Performance Based Contracts in the Road Sector : Towards Improved Efficiency in the Management of Maintenance and Rehabilitation - Brazil's Experience
This note aims at providing feedback on Brazil's successful experience in using performance based contracts in the rehabilitation and maintenance of the road networks. Since its introduction in the early 2000's, the use of this contract m...
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Format: | Working Paper |
Language: | English en_US |
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World Bank, Washington, DC
2014
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Online Access: | http://documents.worldbank.org/curated/en/2010/03/12840754/performance-based-contracts-road-sector-towards-improved-efficiency-management-maintenance-rehabilitation-brazils-experience http://hdl.handle.net/10986/17452 |
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okr-10986-17452 |
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recordtype |
oai_dc |
repository_type |
Digital Repository |
institution_category |
Foreign Institution |
institution |
Digital Repositories |
building |
World Bank Open Knowledge Repository |
collection |
World Bank |
language |
English en_US |
topic |
ACCESS TO INFORMATION ACCOUNTING ASSET MANAGEMENT BANKRUPTCY BID BIDS BOTTLENECKS BOUNDARIES BRIDGE BUDGET CONSTRAINTS BULLET CAPACITY BUILDING CHECKS CIVIL SOCIETY CONFLICTS CONTRACT MANAGEMENT CONTRACT MONITORING CONTRACT PRICE CONTRACT VALUE CONTRACT VALUES CONTRACTOR CONTRACTORS COST OF TRANSPORT CREDIBILITY DEBT DEBT RESTRUCTURING DECENTRALIZATION DRAINAGE ECONOMIC GROWTH ECONOMIES OF SCALE EQUIPMENT EXISTING CONTRACTS EXPENDITURES FEDERAL CONTRACTS FINANCIAL PENALTIES FISCAL POLICY GLOBALIZATION HEAVY VEHICLES HIGHWAY HUMAN RESOURCES IMPACTS ON TRAFFIC SAFETY INFORMATION SYSTEM INFORMATION SYSTEMS INSTALLMENT INSTRUMENT INTEREST RATES INTERNATIONAL BANK INTERNATIONAL EXPERIENCE INTERURBAN ROAD INVESTMENT CONTRACTS LAND TRANSPORT LICENSES LOAN MATURITY MINISTRY OF TRANSPORT MODALITIES MODALITY MONTHLY INSTALLMENT MONTHLY INSTALLMENTS MONTHLY PAYMENT MOTIVATION NATIONAL TRANSPORT NEGOTIATION NEW CONTRACT NEW CONTRACTS ORIGINAL CONTRACT OUTPUTS PASSENGERS PAVEMENT REHABILITATION PAYMENT OBLIGATIONS PORTFOLIO PROCUREMENT PROCUREMENT PROCESSES PROJECT MANAGEMENT PROJECT REVISION PROVISIONS PUBLIC INVESTMENT PUBLIC INVESTMENTS PUBLIC PARTNERSHIPS PUBLIC PROCUREMENT PUBLIC WORKS QUALITY ASSURANCE RECONSTRUCTION REMEDIES REMUNERATION RETURN RIGHT-OF-WAY ROAD ROAD CONDITIONS ROAD INFRASTRUCTURE ROAD INVESTMENT ROAD MAINTENANCE ROAD MANAGEMENT ROAD NETWORK ROAD SECTOR ROAD SYSTEM ROAD TRANSPORT ROAD USERS ROADS SAFETY ISSUES SERVANTS SPECIFIC PERFORMANCE SUB-CONTRACTORS SUFFICIENT FLEXIBILITY TAX TIMELY PAYMENTS TRAFFIC TRAFFIC SAFETY TRAFFIC VOLUMES TRANSPARENCY TRANSPORT TRANSPORT INFRASTRUCTURE TRANSPORT INVESTMENT TRANSPORT INVESTMENTS TRANSPORT MODE TRANSPORT PLANNING TRANSPORT REGULATION TRANSPORT SECTOR TRANSPORTATION TRANSPORTATION ENGINEER TRUE TYPE OF CONTRACTS UNDER CONTRACTS UNEXPECTED EVENT VEHICLE VEHICLE OPERATION YEAR CONTRACT |
spellingShingle |
