Risk Management and Governance for PFI Project ... - Title Page - MIT

● In July 2007, termination of the contract, (greatly reduces the work to reduce the
personnel into one-third) Operator was changed from the SPC to the City of Kitakyushu.
Causes of problems
● Inadequate quantitative assessment: the assessment of the financial burden just
included a qualitative assessment which noted that "the burden of the public will not
occur since it is financially independent service" and that the project "can be expected" to
improve service levels and cut overall costs by the private sector’s efficient operation,
and a basis of whether efficient and effective operation can be achieved or not had not
been sufficiently established. (Governement of Japan, Ministry of Internal Affairs and
Communications, Administrative Evaluation Bureau, 2008)
94