• International conference on construction engineering and project management
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• 2015.10a
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• pp.381-385
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• 2015

This research aims to investigate critical factors of the government's role in achieving success in Public Private Partnership (PPP) toll road projects in Indonesia according to government and private sectors' perceptions. A preliminary interview Subsequently a questionnaire survey was also conducted involving 143 respondents across the two sectors from eight operating toll were five critical factors of the government's roles in achieving success in PPP toll road projects, namely; "Active involvement in overall project stage activities", "Establishment of good bureaucracy", "Provision of conducive environment", "Appropriate project planning and competitive tendering" and "Provision of appropriate government support and supervision". This research finding is expected to assist the government in defining clear roles and underlying responsibilities in development of PPP toll roads in Indonesia.

• Journal of Korean Society of Transportation
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• v.27 no.4
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• pp.31-40
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• 2009

Some road charges toll to finance the cost or to manage traffic congestion. With a growth of PPI projects, toll roads would be increase continuously. Tolls have a considerable influence on user's route choice, and sometimes can affect to the departure time and even to mode choice. For modelling toll roads, user's WTP or VOT has an important role and it is general that VOT is equivalent to the wages of workers. The current way of modelling technique yields various toll price elasticity from low to high. When there exist few alternative routes, unrealistic result that all traffic assigned to some shortest path may occur. The toll price elasticity can be influenced by alternative route and congestion level, but some result shows nearly unrealistic patterns. The model to forecast more realistic toll road demand is very essential for estimating toll revenue, choice of optimal toll level & collecting location and establishing toll charge strategy. This paper reviewed some literatures about toll road modelling and tested case study about the assignment technique with different VOT. The case study shows that using different VOT yields more realistic result than the use of single VOT.

• International conference on construction engineering and project management
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• 2009.05a
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• pp.800-807
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• 2009

The limited public funds available for infrastructure projects have led governments to consider private entities' participation in long-term contracts for finance, construction, and operation of these projects to share risks and rewards between the public and the private. Because these projects have complicated risk evolutions, diverse contractual forms for each project member to hedge risks involved in a project are necessary. In light of this, Build-Operate-Transfer(BOT) model is considered as effective to accomplish Public Private Partnerships(PPPs) with a characteristic of an ownership-reversion. In BOT projects, the government has used such an incentive system as minimum revenue guarantee(MRG) agreement to attract the private's participation. Although this agreement turns out critical in success of BOT project, there still exist problematic issues in a financial feasibility analysis since the traditional capital budgeting theory, Net Present Value(NPV) analysis, has failed to evaluate the contingent characteristic of MRG agreement. The purpose of this research is to develop real option model based on option pricing theory so as to provide a theoretical framework in valuing MRG agreement in BOT projects. To understand the applicability of the model, the model is applied to the example of the BOT toll road project and the results are compared with that by NPV analysis. Finally, we found that the impact of the MRG agreement is significant on the project value. Hence, the real option model can help the government establish better BOT policies and the developer make appropriate bidding strategies.

• KDI Journal of Economic Policy
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• v.33 no.4
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• pp.143-177
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• 2011

Upon selecting preferred bidder in Public-Private Partnership projects, multi-dimensional procurement auction, where price factor and non-price factor are evaluated, is used. This paper tries to analyze bidding data in BTO road projects. It is shown that a winner tends to get higher score in bidding evaluation, which is partly due to increase in base score as well as fiercer competition among bidders. It turns out that score margin in non-price factor was determinant in selecting winner. Also, there was no competition when the level of bonus point was set too high. For price factor, it costs 730 million KRW per score in construction subsidy by government, while it costs 2.43 billion KRW per score in toll revenue. For non-price factor, it was estimated to cost 2.30 billion KRW. Based on the results, it was suggested that we should have appropriate level of bonus point for first initiator, change in scoring rule in construction subsidy part, adjustment of base score in evaluation.

• Korean Journal of Construction Engineering and Management
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• v.19 no.1
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• pp.3-11
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• 2018

In order to find methods to encourage active private participation for efficient road maintenance, this study examined the status of the road improvement project and the development of the private capital utilization improvement project. Based on this, the study conducted a case study and a financial feasibility study that applied the new business method and selected the applicable business method. As a result, it is analyzed that the method of using Crowd Funding is more advantageous than the private scheme of the private capital utilization improvement project. This is because it will be highly effective in raising funds from users of highway users, especially users of improvement projects. In addition, it can also mean that the road users who suffer from inconvenience due to the construction can return the toll profit of road construction to the user.