Negotiation deadlock? It’s probably a listening problem.

Negotiation Deadlock? It’s Probably a Listening Problem

In complex infrastructure and public-private partnership (PPP) negotiations, too many discussions stall—not because the parties are irreconcilable, but because they don’t understand each other. And often, they don’t even try.

I often see negotiators arrive at the table armed with arguments, ready to defend their positions. Whether negotiating contracts or resolving conflicts, the pattern is the same: take a stand, argue hard, push for concessions. But positional negotiation—debating who’s “right”—rarely leads to meaningful results. It causes delays, deadlock, escalating conflict, and erodes trust. At best, it ends in a weak agreement and an unstable relationship.

The first—and often most overlooked—step in any successful negotiation isn’t asserting your position. It’s gathering information and understanding the full picture of stakeholders and their interests. And that requires listening—real, focused listening.

Negotiators: Unprepared and Position-Driven

Too many parties walk into negotiations unprepared.

They may know their own objectives, but they haven’t mapped out who else has a stake in the deal—especially those not present at the table. In PPPs talks often start between the developer and the line ministry. But behind them stand many others: the finance ministry, the utility, the regulator, local authorities, DFIs and commercial lenders, environmental groups, and the public. To name just a few.

Some support the project. Some are indifferent. Some are actively opposed. All matter.

Yet despite this complexity, parties often rush in focused solely on their own case. They come ready to argue, not to inquire. They make assumptions about the other parties’ motives. They listen selectively—mainly to respond, not to understand. And because they don’t truly hear what matters to the other side—or what pressures they’re under—misunderstandings grow. Positions harden. Negotiations become a tug-of-war. Progress stalls. Conflict escalates.

Consider a PPP for a large solar plant. The developer is negotiating with the Ministry of Energy. But financing depends on guarantees from the Ministry of Finance. The national grid company worries about integrating intermittent power. A nearby water utility fears the plant could affect its operations. NGOs raise concerns about land use. Local authorities want jobs and community benefits. None of these actors may be present at the table—but all influence the outcome.

The developer may hear objections from the Ministry of Energy that seem technical or political; yet these objections may be reflections of other stakeholders’ concerns. If the ministry senses that the project will face opposition, political fallout, or internal implementation risks, they may stall or resist—without saying why. Unless the developer is listening closely, those concerns remain unspoken and unresolved.

Map stakeholders. Uncover interests. Listen.

Every skilled negotiator knows that the first phase of negotiation isn’t persuasion—it’s diagnosis. Who are the real stakeholders? What is important to them? What are their constraints? What truly matters?

This goes beyond knowing formal mandates. It means understanding real concerns and underlying incentives. Many of these interests are rarely voiced directly. They’re hidden behind official positions, and surfacing them takes effort.

It starts by asking the right questions, the kind that lead to more insight. Then—critically—listening.

Effective questioning means probing for the interests and constraints behind the position:
“What exactly doesn’t work in this proposal?”
“How would you deal with this?”
“What did the local authority say about this project.”
These are open-ended questions—ones that invite your counterpart to reflect and elaborate, not simply defend a stance.

Active listening, in turn, goes beyond hearing the words. It involves giving full attention, suspending your own agenda (not listening while crafting your reply), and noticing not just what is said but how it’s said—tone, hesitation, emphasis, and even what’s left unsaid. Demonstrate understanding by paraphrasing back key points and interests (“It sounds like your main worry is the timeline risk”). Clarify assumptions. This builds rapport, shows respect, and leads your counterpart to reveal the real issues—ones that change the course of negotiation.

In our solar plant example, the Ministry of Energy may resist certain technicalities, but their real interest may be speed—bring new power online quickly, the Ministry of Finance might resist guarantees not because they oppose the project, but because they have certain international regulatory constraints. The water utility could be reacting to a misunderstanding about groundwater use for panel cleaning. NGOs may be satisfied with assurances on biodiversity corridors. Local authorities might support the project—if job creation and community development are clearly addressed.

None of this surfaces unless someone is truly listening to what matters most.

Why This Works

When you uncover real interests, you unlock real options.

You stop arguing over positions and start exploring solutions that meet core concerns. That’s how alignment happens. That’s how common ground is found—or trades across differences are made.

Even better, when people feel heard, they become more open. Trust builds. Momentum returns. And what once seemed an impasse becomes solvable.

In the solar project, the developer agreed with the Ministry of Energy on a shorter delivery time. They adressed the Ministry of Finance’s concerns by restructuring the guarantee. They invited the water utility to review the design and water usage. They adjusted site boundaries in consultation with NGOs and committed to a biodiversity action plan. Local jobs and training were formally written into the agreement.

The result? Faster financial close. Smoother construction. Stronger relationships.

Enter negotations with a discovery mindset

Negotiation is not a courtroom. It’s not about winning arguments. It’s about finding solutions.

That process begins with clarity about the stakeholders. And their interests.

You achieve this through listening. Real listening. With skill and intent.

Mastering this approach takes time and training. But the payoff is real: faster deals, deeper trust, and more resilient outcomes.