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M. Almuhisen et al.
Various regions have attempted to establish PPP indentures that are completely
systematized in numerous types of infrastructure developments, such as road and
railway networks, harbors or power generators. Thus far, for PPP transactions, no
attempt has been made to develop a globally conventional linguistic on an international basis. Public–Private Partnership contracts can be categorized into various
types, which are often known as PPP’s or P3’s. In this paper, six types of contracts will
be discussed, namely Build-Operate-Transfer (BOT), Build-Own-Operate (BOO),
Build-Own-Operate-Transfer (BOOT), Design-Build (D/B), Design-Build-FinanceOperate (DBFO), O&M (Operation and Maintenance), and their effectiveness will
be ranked according to the selected parameters. This paper is aimed at establishing a
fuzzy-based multicriteria decision-making model for determining which of the PPP
contracts is the most suited for infrastructure projects.
Keywords Fuzzy · Multi-criteria decision making · Build-operate-transfer ·
Build-own-operate · Build-own-operate-transfer · Operation and maintenance
15.1 Introduction
Even now, the practice of project implementation undergoing significant transformation around the world. It has been implied through various studies and experience
that selecting the most appropriate project delivery system may result in a decrease in
the project duration and cost by up to thirty percent. Consequently, it can be claimed
that the selection of project delivery system is a crucial strategic decision, which is
achieved towards the end of practicality studies and are correspondent to the decisionmaking of the projects financial requirements approach. Therefore, researching and
classifying the various project delivery systems is crucial in order to determine the
most suitable system that conforms to the necessities of the manager and project
(Thomas 2003). Around 1997, the term PPP began to be extensively applied by
the new Labour government in the UK. They were looking for a new approach to
infrastructure development, granting that the recent PPP program was founded on the
preceding Private Finance Initiative (PFI), which was established under the departing
Conservative Government. The PPP program offered a new labeling for PPP as a partnership based on contracts for public infrastructure between the public and private
sectors (Public Private Partnerships 2001). Representation of the partnership by the
PPP method between the public and private sectors has been expressed internationally
with other terms including: Private Participation in Infrastructure (PPI) and PrivateSector Participation (PSP), which have been utilized in the development-finance division, P3, Privately-Financed Projects (PFP), P-P Partnership, which is an approach
for evaluating currency exchange rates, and the Private Finance Initiative (PFI).
Correspondingly, the constructive attributes of PPP layouts in establishing infrastructure developments are deemed to be desirable for the Candidate Countries (CCs)
of Central Europe due to the fact that such countries require massive financing,
necessary effective public services, expanding market stability, and denationalization
trends, which can establish a promising environment for private ventures.
M. Almuhisen et al.
Various regions have attempted to establish PPP indentures that are completely
systematized in numerous types of infrastructure developments, such as road and
railway networks, harbors or power generators. Thus far, for PPP transactions, no
attempt has been made to develop a globally conventional linguistic on an international basis. Public–Private Partnership contracts can be categorized into various
types, which are often known as PPP’s or P3’s. In this paper, six types of contracts will
be discussed, namely Build-Operate-Transfer (BOT), Build-Own-Operate (BOO),
Build-Own-Operate-Transfer (BOOT), Design-Build (D/B), Design-Build-FinanceOperate (DBFO), O&M (Operation and Maintenance), and their effectiveness will
be ranked according to the selected parameters. This paper is aimed at establishing a
fuzzy-based multicriteria decision-making model for determining which of the PPP
contracts is the most suited for infrastructure projects.
Keywords Fuzzy · Multi-criteria decision making · Build-operate-transfer ·
Build-own-operate · Build-own-operate-transfer · Operation and maintenance
15.1 Introduction
Even now, the practice of project implementation undergoing significant transformation around the world. It has been implied through various studies and experience
that selecting the most appropriate project delivery system may result in a decrease in
the project duration and cost by up to thirty percent. Consequently, it can be claimed
that the selection of project delivery system is a crucial strategic decision, which is
achieved towards the end of practicality studies and are correspondent to the decisionmaking of the projects financial requirements approach. Therefore, researching and
classifying the various project delivery systems is crucial in order to determine the
most suitable system that conforms to the necessities of the manager and project
(Thomas 2003). Around 1997, the term PPP began to be extensively applied by
the new Labour government in the UK. They were looking for a new approach to
infrastructure development, granting that the recent PPP program was founded on the
preceding Private Finance Initiative (PFI), which was established under the departing
Conservative Government. The PPP program offered a new labeling for PPP as a partnership based on contracts for public infrastructure between the public and private
sectors (Public Private Partnerships 2001). Representation of the partnership by the
PPP method between the public and private sectors has been expressed internationally
with other terms including: Private Participation in Infrastructure (PPI) and PrivateSector Participation (PSP), which have been utilized in the development-finance division, P3, Privately-Financed Projects (PFP), P-P Partnership, which is an approach
for evaluating currency exchange rates, and the Private Finance Initiative (PFI).
Correspondingly, the constructive attributes of PPP layouts in establishing infrastructure developments are deemed to be desirable for the Candidate Countries (CCs)
of Central Europe due to the fact that such countries require massive financing,
necessary effective public services, expanding market stability, and denationalization
trends, which can establish a promising environment for private ventures.