Maintaining Roads : The Argentine Experience with Output-Based Contracts

Maintaining Roads : The Argentine Experience with Output-Based Contracts

The Argentine government is using output-based contracts with the private sector for rehabilitation and maintenance of its nonconcessioned road network. The multiyear lump sum contracts, funded by the government, specify required road service outpu...

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Bibliographic Details
Main Author: Liautaud, Gerard
Format: Viewpoint
Language:English
Published: World Bank, Washington, DC 2012
Subjects:
PRIVATE INFRASTRUCTURE
ROAD MAINTENANCE
ROAD REHABILITATION
CONTRACTS
BIDDING
ROAD & HIGHWAY MAINTENANCE ADMINISTRATIVE COSTS
AXLE LOADS
BITUMEN
CONTRACTING OUT
CONTRACTORS
COST OVERRUNS
CRACKING
CULVERTS
DAILY TRAFFIC
EXPENDITURES
HIGHWAYS
LUMP SUM CONTRACTS
NET PRESENT VALUE
OVERLAY
PAVED ROADS
PAVEMENT
POTHOLES
PRIVATE SECTOR
QUALITY CONTROL
QUALITY OF SERVICE
RATE OF RETURN
ROAD USERS
ROADS
ROUGHNESS
ROUTINE MAINTENANCE
SIGNS
SPECIFICATIONS
SPREADING
TRAFFIC
VEHICLE OVERLOAD
VEHICLES
Online Access:http://documents.worldbank.org/curated/en/2001/06/1346447/maintaining-roads-argentine-experience-output-based-contracts
http://hdl.handle.net/10986/11379
Description
Summary:The Argentine government is using output-based contracts with the private sector for rehabilitation and maintenance of its nonconcessioned road network. The multiyear lump sum contracts, funded by the government, specify required road service outputs and use incentive-based payment schedules to ensure the quality of the work. After three years of operation the 60 contracts (averaging US$10 million) in the first phase are working well. By 2002 around 75 percent of Argentina's nonconcessional roads should be operating under output-based contracts.

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