International Conference on Construction and Real Estate Management 2016
Concession Period Flexible Adjustment Mechanism Analysis Based on the Condition of Risk in a PPP Project
Publication: ICCREM 2016: BIM Application and Off-Site Construction
ABSTRACT
With the construction wave in China’s infrastructure, financing has been one of the biggest problems, and public-private partnership (PPP) has been put forward to solve this problem. Undoubtedly, concession period is a key factor to the success of PPP projects. Previous literature, however, still lacks methodology of adjusting concession period flexibly. Hence, this research seeks to establish a mechanism on determination of extended or shortened concession period, taking risks into consideration which result in demand changes in operation phase, to guarantee the private sector a minimum profit or prevent huge profits. The principal findings of this research show that extension or contraction of concession period depends on the difference between the expected profit and real profit. Furthermore, this research aims to give some advice for the government about making decisions when demand changes in PPP project.
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ACKNOWLEDGMENTS
I would like to take this opportunity to express my appreciation to all those who helped me with this paper, especially thank Prof. Hao Shengyue and Prof. Ren Xu, who have always guiding me with patience and giving me good advice. Meanwhile, I would like to extend my sincere gratitude to my beloved parents and friends for their supporting.
Foundation item: Supported by National Natural Science Foundation of China (71302025).
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Information & Authors
Information
Published In
ICCREM 2016: BIM Application and Off-Site Construction
Pages: 822 - 828
Editors: Yaowu Wang, Ph.D., Professor, Harbin Institute of Technology, Mohamed Al-Hussein, Ph.D., Professor, University of Alberta, Geoffrey Q. P. Shen, Ph.D., Professor, The Hong Kong Polytechnic University, and Yimin Zhu, Ph.D., Professor, Louisiana State University
ISBN (Online): 978-0-7844-8027-4
Copyright
© 2017 American Society of Civil Engineers.
History
Published online: Aug 14, 2017
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