The first step towards a successful PPP is identifying a potential PPP project. Since a PPP is a public investment, most successful PPP projects originate from the broader public investment planning process as described in PPP Process. During this process, priority public investment projects can be screened for their potential to achieve better value for money if implemented as PPPs. Several governments have established tools and checklists to support this screening. The online toolkit for PPPs in India (IN) provides a good overview of the PPP project screening process.
As shown in Identifying PPP Projects, the output of the project identification stage is typically an initial concept and the strategic or outline business case for pursuing the project as a PPP. In many countries, the concept must be formally approved before developing the PPP further.