Public-private partnership

The Bendigo Hospital Project is being delivered as a public-private partnership (PPP) under the State Government’s Partnerships Victoria policy. The Partnerships Victoria policy captures the best skills and services of Government and combines them with private sector expertise in designing, financing, building and maintaining large infrastructure projects. Projects only proceed as PPPs if they demonstrate they can deliver better value for money compared with traditional State procurement. Under a PPP, the Government contracts with a private sector consortium to design, build and finance State infrastructure (such as hospitals, roads or prisons) as well as maintain that infrastructure and provide other ancillary services.

Strict performance standards and accountabilities ensure a high level of service. The Exemplar Health consortium will be responsible for designing and building the new Bendigo Hospital and providing a range of facilities management services to the new building for 25 years.

The public sector (Bendigo Health Care Group) on behalf of the State is primarily responsible for:

  • operating the hospital/core medical services
  • staffing
  • teaching, training and research.

Private sector (Exemplar Health) is responsible for:

  • design
  • construction
  • finance
  • facilities management.

Exemplar Health is the consortium responsible for financing, designing, constructing and maintaining the facility. The consortium consists of Capella Capital as sponsor, Lend Lease as builder and provider of equity, Spotless as facilities manager and Siemens as equity provider.