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A Study on Characteristic Analysis of Major Issues in Negotiating Concession Agreement for BTO Projects Using AHP  

Roh, Tae-Ho (부경대학교 공학연구소)
Kim, Jong-Won (부산도시공사)
Lim, Chang-Sik (부경대학교 대학원 건설관리공학협동과정)
Lee, Jong-Chool (부경대학교 건설공학부)
Publication Information
Korean Journal of Construction Engineering and Management / v.9, no.6, 2008 , pp. 137-146 More about this Journal
Abstract
Both competent authorities and private entrepreneurs face plenty of risks when negotiating BTO(Build Transfer Operation) methods of PPI(Private Participations in Infrastructures) projects. Also, success and failure of projects largely depend on the concession agreement contract. In this study, for more efficient negotiation, major issues are examined, and quantitatively analyzed to find out not only the relationship but also the characteristics of which these issues share. Questionnaire research was conducted through both research and by experts who were divided into an ordering agency, design company and constructor. Characteristics of major issues were quantitatively analyzed using the Likert index method, ANOVA(ANalysis of VAriance) and AHP(Analytic Hierarchy Process) analysis. Case studies were examined in order to estimate construction cost, rates of return, government finance support, level of operation-revenues guarantees, estimating operational costs and usage fees. With these 6 items, relative priority, relative impression which is sensible to risk and extent of difficulty in presenting data which is objective were quantitatively analyzed by the ordering agency, design company and constructor groups. From the analysis, there were some similarities between the design company and constructor groups while there was less of similarities between the ordering agency and design company or constructor. The government is diversifying the methods of project promotion, and PPI project from infrastructure-centered to public culture facilities are being expand. The current study will provide not only supporting efficient negotiation but also revitalizing PPI projects.
Keywords
PPI; BTO; Major issue; AHP; ANOVA;
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