Final negotiation in competitive BOT tender

The final negotiation in the competitive tender of a build, operate, and transfer (BOT) infrastructure project is concentrated on the financial and contractual elements associated with the concession agreement and financial package. This paper shows how there are several elements, in particular those related to tolls, that are regarded by governments and promoters as both important and difficult to negotiate during the final negotiation. The Competitive Tendering and Negotiation Model is therefore a useful process model for the government and promoters involved in a BOT tender to have a common understanding and to reach a successful conclusion at the final negotiation.