Management of risk rights between the investee government and projected company in BOT contract projects

Abstract

One of the issues that arises in BOT contracts are hazards and risks of the project. Governments tend to give responsibility of risks to investors as much as possible and among BOT benefits for governments and their motivation to use the BOT is to transfer project risks to the project company. In practice, this is a relative matter, and the project company is usually unable to manage project, control and accept all risks of the project, and depending on which country it invests in, it tries to transfer some risks and dangers to the Government or donor state company and other participants in the project in different ways including construction contractors, operators, suppliers of raw materials, product and service buyers and Data Transfer and cover other risks by insurance and in fact take some risks ability which can be controlled and managed.