Transport infrastructure provision and operations: Why should governments choose private–public partnership?

Recent transport sector liberalisation, as well as global economic crisis, is favouring the implementation of transport infrastructure projects through Public–Private Partnerships (PPP). However, there is a debate as to whether PPP schemes are a better option than conventional procurement. To this end, an evaluation framework is proposed, to assess which of these two alternative schemes for transport projects financing is preferable for the public. The proposed framework is complimentary to the Value for Money (VfM) approach and is based on a Multi Criteria Analysis (MCA). The first step is the estimation of the Public Sector Comparator (PSC) for the case of conventional procurement, dealing with construction, maintenance and operation costs revenues, as well as any costs associated with risks undertaken by the public. As for the PPP case, it includes any payments by the public sector and related risks costs. The MCA is then applied only if the PPP is found preferable for the public sector. The latter considers additional impacts, including among others the social attributes of a particular scheme, job creation, environmental impacts and safety and security aspects. The proposed framework was applied to a pilot Bus Rapid Transit (BRT) corridor infrastructure project in the city of Indore, India, in order to demonstrate its validity. The framework and its application could provide useful guidance when considering PPP for a transport project, since it demonstrates in a transparent way the society's attitude towards this project, something that is critical to its acceptance.     

Towards a simplified performance-linked value for money model as a reference point for bus contract payments

The burgeoning commitment to contracting the delivery of bus services through competitive tendering or negotiated performance-based contracts has been accompanied by as many contract payments schemes as there are contracts. We are now well placed to design a simplified performance-linked payment (SPLP) model that can be used as a reference point to ensure value for money, given the accumulation of experiences throughout the world which have revealed substantive common elements in contracts. Whether the payment to the operator is framed as a payment per passenger or as a payment per service kilometre, the SPLP identifies efficient subsidy outcomes that are linked to a proxy indicator of net social benefit per dollar of subsidy. We illustrate how the SPLP model can be applied to obtain the gross (subsidy) cost per passenger (or per passenger km) from measures of gross cost efficiency and network effectiveness. This model can then be used as part of a benchmarking activity to identify reference value of money prospects in respect of passengers per $ subsidy outlay by adjusting for influences not under the control of the service provider. A single framework to identify contract payments to operators, and to assess (i.e., benchmark) operator performance on critical KPIs, is provided by internalising critical key performance indicators (KPIs) in the design of the SPLP. The proposed SPLP model is sufficiently general to be independent of the procurement method (competitive tendered or negotiated, for example) and of the treatment of revenue allocation (net or gross based contracts), with the additional advantage of being able to assess value for money for government.     

Environmental innovation and the role of stakeholder collaboration in West Coast port gateways

The paper explores the role of stakeholder collaboration in the adoption of innovations as part of the environmental and sustainability agenda of port gateways. We do this through a comparative assessment of the port of Vancouver, British Columbia, and the twin ports of Los Angeles and Long Beach, California. An inductive research approach is used to identify and assess the initiation and implementation process behind exemplary innovations. Innovation includes new technologies and processes for handling and moving cargo, mechanisms for planning and policy making, as well as financing, implementing, upgrading, managing and operating infrastructure systems. A relatively new arena for competition on the basis of innovation concerns environmental performance. The conceptual framework and empirical evidence suggest that while there may be intense demand for and supply of innovation in port gateways, the complex dynamics of the logistics chain are such that successful innovation requires conscious involvement and collaboration of stakeholders.     

Some Difficulties inherent in applying Congestion Theory to Marine Problems

This paper sets out to evaluate the main areas of focus within maritime sociology and to link more closely than hitherto the various substantive discussions with general theoretical and conceptual approaches. More specifically, it suggests directions in which maritime sociology may be advanced at both empirical and conceptual levels in the future.     

