Understanding Public-Private Partnerships: A Case Study from Aqaba


Starting from its inception in 2004, the Aqaba Development Corporation (ADC) has been entrusted with developing the Aqaba Special Economic Zone (ASEZ) into a world-class business and leisure destination regionally as well as globally. ADC, a private shareholding corporation, is using the public-private partnership model, on varying scales, in order to achieve this vision of ASEZ.

Using the case study approach, the aim of this paper is to shed light on ADC’s first-negotiated partnership: the Aqaba Container Terminal (ACT) management/development agreement. Using ACT, the goal is to explore the application of the PPP model for development as it is being used by ADC within ASEZ.

The study found that the ACT partnership included the generally-accepted components of PPPs and that it fell within the types of PPPs described within literature. ACT partnership resulted in features of partnerships that are consistent with successful practices within the PPP application typology. The study also concluded that there was improvement in the operations of ACT upon conclusion of the two year partnership agreement. One of the top achievements of this partnership agreement came through resolving the congestion that was present at ACT and the removal of the port from shippers’ blacklist. Other improvements took place under the human capital management, marketing, equipment and machinery, safety regulations departments as well as within the area of streamlining operations allowing for increased efficiency and volume of work.


Organizational Behavior and Theory

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