public-private partnerships to build bridges of sustainable partnerships to implement effective development plans and achieve national goals and objectives. In this section, we highlight the concept of partnership with the private sector, the purpose of these partnerships, the parties affected by them, and the regulations and legislation that support them. A partnership is defined as a cooperation agreement between a government agency and a private entity through which the expertise and assets available to both parties are shared to deliver a service or product for the public good, in addition to sharing resources, risks, and potential profits resulting from this cooperation.

The Objective of Partnership with the Private Sector

The Kingdom’s government seeks to promote and develop the private sector, build sustainable partnerships to implement development plans, and achieve national goals and objectives for the progress and well-being of the nation and its citizens. In addition to financial support, the Kingdom provides means of empowerment, such as streamlining procedures and focusing on the advancement of private sector companies through dedicated programs.

Beneficiaries of Public-Private Partnerships

All parties affected by public-private partnership projects within e-government initiatives, those with a stake in such projects, or those whose contributions impact their success.

Regulations Governing E-Business Projects

The Council of Ministers issued a decision approving the rules governing private sector participation in e-business based on the expected revenue sharing model. The text of these regulations is as follows.

The following rules shall apply when government agencies contract with private sector entities to finance and implement various projects in the field of e-business under the expected revenue sharing model:

1- The government entity shall prepare a comprehensive study to determine the feasibility of implementing its e-business operations with high efficiency under the expected revenue sharing model, provided that the study includes the following:

• A clear definition of the services to be provided, their beneficiaries, and the criteria for aligning them with the beneficiaries" needs.
• Identification of the financial, human, and technical resources required to provide the service, methods of financing, and distribution of financial returns generated from subscriptions, service fees, and advertisements, and intellectual property rights related to e-government services, among other matters, between the government entity and the private-sector implementing entity.
• The security requirements necessary for the provision of electronic services by the government entity.

2- Coordination with the Ministry of Finance regarding financial resources and their distribution.

3- If studies indicate the feasibility of implementing the project, the government entity shall propose a private sector partnership project for e-services based on a revenue-sharing model through a public tender for qualified companies to select the implementing entity.

4- The relevant government agency bears primary responsibility for preparing the studies and tender documents for the project.

5- The Ministry of Communications and Information Technology and the Communications and Information Technology Commission shall establish uniform standards for the systems used by government agencies regarding the required studies, tender requirements, and conditions, and shall participate with the relevant authorities in the process of bid analysis, award, and monitoring of project implementation.

6- A partnership agreement shall be signed between the government entity and the private-sector implementing entity for the establishment, operation, and provision of electronic services offered by the government entity, provided that the agreement includes: the term, definition of authorities, responsibilities, ownership rights, distribution of tasks, financing, profit-sharing ratios, penalties, and the like.

7- A joint team shall be formed comprising representatives from the government entity and the private-sector implementing entity to collaborate on defining operational mechanisms, providing, exchanging, and updating necessary information, and addressing technical developments and operational needs.

8- The private-sector implementing entity shall provide training programs to the government entity to enable it to operate and maintain electronic services in a secure and effective manner.

9- Government entities are required to provide the necessary information and demonstrate flexibility during the project phases to ensure the service is delivered efficiently and effectively.

10- The government entity shall coordinate with other relevant entities in the provision of e-services (whether those entities are government or private), and the implementing entity shall take this into account when defining the scope of work and its mechanisms.

11- The private-sector implementing entity shall comply with all regulations regarding information confidentiality and shall implement the best security software and a secure environment for electronic transactions.

12- The private-sector implementing entity shall apply the technical specifications of flexible open systems, and avoid standards that result in lock-in to a single software product, which may hinder the government entity from developing its infrastructure in the future and make it dependent on a specific technology.

13- Government agencies and the Ministry of Finance shall prioritize e-government projects when requesting the necessary financial appropriations during the budget process.

* Source: The Unified National Platform