BMC Gates will also be able to participate in the project investments through various Public-Private- Partnership (PPP) models, provided that the necessary legal and economic conditions are met.
BMC Gates specializes in the Build-Operate-Transfer (BOT) model of investment. However, other PPP investment models that are requested by the governments or that are most suitable for the project conditions can also be preferred to provide investment services.
BMC Gates’ priority is always to undertake investments in cooperation with local investors.
In a BOT model, a private entity finances, designs, constructs, operates and maintains a public infrastructure project for a specific period. After the agreed-upon concession period, ownership and operational control are transferred back to the public sector. The private entity generates revenue during the concession period through rental or operating income from commercial units or through user fees, such as tolls and service charges.
In the Build-Transfer (BT) model, ownership of the infrastructure is transferred to the public sector upon project completion, immediately placing responsibility for operation and maintenance in their hands. Unlike the Build-Operate-Transfer (BOT) model, where the private entity operates and maintains the infrastructure for a concession period, in BT, these responsibilities shift to the public sector immediately.
In a Design-Build (DB) model, private entity is responsible for both the design and construction phases of the infrastructure project. Unlike traditional procurement methods where the public authority contracts separately with designers and builders, in DB, the owner enters into a single contract with the one private entity. This model offers benefits such as faster project delivery, cost savings through integrated design and construction and simplified project management.
In a BOO model, the private sector finances, constructs, owns and operates the infrastructure project for the duration of the concession period. Unlike BOT, ownership remains with the private entity throughout the concession period. At the end of the concession period, ownership may transfer to the public sector or be renegotiated.
The BTO model involves private sector financing, designing and building the infrastructure project. Once completed, ownership is transferred to the public sector. However, unlike BOT, the private entity does not operate the infrastructure but may have a role in its maintenance and upkeep. After the transfer, the public sector assumes responsibility for operation and maintenance.
In a DBFO model, a private entity is responsible for financing, designing, building and operating the infrastructure project for a predetermined period. This model integrates both the design-build and operate components, with the private sector assuming operational responsibilities along with financing and construction.