ACCESS TO INFORMATION ACCOUNTING ASSET MANAGEMENT BANKRUPTCY BID BIDS BOTTLENECKS BOUNDARIES BRIDGE BUDGET CONSTRAINTS BULLET CAPACITY BUILDING CHECKS CIVIL SOCIETY CONFLICTS CONTRACT MANAGEMENT CONTRACT MONITORING CONTRACT PRICE CONTRACT VALUE CONTRACT VALUES CONTRACTOR CONTRACTORS COST OF TRANSPORT CREDIBILITY DEBT DEBT RESTRUCTURING DECENTRALIZATION DRAINAGE ECONOMIC GROWTH ECONOMIES OF SCALE EQUIPMENT EXISTING CONTRACTS EXPENDITURES FEDERAL CONTRACTS FINANCIAL PENALTIES FISCAL POLICY GLOBALIZATION HEAVY VEHICLES HIGHWAY HUMAN RESOURCES IMPACTS ON TRAFFIC SAFETY INFORMATION SYSTEM INFORMATION SYSTEMS INSTALLMENT INSTRUMENT INTEREST RATES INTERNATIONAL BANK INTERNATIONAL EXPERIENCE INTERURBAN ROAD INVESTMENT CONTRACTS LAND TRANSPORT LICENSES LOAN MATURITY MINISTRY OF TRANSPORT MODALITIES MODALITY MONTHLY INSTALLMENT MONTHLY INSTALLMENTS MONTHLY PAYMENT MOTIVATION NATIONAL TRANSPORT NEGOTIATION NEW CONTRACT NEW CONTRACTS ORIGINAL CONTRACT OUTPUTS PASSENGERS PAVEMENT REHABILITATION PAYMENT OBLIGATIONS PORTFOLIO PROCUREMENT PROCUREMENT PROCESSES PROJECT MANAGEMENT PROJECT REVISION PROVISIONS PUBLIC INVESTMENT PUBLIC INVESTMENTS PUBLIC PARTNERSHIPS PUBLIC PROCUREMENT PUBLIC WORKS QUALITY ASSURANCE RECONSTRUCTION REMEDIES REMUNERATION RETURN RIGHT-OF-WAY ROAD ROAD CONDITIONS ROAD INFRASTRUCTURE ROAD INVESTMENT ROAD MAINTENANCE ROAD MANAGEMENT ROAD NETWORK ROAD SECTOR ROAD SYSTEM ROAD TRANSPORT ROAD USERS ROADS SAFETY ISSUES SERVANTS SPECIFIC PERFORMANCE SUB-CONTRACTORS SUFFICIENT FLEXIBILITY TAX TIMELY PAYMENTS TRAFFIC TRAFFIC SAFETY TRAFFIC VOLUMES TRANSPARENCY TRANSPORT TRANSPORT INFRASTRUCTURE TRANSPORT INVESTMENT TRANSPORT INVESTMENTS TRANSPORT MODE TRANSPORT PLANNING TRANSPORT REGULATION TRANSPORT SECTOR TRANSPORTATION TRANSPORTATION ENGINEER TRUE TYPE OF CONTRACTS UNDER CONTRACTS UNEXPECTED EVENT VEHICLE VEHICLE OPERATION YEAR CONTRACT Lancelot, Eric Performance Based Contracts in the Road Sector : Towards Improved Efficiency in the Management of Maintenance and Rehabilitation - Brazil's Experience |
geographic_facet |
Latin America & Caribbean Brazil |
relation |
Transport paper series;no. TP-31 |
description |
This note aims at providing feedback on
Brazil's successful experience in using performance
based contracts in the rehabilitation and maintenance of the
road networks. Since its introduction in the early
2000's, the use of this contract management model has
progressively spread to reach, as of today, one third of the
federal network and more than 10 percent of the states'
networks, and expectations are for higher figures in the
short run. The note highlights the context which led to the
introduction of these contracts in the road sector and the
strategic orientations adopted in their structuring. The
model was notably expected to bring rationalization,
accountability and credibility to the sector at a moment
when road maintenance, though a crucial issue when
considering the networks' characteristics and
conditions, was not given sufficient consideration by the
road administrations. The note then provides an evaluation
of the positive achievements resulting from these contracts.
