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Private Sector Participation in New Prisons in Victoria, Australia

NCJ Number
170219
Author(s)
T Wilson; T Cave
Date Published
1996
Length
12 pages
Annotation
The Government of Victoria is actively pursuing private investment in infrastructure and service delivery through its Infrastructure Investment Policy, and the New Prisons Project (NPP) within the Department of Justice is an example of the application of this policy.
Abstract
The policy of Victoria is that private enterprise should be actively encouraged to invest in the government's future when cost and efficiency benefits can be demonstrated. Released in 1994, the Infrastructure Investment Policy illustrates the government's commitment to strengthening its partnership with the private sector. The NPP seeks private sector involvement in the delivery of new prisons to replace antiquated facilities. This project stands out from other prison privatization projects around the world on two major dimensions: (1) financial policy requirements for private sector ownership, development, and operation of facilities; and (2) size of the contribution of private facilities to the overall correctional system--new prisons will accommodate over 60 percent of female and about 45 percent of male prisoners in Victoria. The approach developed by the NPP and major achievements are described, and the regulatory framework of the NPP's corrections industry component and the nature of its commercial arrangements with contractors are examined. Government safeguards to ensure contractors deliver the best possible correctional facilities and services and advantages of the NPP approach are noted.