Alternative Concession Model for Build Operate Transfer Contract Projects
Publication: Journal of Construction Engineering and Management
Volume 128, Issue 4
Abstract
This paper develops an alternative concession model for build operate transfer (BOT) infrastructure projects. The concession period is a measure for deciding when the project ownership will be transferred from the investor back to the government concerned; it also demarcates the benefits, authorities, and responsibilities between the government and private investors. Previous studies have developed various techniques and methods, mainly suggesting proper organization structure, contracting procedures, methods of project financing, and risk allocation strategies when BOT-contract projects are implemented. These works have provided effective methodologies for the development of BOT contracts. Nevertheless, it appears that little has been undertaken in studying the way to determine the concession period in a BOT contract. This paper critically reviews the principles of establishing the concession period in a BOT contract. Such a review leads to developing a quantitative model for determining a proper concession period that can protect the interests of both the government concerned and private investors. An example is given that indicates how the alternative model can be applied to determine the concession periods of BOT infrastructure projects.
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References
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Information & Authors
Information
Published In
Journal of Construction Engineering and Management
Volume 128 • Issue 4 • August 2002
Pages: 326 - 330
Copyright
Copyright © 2002 American Society of Civil Engineers.
History
Received: Nov 14, 2000
Accepted: Aug 3, 2001
Published online: Jul 15, 2002
Published in print: Aug 2002
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