370
Views
12
CrossRef citations to date
0
Altmetric
Articles

Concession period optimisation in complex projects under uncertainty: a public–private partnership perspective

, &
Pages 156-172 | Received 26 May 2020, Accepted 08 Nov 2020, Published online: 22 Dec 2020

References

  • Ajak, A.D., and Topal, E., 2015. Real option in action: an example of flexible decision making at a mine operational level. Resources policy, 45, 109–120.
  • Anamari-Beatrice, S., 2014. Real options a solution for evaluating public private partnerships. Procedia economics and finance, 15, 583–586.
  • Bao, H., et al., 2015. An alternative incomplete information bargaining model for identifying the reasonable concession period of a BOT project. International journal of project management, 33, 1151–1159.
  • Black, F., and Scholes, M., 1973. The pricing of options and corporate liabilities. Journal of political economy, 81 (3), 637–654.
  • Carbonara, N., Costantino, N., and Pellegrino, R., 2014. Concession period for PPPs: a win–win model for a fair risk sharing. International journal of project management, 32, 1223–1232.
  • Carbonara, N., and Pellegrino, R., 2018. Public-private partnerships for energy efficiency projects: a win-win model to choose the energy performance contracting structure. Journal of cleaner production, 170, 1064–1075.
  • Chen, H., Zhang, L., and Wu, X. 2020. Performance risk assessment in public–private partnership projects based on adaptive fuzzy cognitive map. Applied Soft Computing, 106413.
  • Cox, J.C., Ross, S.A., and Rubinstein, MJJofE., 1979. Option pricing: a simplified approach. Journal of financial economics, 7, 229–263.
  • Cruz, C.O., and Marques, R.C., 2013. Flexible contracts to cope with uncertainty in public–private partnerships. International journal of project management, 31, 473–483.
  • D'Alpaos, C., Dosi, C., and Moretto, M., 2006. Concession length and investment timing flexibility. Water resources research, 42, W02404.
  • Davies, A., and Moore, M., 2005. Cross City Tunnel deal: the whole bloody thing will be made public, Sydney Morning Herald, October.
  • Demirel, H.Ç., et al., 2017. Flexibility in PPP contracts–dealing with potential change in the pre-contract phase of a construction project. Construction management and economics, 35, 196–206.
  • Engel, E.M., Fischer, R.D., and Galetovic, A., 2001. Least-present-value-of-revenue auctions and highway franchising. Journal of political economy, 109, 993–1020.
  • Fernandes, B., Cunha, J., and Ferreira, P., 2011. The use of real options approach in energy sector investments. Renewable and sustainable energy reviews, 15, 4491–4497.
  • Gahrooei, M.R., et al., 2016. Timing residential photovoltaic investments in the presence of demand uncertainties. Sustainable cities and society, 20, 109–123.
  • Guo, K., Zhang, L., and Wang, T., 2019. Optimal scheme in energy performance contracting under uncertainty: a real option perspective. Journal of cleaner production, 231, 240–253.
  • Guo, K., and Zhang, L. 2020. Guarantee optimization in energy performance contracting with real option analysis. Journal of Cleaner Production, 120908.
  • Hodge, G.A., and Greve, C., 2017. On public–private partnership performance: a contemporary review. Public works management & policy, 22, 55–78.
  • Ihm, S.H., Seo, S.B., and Kim, Y.-O., 2019. Valuation of water resources infrastructure planning from climate change adaptation perspective using real option analysis. KSCE journal of civil engineering, 23, 2794–2802.
  • Liang, Q., et al., 2019. A game theory approach for the renegotiation of public–private partnership projects in Chinese environmental and urban governance industry. Journal of cleaner production, 238, 117952.
  • Li, Z.-C., et al., 2015. Transit technology investment and selection under urban population volatility: a real option perspective. Transportation research part B: methodological, 78, 318–340.
  • Li, D., et al., 2016. Assessing investment value of privately-owned public rental housing projects with multiple options. Habitat international, 53, 8–17.
  • Liu, J., and Wei, Q., 2018. Risk evaluation of electric vehicle charging infrastructure public–private partnership projects in China using fuzzy TOPSIS. Journal of cleaner production, 189, 211–222.
  • Li, J., and Zou, P.X., 2011. Fuzzy AHP-based risk assessment methodology for PPP projects. Journal of construction engineering and management, 137, 1205–1209.
  • Maeda, M., and Watts, D., 2019. The unnoticed impact of long-term cost information on wind farms’ economic value in the USA–a real option analysis. Applied energy, 241, 540–547.
  • Marques, R. C., and Berg, S., 2011. Risks, Contracts, and Private-Sector Participation in Infrastructure. Journal of Construction Engineering and Management, 137 (11), 925–932.
