1, Similarities The most important similarity between BOT and BOO modes is that they both use private investment to undertake public infrastructure projects. In these two financing modes, private investors engage in the design, financing, construction and operation of authorized projects in their own names according to the franchise agreement or license granted by the host government or government agencies. During the concession period, the project company enjoys the rights of project possession and income, investment and financing, engineering design, construction, equipment procurement, operation management and reasonable expenses, and undertakes the maintenance and maintenance obligations of project facilities. In China, in order to ensure the smooth implementation of the concession project, during the concession period, if the project company suffers heavy losses due to the adjustment of China government policies, the project company is allowed to reasonably increase the operating expenses or extend the concession period of the project company; For the foreign exchange required by the project company to repay the loan principal, interest or bonus, the state guarantees the exchange and the exit of foreign exchange. However, the project company should also bear the risks of investment and financing, construction, equipment procurement and maintenance. The government does not provide guarantee for fixed investment return, and domestic financial institutions and non-financial institutions do not provide guarantee for their financing.
2. The biggest difference between bot and BOO is that in BOT projects, the project company must return the project facilities to the government after the concession period; In the BOO project, the project company has the right to own and operate the project facilities without any time limit. From the literal meaning of BOT, we can also infer the unique meaning of infrastructure country: as a private investor, driven by economic interests, investing in infrastructure development and construction based on the principle of high risk and high return. In order to recover the investment and get the return on investment, private investors are authorized to enjoy the management right of the project within a certain period of time after the project is completed and obtain the operating income. After the expiration of the term, the right to operate the project facilities will be handed over to the government free of charge. It can be seen that the ultimate management right of the project facilities is still in the hands of the state, and private investors have no ownership of the project from beginning to end in the whole operation process of the BOT project. In the final analysis, bot mode only means that the government uses private investors to own the operation right of project facilities within a certain period of time, but the essential attribute of infrastructure has not changed. That is to say, with bot, the project sponsor can have a certain time to earn actual income to make up for his investment, and then the project will be returned to the government. Under the BOO model, the ownership of the project no longer belongs to the government.
For more information about project/service/procurement bidding, and to improve the winning rate, please click on the bottom of official website Customer Service for free consultation:/#/? source=bdzd