- 4Appraising PPP Projects
- Introduction
- 1 Where We are in the PPP Process
- 2 Objectives of this Phase
- 3 Overview of the Appraisal Phase/Process
- 4 Detailing the Scope of the Contract, Designing the Technical Requirements and Assessing Costs
- 5 Designing a Preliminary Structure of the PPP
- 6 Developing the Financial Model
- 7 Assessing the Technical Feasibility
- 8 Assessing Commercial Feasibility
- 9 Market Sounding
- 10 Confirming Economic Feasibility: Refining the Cost-Benefit Analysis
- 11 Assessing Fiscal Feasibility (Affordability)
- 12 Analysis of Impact on Government Deficits and Debt
- 13 Assessing Environmental Feasibility[40]
- 14 Assessing Social Feasibility
- 15 Assessing Legal Feasibility
- 16 Value for Money Assessment
- 17 The Procurement Strategy
- 18 Formal Requirements Regarding the Appraisal of PPPs and the Conditions Established by the Framework for the Green Light Decisions
- 19 Planning Ahead
- 20 Appraisal Report
- 21 Obtaining the Final Approvals
- 22 Getting Ready for the Next Phase: Check List
- 23 Summary of Outcomes of this Phase
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The Value for Money (VfM) analysis indicates how the PPP alternative compares to traditionally procured infrastructure, not only in terms of the associated fiscal costs but also in terms of the net economic benefit of the project. The assessment also incorporates qualitative aspects of this comparison, addressing issues not quantifiable.
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