Curtin University Homepage
  • Library
  • Help
    • Admin

    espace - Curtin’s institutional repository

    JavaScript is disabled for your browser. Some features of this site may not work without it.
    View Item 
    • espace Home
    • espace
    • Curtin Research Publications
    • View Item
    • espace Home
    • espace
    • Curtin Research Publications
    • View Item

    Financial anatomy of E4 Helsinki-Lahti shadow toll PPP-project

    Access Status
    Fulltext not available
    Authors
    Leviakangas, Pekka
    Wigan, M.
    Haapasalo, H.
    Date
    2013
    Type
    Journal Article
    
    Metadata
    Show full item record
    Citation
    Leviakangas, P. and Wigan, M. and Haapasalo, H. 2013. Financial anatomy of E4 Helsinki-Lahti shadow toll PPP-project. Built Environment Project and Asset Management. 3 (2): pp. 165-180.
    Source Title
    Built Environment Project and Asset Management
    DOI
    10.1108/BEPAM-04-2012-0017
    ISSN
    2044-124X
    School
    Department of Construction Management
    URI
    http://hdl.handle.net/20.500.11937/54452
    Collection
    • Curtin Research Publications
    Abstract

    Purpose: The purpose of this paper is to investigate the returns to the investors and the state in private finance of road infrastructure. It uses an empirical case of the E4 Helsinki-Lahti road, which was built in 1995-1999 in Finland as the first real PPP-project. Design/methodology/approach: The analysis adopts an approach based on cash flow modelling of the project and the analyses show how the cash flows are formed and divided between the various stakeholders. The pure cash flow based approach to compare the economics of PPP vs traditional procurement of road infrastructure projects produced results that pose challenges to the logic, and pros and cons of shadow toll PPPs. Findings: The analysis shows that potential win-win situations are hard to find in shadow toll arrangements. This is largely due to the different discount rates used by investors and state. It is argued that the state does not include all the true costs in its appraisal of projects. Private investors, in principle and as a rule, price all of the relevant risks and uncertainties of which they are cognisant. Originality/value: The paper presents an analytical cash flow model that can be applied a wider range of PPP projects than simply to shadow toll roads. The paper contributes to the discussion on the viability of PPPs in different contexts.

    Related items

    Showing items related by title, author, creator and subject.

    • Financing of public private partnerships: Transactional evidence from Australian toll roads
      Regan, M.; Smith, J.; Love, Peter (2017)
      © 2017 World Conference on Transport Research Society In the past fifteen years, Public Private Partnerships (PPPs) have emerged as the preferred procurement method for toll road construction and management in developed ...
    • Critical review and methodological issues in integrated life-cycle analysis on road networks
      Hasan, Umair; Whyte, Andrew ; Al Jassmi, H. (2019)
      Life-cycle management of road network projects traditionally emphasise material production and construction stages, with less attention given to usage stage and functionality improvement. Increasingly there is a need to ...
    • The determinants and implications of corporate cash holdings in China
      Xu, Yan (2009)
      Current research on corporate cash holdings is set within the contemporary corporate cash-holding conceptual framework established by Opler et al. (1999), which consist of the static trade-off theory, the pecking-order ...
    Advanced search

    Browse

    Communities & CollectionsIssue DateAuthorTitleSubjectDocument TypeThis CollectionIssue DateAuthorTitleSubjectDocument Type

    My Account

    Admin

    Statistics

    Most Popular ItemsStatistics by CountryMost Popular Authors

    Follow Curtin

    • 
    • 
    • 
    • 
    • 

    CRICOS Provider Code: 00301JABN: 99 143 842 569TEQSA: PRV12158

    Copyright | Disclaimer | Privacy statement | Accessibility

    Curtin would like to pay respect to the Aboriginal and Torres Strait Islander members of our community by acknowledging the traditional owners of the land on which the Perth campus is located, the Whadjuk people of the Nyungar Nation; and on our Kalgoorlie campus, the Wongutha people of the North-Eastern Goldfields.