This chapter is premised on the assumption that all rights to provide public transport service expressed through contracts should be dependent on the performance of the provider, and that this should be expressed through a performance-based contract that is either competitively tendered or negotiated. The chapter begins with a definition of the dimensions of performance-based contracts, including issues that need to be dealt with in developing contracts that most effectively meet a government's objectives in public transport service propulsion. In particular, discussion is focused on the relative merits of negotiated contracts, compared with competitively tendered contracts, in delivering value for money outcomes. The chapter uses examples of practice from a number of countries as illustrations and includes a detailed case study.
Samenvatting