2. B.O.O.T Scheme Principle

The B.O.O.T. Scheme Principle

The terminology B.O.O.T. Stands for "Build, Own, Operate & Transfer" and it is based on the concept that a dedicated Project Company, namely SPV (Special Purpose Vehicle), is responsable to provide the financial, economical and technological resources to provide a supply service of a given utility e.g. Water, for a certain period of time (concession period, typically 20 or 30 years basis).

The SPV Company is responsable for obtaining financing and technological resources to arrange a Project to provide the requested contractual quality and quantity of water to the End User. Therefore, the End User will correspond a payment for supplies water only in such preformance ease. The SPV is reponsable to ensure this service throughout the entire Concession Period, relieving the End User from the responsabilities and risks to operate the production plant, and also connected technological and administrative management.

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