Planning of National Transport Infrastructure

In the Islamic Countries

In the Netherlands, United Kingdom and France, procedural steps in NTI projects have legal

foundation and are concluded with official ministerial decisions. In Denmark and Austria the

national parliament provides legitimacy for NTI projects. This clearly communicates a strong

political commitment and backing.

Many other EU Member states, like Bulgaria, Germany, Italy Romania and Spain, closely follow

EU guidelines that provide a detailed methodology and procedure. This is directly related to the

TEN-T network, through which EU Member States mutually connect and extend their NTI

networks.

In most OECD countries the Ministry of Finance (MoF) plays a decisive role in NTI planning by

providing mandatory instructions regarding discount rate, and planning horizon, to be applied

in project appraisal. Examples of these legally based instructions are the Green Book (United

Kingdom, 2018, the formal version is the online version)

in the United Kingdom and CPB (2013)

and Commission on Discount Rate (Werkgroep Disconotvoet, Netherlands, 2015, the formal

version is the online version)

in The Netherlands, following MoF guidelines.

Many IFIs, like the ADB, World Bank and Asian Infrastructure Investment Bank that provide

soft

finance

, have very detailed formal procedures for

project approval

. Equally most OECD countries

have formal description of project appraisal (guidelines) methods. NTI planning and project

appraisal are strongly interlinked, as NTI plans consist of projects, and projects form an NTI

plan. The guidelines not only include procedures and methodology, but often prescribe

parameters and ways to price project effects that are not market-price (see also sectio

Apart from national and international public finance, there are

private sources of finance and

user-based finance

. These tend to play an increasing role in financing of NTI (OECD, 2014 and

OECD, 2015).

Private finance via public–private partnerships (PPP) is extensively used in Australia, Canada,

India, the Netherlands, and the UK. PPP is a way to relieve annual state budgets from sudden

financial shocks and to manage risk. PPP is a form of procurement and contracting and has

various formulas: Build-Operate-Transfer (BOT), Design-Build-Finance-Operate (DBFO), or

Build-Own-Operate (BOO) (European Commission, 2003). The figure below illustrates the

various PPP constellations.

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