Planning of National Transport Infrastructure
In the Islamic Countries
29
Figure 4: Project Procurement Options
Source: European Commission (2003)
Pricing and finance are inter-tangled via user-based finance, where, in contrast to tax financing,
the user of the infrastructure pays directly for its use. This requires a balance between services
rendered and services received, the so-called principle of equivalence (Roland Berger, 2013).
The options of private and user-based finance directly relate to key issues of access to utilities
(who, when, under which conditions) and view on the role of the government versus the private
sector. Pricing measures are also a means to have control over utilization (value and
affordability).
Earlier in this section it is substantiated that stakeholder involvement is preferential to isolated
decision making (Mackie, 2014). Involvement of stakeholders and public consultation is
instrumental to identify problem and needs, and to make inventory of solutions (Roland Berger,
2013, KPMG, 2016). Public is demanding participation, and in most countries consultation is
legally prescribed, often during the first identification phases, before formal decisions have
taken place. In some other countries this only takes place after formal decision making, in order
to inform larger groups.
Where issues extend beyond spatial and conceptual boundaries for an integrated transport plan,
linkages must be established with appropriate external stakeholders (Australia, 2012).
Interest or pressure groups play a role in the formal decision hierarchy or in the implicit ‘licence
to operate’ (support). Their lobby can be in favour of project (elements) or against specific
activities or investments. In most countries there is a legal base for public hearing regarding
individual projects, less for larger national infrastructure planning.
Design-Build-Operate-Transfer
Turnkey Delivery
Build-Operate-
Transfer (BOT)
Public Owner/
Financier
Operator
Engineer
Contractor
n EU
n National Gov’t
n Local Gov’t
n IFI Debt
n Commercial Debt
Asset Capitalization
Divestiture
Build-Own-Operate
(BOO)
Private Owner
Operator
Engineer
Contractor
n EU
n National Gov’t
n Local Gov’t
n IFI Debt
n Commercial Debt
n Private Equity
Maintenance Concession
BOOTConcession
Build-Own-Operate-Transfer
Design-Build-
Finance-Operate
(DBFO) Concession
Public Owner
Operator
Engineer
Contractor
Private
Concessionaire
n EU
n National Gov’t
n Local Gov’t
n IFI Debt
n Commercial Debt
n Private Equity
Public
Responsibility
Private
Responsibility
Design-build
Design-bid-build
Traditional
Public Sector
Procurement
Public Owner/
Operator/
Financier
Operator
Engineer Contractor
n EU
n National Gov’t
n Local Gov’t
n IFI Debt
n Commercial Debt
Public Sector
Private Sector