Workshop for KPI Development Dec 2014 Financial Structuring Brainstorming session Jan 2015

19. Dissemination Conference on Policy Document for Education Management Organizations (EMOs)

20. Road Show for EMOs

21. PROCUREMENT STEPS

22. EOI PUBLISHED IN NEWSPAPERS (SEMO) The Expression of Interest (EOI) was published widely in daily newspapers on May 13, 2015 with a deadline for submission of applications being June 10, 2015 at 2:30pm. 39 bids were received and 20 were shortlisted after scrutiny.

23. ISSUAUNCE OF RFP AND DRAFT CONCESSION AGREEMENT. • A meeting of the Technical and Financial Evaluation Committee (TFEC) meeting was held on 27th October, 2015. The TFEC approved the RFP and draft Concession Agreement. • The RFP and draft Concession Agreement was issued to the 20 prequalified bidders on 29th Oct 2015 with a submission date of 15th Dec 2015.

24. TFEC MEETING FOR OPENING OF TECHNICAL BIDS • TFEC meeting was held on 15th December 2015. • A total of 18 bids submitted in total by 8 bidders out from the pool of 20 shortlisted organizations.

25. TFEC MEETING FOR OPENING OF FINANCIAL BIDS • A TFEC Meeting was held on 15th Jan 2016. • 1) BPS 2) CFC & 3) IBA Sukkur • Charter for Compassion (CFC) was successful for School #1 & #2. • IBA Sukkur, were successful for School #3 & #4. • BPS submitted bid for School #1, but its financial bid was higher than both CFC and IBA Sukkur

26. Education Management Organizations: E&LD has signed 4 concession agreements with credible private sector education management organizations(EMOs) to manage and improve the functioning of public schools by introducing innovations, modernizing the education system, and addressing management gaps. 15schools are going to be managed though EMOs by the end of 2016.

27. Core Features • Improved Quality ofEducation • Capacity Building ofTeaching Staff • Improved School Systems • Improved Engagement with Community and Parents • Check & Balance by: • Provincial Education Department • District Administration • District Education Department • Independent Auditor – Third Party • Independent Evaluator – Third Party Sindh Community Mobilization Program

28. MYTH BREAKER

29. School Characteristics • Ownership of School remainswith the Government • Totally Free Education: No Tuition orany other fee can be charged • Job Protection of Government Staff remains intact • Incentives like SMC Funding, Free Text Books, Stipends, etc. will Continue Tuition Fee

30. Management Model • Headmaster will be posted by the Government • EMO will help in Better Management of the School by: • Teachers’ Training • Development of Assessment Systems • Development of MIS System • Interaction with Community and Parents • Enrollment at Optimum Level • Improvement in Retention and Drop-out • Other Interventions

31. District Support Committee for EMOs • Notified by Chief Secretary, Sindh • Chaired by Deputy Commissioner • Representationof: • District Administration • District Education Department • Purpose is: • Smooth Implementation • Solution of Issues

32. Financial Issues (Payments to EMOs) • Budget Allocation of Rs 500 million for EMOsin FY-2015/16 • Opening of the VGF Account.

33. Viability Gap Fund Operated by FD ELD – PPPs Non-Cheque book A/c. Operated by ELD ELD – PPPs A/c VGF Link A/c Standing Instructions along with the Payment Schedule (As Agreed in the CA) Signed by 02 Nominated Signatories of ELD Separate Escrow Account for each CA. Escrow A/c Governed by Escrow Agreement b/w GoS, EMO,EB Escrow A/c Governed by Escrow Agreement b/w GoS, EMO,EB Escrow A/c Governed by Escrow Agreement b/w GoS, EMO,EB Escrow A/c Governed by Escrow Agreement b/w GoS, EMO,EB Standing Instructions agreed in the Escrow Agreement including: the clearance from IE to IA and IA to Escrow Bank for release of funds. EMO A/c. / Project A/c. EMO A/c. / Project A/c. EMO A/c. / Project A/c. EMO A/c. / Project A/c.

34. STRATEGIC PARTNERSHIPS

35. Partnerships for Quality and Access Intel Pakistan Corporation: In an effort to promote innovative learning and teaching methods, Intel Pakistan, E&LD, and USAID signed an MoU to provide ICT based trainings to teachers in public schools under USAID-SBEP. Rotary Club: Rotary International, District 3271, is assisting E&LD in establishing computer and science labs in public schools under USAID-SBEP. Signing Agreements of Letter of Intent and Small Grants Disbursement  Education and Literacy Department Govt. of Sindh has signed a Letter of Intent with Telenor Pakistan through which Sindh Basic Education Program (SBEP) will provide small grants to the SBEP selected schools in seven northern districts of Sindh and five towns of Karachi, by utilizing Easy Paisa services through its subsidiary Tameer Microfinance Bank Limited.

36. Upcoming Schemes/Projects: • School Improvement through Bi-Laterals, NGOs, INGOs and Foundations: Turkish Cooperation and Coordination Agency – TIKA: PPP Node along with the TIKA team have identified 2 schools in Thattaand Shaheed Benazirabad districts for the construction of the state-of-the-art schools under PPP. World Vision: PPP NODE assisted in developing of the MoU signed with World Vision to provide support and services to E&LD in the devastated flood areas of Sindh to rehabilitate the educational facilities and capacity building of the teachers and school management committees (SMCs). • Innovative Initiatives in Education: For 2016-17 the Government has approved 5 million for Innovative Initiatives in Education which include partnerships for learning and governance initiatives through ICTs, youth leadership programs, solar powered schools, children’s literature festivals, etc. • PPPs for Inclusive Education: To make schools inclusive for persons with disabilities, E&LD/PPP Node is collaborating with NOWPDP for training of teachers, school infrastructure improvements and community mobilization. • Collaboration with Dubai Cares (DC): Dubai Cares is supporting the Government in multiple areas such as ECE, accelerated learning for out-of-school children, teachers education, learning assessment, reading skills, and evidence based advocacy.

37. contact Tauseef Lateef Director Public Private Partnership (Node) Education & Literacy Department Government of Sindh Email: directorppp.gos@gmail.com Cell: 0336-812-0105