A dynamic model for marginal cost pricing of port infrastructures

ABSTRACT

A dynamic model for marginal cost pricing of port infrastructures links costs to system performance by combining a power-law function with time-dependent queueing analysis. Additionally, the model incorporates the marginal cost of capacity, including the effects of economies of scale. This allows the calculation of the marginal cost price under a dynamic framework. The model accounts for nonlinear behaviour of port demand, which is sensitive to price and service levels. The effects over time of cost and service levels on the port’s operational performance are quantified. The proposed model allows determining the optimal timing for capacity investment. The model is a starting point for the application of marginal cost pricing to ports. However, for practical application of such pricing method it is necessary to apply a system’s approach, as productivity and costs must be assessed at the terminal’s component level. This should allow the derivation of a marginal cost function at the terminal’s component level.     

A Training Framework for Understanding Conflict in the Coastal Zone

The coastal zone is attractive for human settlement because it tends to be resource rich, providing a good location to generate incomes and livelihoods. Equally, however, it is a complex and powerful natural environment, which means that the coastal zone often becomes a focus of conflict with multiple users competing for limited space and resources. Understanding the causes of, and determining solutions to, the ensuing problems requires inputs from a range of analyses across sectors and disciplines. However, different disciplinary and sectoral approaches frequently use different investigative methods, language, and means of presenting results. This article presents a framework that has been developed in collaboration with Indian institutions over the past three years in an effort to address some of these fundamental problems of analysis and translation into policy action. Key components addressed by the framework are strengthening the capacity to practice, knowing how to proceed and how to find out what needs to be known using experience-based problem solving.     

Developing a Spatially Enabled Inventory of Recreational Boats Using Vessel Registration Data

Effective waterway management requires information on the characteristics and locations of boats. A field-based boat census—a traditional method to obtain spatially accurate information—is relatively expensive, time-consuming, and restrictive in scope. Vessel registration data, maintained by all U.S. states, is potentially a more robust information source. This research evaluated the accuracy and reliability of vessel registration data to supply location and attribute information for boats. The study premise was to use vessel registration data, which includes the mailing address of registered boat owners, to develop a spatially enabled inventory of boats. The study area comprised 12,064 salt-water accessible property parcels in two Florida counties. An on-water census (OWC) provided location and characteristics for 5,023 vessels, which were compared to 8,681 vessel registration records linked to the study area. Discrepancies between the OWC and vessel registration data were explained by a stratified, random sample of 485 telephone survey respondents. Study results show that vessel registration data accurately located and characterized roughly 81% of the boat population; in contrast, the OWC accurately located less than 56%. A conclusion is that state vessel registration data is a better alternative than an OWC for locating and characterizing boats kept along waterways.     

Book reviews

Coastal Resources Management: Beyond Market and Bureaucracy by Robert B. Ditton, John L. Seymour, and Gerald C. Swanson. Published by D. C. Heath and Company, Lexington, Massachusetts, 1977, 191 pp., 6 figures.

The Urban Sea: Long Island Sound by Lee E. Koppelman, Peter K. Weyl, M. Grant Gross, and DeWitt S. Davies. Published by Praeger Publishers, 1976. 209 pp., 81 figures, 42 tables.     

Urban sports anglers and Lake Michigan fishery policies

Abstract

Over the past few years an unusually intense struggle over the future of the Lake Michigan fishery has occurred in the coastal communities of Racine and Kenosha. This struggle has engaged participants on the local, state, and national levels in the debate over the fishery as it is potentially impacted by the presence of environmental toxins, the rising cost of fish stocking and management, and conflicting user group demands. We describe three cases where urban sports anglers, with the assistance of university based social scientists, participated in state and city public policy decisions. After discussing this research and its policy implications, we propose a general public participation paradigm termed the Reciprocal Development Model.     

A selection method of offshore production systems considering uncertainties

Journal of Marine Science and Technology - The development of an offshore deepwater oilfield is a complex and risky task. One core problem in this project is the selection of a production system...