—and lack of standardization in the P3 project documentation.
The lack of standardization and documentation limits the attractiveness of smaller P3 projects for potential investors, as the size of the potential deal may not be adequate to compensate for up-front costs. The complexity of structuring smaller P3 deals is also a barrier of potential insurers who may not have the requisite expertise to navigate through the P3 process.
As a result, we believe Canada should embark on a program to harmonize P3 documentation. We recommend that P3 Canada take the lead by developing standardized P3 documentation for P3 projects under $50 million.
Another initiative to help increase the potential fit for P3s for smaller deals—