Build Operate transfer

Build operate transfer (BOT)

These are the different forms of agreement used where the private sector is asked to provide some or all of the financing for the project. In BOT typicall the facilities are transferred to the public sector at the end of the term, whilst with DBFO and DBOO the facility remains with the private operator and no transfer is made. The approach to be taken will depend on whether the public party wishes to take over the asset (it may not want to do so if it considers that the technology may become outdated), accounting issues etc, Typically the private operator will be paid a fee that would cover financing and operating costs - with a portion being fixed and a portion variable.

NTESCO can apply this method not for only the full system but also stand alone equipment.