  • Martins, J., Marques, R.C., and Cruz, C.O., 2015. Real options in infrastructure: revisiting the literature. Journal of infrastructure systems, 21, 04014026.
  • Ming, L., 2019. Nanjing Yangtze River Tunnel Project (PPP BOT mode). https://wenku.baidu.com/view/e8350497534de518964bcf84b9d528ea80c72f35.html [Accessed 31 July 2020].
  • Morio, J., 2011. Global and local sensitivity analysis methods for a physical system. European Journal of Physics, 32 (6), 1577–1583.
  • Myers, S., 1977. Determinants of corporate borrowing. Journal of financial economics, 5, 147–175.
  • Nombela, G., and Rus, Gd., 2004. Flexible-term contracts for road franchising. Transportation research part A: policy and practice, 38, 163–179.
  • Pan, Y., Zhang, L., Wu, X., and Skibniewski, M. J. 2020. Multi-classifier information fusion in risk analysis. Information Fusion. 60, 121–136.
  • Qiu, L.D., and Wang, S., 2011. BOT projects: incentives and efficiency. Journal of development economics, 94, 127–138.
  • Rambaud, S.C., and Pérez, A.M.S., 2017. The option to expand a project: its assessment with the binomial options pricing model. Operations research perspectives, 4, 12–20.
  • Reijniers, J.J., 1994. Organization of public–private partnership projects: the timely prevention of pitfalls. International journal of project management, 12, 137–142.
  • Tan, Z., and Yang, H., 2012. Flexible build-operate-transfer contracts for road franchising under demand uncertainty. Transportation research part B: methodological, 46, 1419–1439.
  • Tang, W.-B., Zhang, F.-L., and Ma, C.-Q., 2011. The investment value of the urban rail transit project based on fuzzy real option. Systems engineering, 29, 110–115.
  • Tavakoli, N., and Hosseini Nourzad, S.H., 2020. Win-win pricing method for BOT projects using a simulation-based evolutionary optimization. Construction management and economics, 38, 157–171.
  • van den Boomen, M., et al., 2018. Untangling decision tree and real options analyses: a public infrastructure case study dealing with political decisions, structural integrity and price uncertainty. Construction management and economics, 37, 24–43.
  • van den Boomen, M., et al., 2019. Infrastructure maintenance and replacement optimization under multiple uncertainties and managerial flexibility. Construction management and economics, 38, 91–107.
  • Vintila, N., 2007. Real options in capital budgeting. Pricing the option to delay and the option to abandon a project. theoretical and applied economics, 7, 47–58.
  • Wang, C., Liang, W., and Wang, S.Q., 2014. Real option in urban rapid rail. Applied mechanics and materials, 505–506, 437–442.
  • Wojewnik-Filipkowska, A., and Węgrzyn, J., 2019. Understanding of public–private partnership stakeholders as a condition of sustainable development. Sustainability, 11, 1194.
  • Xiong, W., and Zhang, X., 2016. The real option value of renegotiation in public–private partnerships. Journal of construction engineering and management, 142, 04016021.
  • Yan, J. (2019). Wangjiang tunnel successfully passed the checkup for acceptance of a completed project. https://z.hangzhou.com.cn/2019/zj70nfjxsd/content/content_7310923.html [Accessed 31 July 2020].
  • Yang, T., Long, R., and Li, W., 2018. Suggestion on tax policy for promoting the PPP projects of charging infrastructure in China. Journal of cleaner production, 174, 133–138.
  • Yu, C.Y., and Lam, K.C., 2013. A Decision Support System for the determination of concession period length in transportation project under BOT contract. Automation in construction, 31, 114–127.
  • Zhang, Y., Feng, Z., and Zhang, S., 2018. The effects of concession period structures on BOT road contracts. Transportation research part A: policy and practice, 107, 106–125.
  • Zhang, H. (2019). China Construction Tunnel Longzhouwan tunnel PPP project opened to traffic. http://tunn.cscec.com/xwzx62/zyxw62/201911/2982667.html [Accessed 31 July 2020].
  • Zitron, J., 2006. Public–private partnership projects: Towards a model of contractor bidding decision-making. Journal of Purchasing and Supply Management, 12 (2), 53–62.

Reprints and Corporate Permissions

Please note: Selecting permissions does not provide access to the full text of the article, please see our help page How do I view content?

To request a reprint or corporate permissions for this article, please click on the relevant link below:

Academic Permissions

Please note: Selecting permissions does not provide access to the full text of the article, please see our help page How do I view content?

Obtain permissions instantly via Rightslink by clicking on the button below:

If you are unable to obtain permissions via Rightslink, please complete and submit this Permissions form. For more information, please visit our Permissions help page.