POT Projects
Until recently, the responsibility of creating proper infrastructure services had been entrusted almost exclusively to the public sector, which has faced many problems like inefficiency, lack of accountability, poor management, over employment etc. In order to overcome these problems, it becomes necessary to induce private sector participation in the infrastructure sector.
Nowadays more and more infrastructure projects are being executed by entrusting the same to the private entities, world over. Such projects have mostly been in the road sector but quite a few projects have also been undertaken for bridges, ports and even railways.
The privatized projects are structured into various financial forms and are accordingly known as BOT (Build, Own, Transfer), BOLT (Build, Own, Lease, Transfer), BOO (Build, Own, Operate) etc. However, the basic issues remain similar for all the devised schemes. Generally the phrase 'BOT projects' have now come to be treated as synonymous to all the 'Privatized projects', in GFI we can start according to the following formats :
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BOT (Build Operate Transfer)
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BOOT (Build Own Operate Transfer)
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BOO (Build Own Operate)
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BLT (Build Lease Transfer)
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DBFO (Design Build Finance Operate)
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DCMF (Design Construct Manage Finance)