Improving Transport Project Appraisals
In the Islamic Countries
111
1. Project application and registration phase
a. Identification: Cabinet approved the project as PPP On 24 July 2016;
b. Identification of resources : Funding for technical assistance (AFD, see above) was secured
in September 2018;
2. Project preparation: a technical assistance contract has been finalised and the team of
consultants is to be mobilised;
3. Tendering and procurement: to be done, to be supported by the consultants;
4. Implementation: following contract award. It should be noted that the design and
construction of the BRT infrastructure and superstructure is about to commence, with
contracts being awarded, as indicated above.
MCA applied in the transport strategy
For the LTNTS, MCA was applied in order to determine an optimal scenario for development of
the transport sector. To this end, six main criteria (regional and macro-economic; technical;
social; policy; economic and financial; and environmental) have been defined in terms of specific
indicators, both quantitative and qualitative. Quantitative transport indicators have been
computed by the outcome of the dedicated transport model (see section below). Financial and
economic indicators are derived from the CBA. The following economic and financial indicators
have been used, as
Table 6.5: MCA economic and financial sub-criteria and indicators
Sub-criteria Indicators Description
Costs and
benefits
NPV (economic) Costs and benefits computed through the CBA of
alternative scenarios and evaluated in terms of
economic performance indicator NPV and of financial
performance indicator NPV expressed in Million JOD at
2012.
NPV (financial)
Timing Distribution of
investments over
time
Timing of the alternative scenarios evaluated in terms of
distribution of investments over time. The indicator here
considered is the ratio between total discounted
investments and total not-discounted investments.
Readiness Institutional
readiness
The institutional readiness considers whether the option
has already established responsibility for actions
development, administrative/institutional steps for
measures’ implementation already defined, pre and/ or
feasibility studies already available etc.
Financial readiness The financial readiness is evaluated in terms of financial
plans already developed, allocation of budget, estimated
investment volumes for mature projects included in the
option etc.
Private
sector
participation
Attractiveness for
private sector
participation
Attractiveness for private-sector participation which
measures the overall attractiveness of the option for
private sector participation (e.g. on the basis of expected
revenues or other potential profits).
Source: Jordan Long Term National Transport Strategy and Action Plan