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ROAD INFRASTRUCTURE DEVELOPMENT IN THE PHILIPPINES

ROAD INFRASTRUCTURE DEVELOPMENT IN THE PHILIPPINES

ROAD INFRASTRUCTURE DEVELOPMENT IN THE PHILIPPINES

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Under the BOT scheme, a private proponent enters into<br />

a contractual arrangement with the IA to undertake any<br />

or a combination of the BOT variants for an<br />

infrastructure facility. The following rights may be<br />

bestowed on the private proponent:<br />

To operate the facility over a fixed period, not to<br />

exceed 50 years;<br />

To charge facility users fees, tolls, rentals or share in<br />

the revenue of the project; and<br />

To recover capital, operating and maintenance<br />

expenses and earn a reasonable return on<br />

investment.<br />

34

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