The evaluation, comparing objectively performance based
contracts to the traditional input-admeasurements approach,
shows that these contracts brought an overall improved
efficiency to the sector which translated to better road
conditions at lower costs for the governments and reduced
management burdens on the administrations. Finally, the note
provides insights, gained from ten years of continuous
learning, on the main lessons learnt, and perspectives on
desirable evolutions in the future, while a balanced share
of responsibilities and initiatives between the public and
the private sectors is essential, strengthened
administrations, fully accountable for preserving public
interests, remain key to success; better articulating
contract duration and rehabilitation works service life,
which would lead to extended contract duration, is also one
of the possible orientations for future performance-based
contracts in Brazil. |
format |
Publications & Research :: Working Paper |
author |
Lancelot, Eric |
author_facet |
Lancelot, Eric |
author_sort |
Lancelot, Eric |
title |
Performance Based Contracts in the Road Sector : Towards Improved Efficiency in the Management of Maintenance and Rehabilitation - Brazil's Experience |
title_short |
Performance Based Contracts in the Road Sector : Towards Improved Efficiency in the Management of Maintenance and Rehabilitation - Brazil's Experience |
title_full |
Performance Based Contracts in the Road Sector : Towards Improved Efficiency in the Management of Maintenance and Rehabilitation - Brazil's Experience |
title_fullStr |
Performance Based Contracts in the Road Sector : Towards Improved Efficiency in the Management of Maintenance and Rehabilitation - Brazil's Experience |
title_full_unstemmed |
Performance Based Contracts in the Road Sector : Towards Improved Efficiency in the Management of Maintenance and Rehabilitation - Brazil's Experience |
title_sort |
performance based contracts in the road sector : towards improved efficiency in the management of maintenance and rehabilitation - brazil's experience |
publisher |
World Bank, Washington, DC |
publishDate |
2014 |
url |
http://documents.worldbank.org/curated/en/2010/03/12840754/performance-based-contracts-road-sector-towards-improved-efficiency-management-maintenance-rehabilitation-brazils-experience http://hdl.handle.net/10986/17452 |
_version_ |
1764436325735333888 |
spelling |
okr-10986-174522021-04-23T14:03:36Z Performance Based Contracts in the Road Sector : Towards Improved Efficiency in the Management of Maintenance and Rehabilitation - Brazil's Experience Lancelot, Eric ACCESS TO INFORMATION ACCOUNTING ASSET MANAGEMENT BANKRUPTCY BID BIDS BOTTLENECKS BOUNDARIES BRIDGE BUDGET CONSTRAINTS BULLET CAPACITY BUILDING CHECKS CIVIL SOCIETY CONFLICTS CONTRACT MANAGEMENT CONTRACT MONITORING CONTRACT PRICE CONTRACT VALUE CONTRACT VALUES CONTRACTOR CONTRACTORS COST OF TRANSPORT CREDIBILITY DEBT DEBT RESTRUCTURING DECENTRALIZATION DRAINAGE ECONOMIC GROWTH ECONOMIES OF SCALE EQUIPMENT EXISTING CONTRACTS EXPENDITURES FEDERAL CONTRACTS FINANCIAL PENALTIES FISCAL POLICY GLOBALIZATION HEAVY VEHICLES HIGHWAY HUMAN RESOURCES IMPACTS ON TRAFFIC SAFETY INFORMATION SYSTEM INFORMATION SYSTEMS INSTALLMENT INSTRUMENT INTEREST RATES INTERNATIONAL BANK INTERNATIONAL EXPERIENCE INTERURBAN ROAD INVESTMENT CONTRACTS LAND TRANSPORT LICENSES LOAN MATURITY MINISTRY OF TRANSPORT MODALITIES MODALITY MONTHLY INSTALLMENT MONTHLY