APPROACHES TO STRUCTURING OF PROJECTS IN THE AIRPORT INDUSTRY

2021 ◽  
Vol 2 (5) ◽  
pp. 91-97
Author(s):  
A. D. KULAKOV ◽  
◽  
K. Yu. RATNIKOV ◽  

The article highlights the approaches to structuring the airport property complex in Russian public-private partnership projects. Possible mechanisms of legal and financial structuring are considered. The authors pro-pose the most cost-effective way to implement a concession agreement in the airport industry.

2019 ◽  
Author(s):  
Md. Mahmudul Alam ◽  
Abu Rashed

Like other social services, education is one of the essential services that government is obliged to arrange for its country people, but to meet such increasing demand of educational infrastructures, government alone faces hues difficulties in capital investment especially in the developing countries. So, for developing the education infrastructure and providing quality education programmes, Public Private Partnership (PPP) has been proven an advanced tool for government in many of the countries. However, private investors may not have much interest for a typical PPP deal in education sector, because government provides the education services for free at the primary and secondary level. Therefore to make the PPP deal attractive to private investors, this paper suggests two approaches of PPP funding under the Built Operate and Transfer (BOT) models. Both the Viability Gap Funding (VGF) and Annuity Payment provide the investors the required subsidy from the government through payment in the construction or operation phase to make the project viable. This allows private investors to make revenue at expected level and government to save of hues up-front investments. Moreover, among different types of PPP models, the suggested types – BOT - also ensures the quality of education programmes.


Author(s):  
Theresa U Akpoghome ◽  
Theophilus Chinedu Nwano

Public-Private-Partnership (PPP) in Nigeria is a major issue of discourse among individuals, corporate bodies and government. PPP is a tool to deliver the much needed infrastructural services. Building modern, sustainable and reliable infrastructure is critical for meeting the rising aspirations of millions of people in Nigeria and PPP helps to raise economic growth rates, offers new economic opportunities and facilitates investment in human capital. This paper examines the historical background and types of Public-Private-Partnership in Nigeria. It discovers that the problems or the challenges of Public-Private-Partnership include multiplicity of functions by various bodies, definitional issues, joint venture agreements, conflicts and contractual review conflicts. The paper discovers that one of the major challenge in PPP agreements is the absence of arbitration clause in the contracts. The paper recommends that the insertion of arbitration clause should be encouraged to reduce incidences of prolonged litigation. Synergy among regulatory bodies is also recommended to foster reduction in the issue of double taxation and encourage more private investment participation. The paper concludes that Public-Private-Partnership remains one of the most important developmental avenues available to the government to revive the decaying public corporations, utilities and public goods and services of global standards through cost effective mechanisms.


2019 ◽  
Vol 9 (1) ◽  
pp. 58-77
Author(s):  
Nataša Rupčić ◽  
Tomislav Gašparović

Decision-making in public companies does not take place solely based on profitability criteria, but it concerns the merging of market and public criteria. However, despite the diversity of objectives that public sector projects need to meet, and the fact that decisions are made through the process of political negotiation between stakeholders, the basis for making decisions ought to be an analysis of costs and benefits. Thus, it should include all benefits, both material and immaterial, direct and indirect. Yet, one should bear in mind that the project should be cost-effective, both in the construction phase and at the stage of use and maintenance. This paper analyses decisions made in the HAC (Croatian Highways) public company with an emphasis on management decisions when building the A1 motorway. During the construction of this highway, the objectives were to connect the state territory, connect with the European highway network, develop tourism and increase traffic safety. These objectives have been achieved. However, the desired goals of increasing development, specifically the economic development of rural and less-populated areas, and the retention and increase of the population have not been achieved. The project commercial goals have also not been realized. The costs of building Bosiljevo-Split highway section exceeded the planned costs by 3 billion Croatian kuna. The revenues from 2015 to 2017 were on average 500 million Croatian kuna less than projected. Based on these data, the question is whether the A1 motorway should have been built via a loan or through a public-private partnership. Given projection errors, it can be assumed that a model of public-private partnership would have implied a more realistic assessment of traffic dynamics, lower cost of construction, better revenue management, and probably more gradual construction.


2011 ◽  
Vol 3 (9) ◽  
pp. 80-82
Author(s):  
M. Suresh M. Suresh ◽  
◽  
Dr. R. Sundhararam Dr. R. Sundhararam

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