Public-Private Partnership in Sustainable City Development- Critical Success Factors

Abstract: Abstract Title: Public-Private Partnership in Sustainable City Development Authors: Malin Olofsson, Maryna Pouzhyk, Vera Koreneva, and Quinn Ertel Tutor: Stein Kleppestø – Associate Professor, Department of Business Administration, Lund University Background: E.ON and Malmö have formed a Public-Private Partnership to lead the sustainable city development initiative in Hyllie. The green field development project period is from 2009 to 2020 at which time Hyllie will be Sweden’s most climate-smart city and an example of sustainable future cities consisting of 100% renewable or recycled energy. Additionally, by the long-term goal of 2030 Hyllie will have developed 9,000 office workspaces and 9,000 residencies supported by innovative solutions such as e-mobility, smart grid technology, and district heating. Hyllie is not only being established as a “Lighthouse” city, but as a creative and scalable city focused on exploring methods of sustainable innovation. Purpose: The purpose of this report is to summarize relevant information about Public-Private Partnerships and Sustainable City Development in order to formulate critical success factors of Public-Private Partnerships in Sustainable City Development by analyzing literature and five case studies and conducting a comparative analysis. Method: The research strategy utilized is qualitative. The method presents a combination of Grounded Theory and Case Studies methods (inductive approach) for data gathering and analysis, which based on Comparing, Describing, and Enlightening. Utilized forms of the data collection are the following: interactive interviews (interview guide approach and open-structured conversations), observations by means of literature review. Data analysis is conducted through a comparative five cases analysis. Conclusions: Through researching the concepts of Public-Private Partnership and Sustainable City Developments, both separately and as a unified model, and comparing our conclusions with five case studies, we have established four general critical success factors of Public-Private Partnerships in Sustainable City Development. Our contribution is one of the first of its kind to the academic realm and furthers the understanding of the role that the unified concept plays in addressing environmental, social and economic pressures of today’s world. Our findings are presented in such a way that they are able to be applied by actors in partnerships such as E.ON and Malmö City or future endeavors. Of secondary importance is that our delivered insights help bring clarity to the two concepts separately. We envision future studies using our work as a starting point for greater elaboration and understanding of Public-Private Partnerships’ role in Sustainable City Development and hope to ignite interest in strengthening our research through more rigorous testing. With a growing number of partnerships and developments around the world, we are hopeful that our conclusions could serve as a starting point for various types of effort in this field. Key words: Public-Private Partnerships, Sustainable Development, Success Factors, Sustainable City Development, Governance, Trust This thesis has been written as a part of the degree project course in the Master program “Sustainable Business Leadership” at the School of Economics and Management, Lund University. The course was based on the methodology of action learning and self- managed learning. The students were all assigned to an in-company project as consultants. As a part of the course the students were responsible for organizing several learning events addressing relevant issues related to the in-company projects. The students continuously documented their learning in learning journals and participated in tutorials on these journals. The assessments of the students are done partly on the written thesis, partly on the consultancy process, partly on performance in learning events and other parts of the course and partly on the ability to document and reflect on the student's individual learning and development.