PPP Scheme
The private party’s investment in O&M will be in the PPP Gross Cost scheme, with 32 years duration as a maximum. The project scope of works is divided into 2 phases as follows:
- Phase 1: Design and Construction – Maximum 2 Years (2025-2027)
The private party is responsible for the design, construction and installation of system works and related facilities. Based on the Build-Transfer-Operate (BTO) scheme, upon completion of system works, which is scheduled to be by 2027, the private party shall transfer the ownership of project assets to the public sector as detailed in the PPP contract, prior to operation commencement.
- Phase 2: Operation and Maintenance – Maximum 30 Years (2027-2056)
The private party is responsible for generating and transmitting to the DOH M-Flow transaction data of all the vehicles using M82 so that the DOH can generate billing to M-Flow users, as well as managing the motorway system works and related facilities, including maintenance of the whole project, both the civil works funded by the public sector and the system works funded by the private party. In return, the private party will receive availability payment (AP) from the government, under the service quality terms and conditions agreed, for the duration of 30 years from the year the commercial operation has been commenced.
