Risk Management

The risks arise within the life cycle of a project has to be dealt by the party which can best manage those risks in order to offer the best service under reasonable conditions.

PPP projects are considered as highly risky since the fiscal liability and funding necessity is huge, the maturity of the contracts are long, the construction, management and maintenance costs are hard to foresee and the offer to the consumers, demand and revenues are uncertain.

On the other hand, the costs are expected to increase depending on the associated risks. At this point, the optimal distribution of the risks will let the costs to decrease and let the value of money to be maximized