INSTALLMENTS MONTHLY PAYMENT MOTIVATION NATIONAL TRANSPORT NEGOTIATION NEW CONTRACT NEW CONTRACTS ORIGINAL CONTRACT OUTPUTS PASSENGERS PAVEMENT REHABILITATION PAYMENT OBLIGATIONS PORTFOLIO PROCUREMENT PROCUREMENT PROCESSES PROJECT MANAGEMENT PROJECT REVISION PROVISIONS PUBLIC INVESTMENT PUBLIC INVESTMENTS PUBLIC PARTNERSHIPS PUBLIC PROCUREMENT PUBLIC WORKS QUALITY ASSURANCE RECONSTRUCTION REMEDIES REMUNERATION RETURN RIGHT-OF-WAY ROAD ROAD CONDITIONS ROAD INFRASTRUCTURE ROAD INVESTMENT ROAD MAINTENANCE ROAD MANAGEMENT ROAD NETWORK ROAD SECTOR ROAD SYSTEM ROAD TRANSPORT ROAD USERS ROADS SAFETY ISSUES SERVANTS SPECIFIC PERFORMANCE SUB-CONTRACTORS SUFFICIENT FLEXIBILITY TAX TIMELY PAYMENTS TRAFFIC TRAFFIC SAFETY TRAFFIC VOLUMES TRANSPARENCY TRANSPORT TRANSPORT INFRASTRUCTURE TRANSPORT INVESTMENT TRANSPORT INVESTMENTS TRANSPORT MODE TRANSPORT PLANNING TRANSPORT REGULATION TRANSPORT SECTOR TRANSPORTATION TRANSPORTATION ENGINEER TRUE TYPE OF CONTRACTS UNDER CONTRACTS UNEXPECTED EVENT VEHICLE VEHICLE OPERATION YEAR CONTRACT This note aims at providing feedback on Brazil's successful experience in using performance based contracts in the rehabilitation and maintenance of the road networks. Since its introduction in the early 2000's, the use of this contract management model has progressively spread to reach, as of today, one third of the federal network and more than 10 percent of the states' networks, and expectations are for higher figures in the short run. The note highlights the context which led to the introduction of these contracts in the road sector and the strategic orientations adopted in their structuring. The model was notably expected to bring rationalization, accountability and credibility to the sector at a moment when road maintenance, though a crucial issue when considering the networks' characteristics and conditions, was not given sufficient consideration by the road administrations. The note then provides an evaluation of the positive achievements resulting from these contracts. The evaluation, comparing objectively performance based contracts to the traditional input-admeasurements approach, shows that these contracts brought an overall improved efficiency to the sector which translated to better road conditions at lower costs for the governments and reduced management burdens on the administrations. Finally, the note provides insights, gained from ten years of continuous learning, on the main lessons learnt, and perspectives on desirable evolutions in the future, while a balanced share of responsibilities and initiatives between the public and the private sectors is essential, strengthened administrations, fully accountable for preserving public interests, remain key to success; better articulating contract duration and rehabilitation works service life, which would lead to extended contract duration, is also one of the possible orientations for future performance-based contracts in Brazil. 2014-03-28T15:17:40Z 2014-03-28T15:17:40Z 2010-03 http://documents.worldbank.org/curated/en/2010/03/12840754/performance-based-contracts-road-sector-towards-improved-efficiency-management-maintenance-rehabilitation-brazils-experience http://hdl.handle.net/10986/17452 English en_US Transport paper series;no. TP-31 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo/ World Bank, Washington, DC Publications & Research :: Working Paper Publications & Research Latin America & Caribbean Brazil |