Highlights The results show that availability contracts are less efficient than toll based contracts. However, their efficiency decreases with the increase of the unemployment rate. Policy makers should carefully consider the choice of the contractual arrangements and their influence on the projects’ efficiency.
Abstract Throughout the world the development and management of road projects have increasingly involved the private sector under public-private partnerships and concession arrangements. The main reasons are two-fold: increasing the ability to finance road development and increase the efficiency in road operation and management. These models can be structured on two main types of concessions: availability or real tolls. However, there is little evidence on the effects that choosing one or the other has on road efficiency. The goal of this research is to assess if the contract type influences the economic efficiency of the concession and which type of contract leads to higher and lower efficiency. We have used a data set of 23 road concessions in Portugal, and economic and operational data from 2004 to 2016. Our approach also controls for other exogenous factors, such as economic, social or political. Overall, the results show that availability contracts are less efficient, which provides a valuable lesson for academics and practitioners involved in the study and development of road concessions.
Impact of alternative concession models on the economic efficiency of road concessions
2022-03-23
8 pages
Aufsatz (Zeitschrift)
Elektronische Ressource
Englisch
Standard Concession Agreement for BOT Road Projects
British Library Conference Proceedings | 1998
|Toll Road Concessions in Argentina: What Can Be Learned
Transportation Research Record | 2002
|Toll Road Concessions in Argentina: What Can Be Learned
British Library Conference Proceedings | 2002
|THE BRAZILIAN EXPERIENCE IN ROAD CONCESSION: PAST, PRESENT AND FUTURE
British Library Conference Proceedings | 2003
|