Comprehensive Objectives for PPP Projects: Case of Beijing Olympic Stadium

  •  Ikechukwu Chinyere    


This paper is concerned with issues relating to the need for clear and comprehensive objectives by parties to
Public- Private Partnership Projects: the case of Beijing Olympic Stadium, which is the first Public–Private
Partnership project (PPPs) sporting complex in china. The discussion is illustrated by reference to the numerous
risks encountered throughout the development and construction of the project and also revealing the
concessional agreement that lead to the use of public private partnerships in building the 2008 Beijing Olympic
Stadium. The paper begins by discussing the definition of PPP, nature, development, competitive bidding, total
investment and sharing formula of the project partners, structure, operation process of the Beijing Olympic
Stadium (Bird’s Nest), the disagreement between the Project Company and Beijing Municipal Government
(BMG) and also elucidate the three major disputes associated with the project and then give an overview of the
disputes resolution process in China.
This case study also highlighted the intricacies seen, both in the implication of cancelling the retractable roof
and the critical lessons learnt from the PPP project, as regards to the 2008 Beijing Olympic Stadium. However,
even with all the numerous disputes, risks , negotiation and re-negotiation, the project was completed within the
stipulated period with a touch of unimaginable structural design at a reasonable cost, which happens to go a long
way in assisting the successful hosting of the 2008 Beijing Olympic Games.
The recommendation and lessons learnt from this case study includes that government support and commitment
are very vital for any unique project especially in innovative and complex design structure such as the Beijing
National Stadium (Bird’s Nest). Hence, during the signing of the preliminary agreement any project, a
well-defined project scope must be visibly stated, formulated and clearly defined prior before signing the
agreement. That the sharing of comprehensive common project aims and objectives must be the ultimate priority
of all stakeholders associated in the venture. And also the importance of engaging in a proper and effective risk
management strategy because private and public sector interests must work together at all times, for successful
completion of the project such as hosting the 2008 Beijing Olympic Games.

This work is licensed under a Creative Commons Attribution 4.0 License.