Project Details

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Results Chart for Delivery Method and Financing

Delivery Method

DBOM All Public Finance
# of Projects: 1
100% of the Results

Background informationProject Created: September 11, 2008

Project Name: Confederation Bridge (Northumberland Strait)
Year in Operation: 1997
Sector: Transportation
Subsector: Bridge
Status: In Operation
Type: New Facility
Description: 12.9 kilometer toll bridge connecting Prince Edward Island to New Brunswick (Canada), and replacing government funded ferry service.
Delivery Method as described in the country where it's located: Build Operate Transfer
Is the project still active: Yes
Comments:

Project Locations

Address:
City:
State: New Brunswick
Country: Canada

Address:
City: Jourimain Island
State: Prince Edward Island
Country: Canada

Address:
City: Borden-Carleton
State: New Brunswick
Country: Canada

Address:
City: Botsford
State: New Brunswick
Country: Canada

Souces of Project Support (Non-monetary)

Checkbox Checked Access to Land: Right to cross the Northumberland Strait and to land structures and access roads on either side. Project returns to government at end of 35 year lease for $1.00 CDN. Concession agreement confirms access.
Checkbox Checked Revenue Stream (Cash Flow) Protected Through Long Term Commitment(s) of Public Sponsor(s): Federal Government of Canada agreed to pay the BOT Contractor an annual subsidy payment of $41.9 CDN each year for 35 year concession, whether bridge opened in June 1997 or not. If not, BOT Contractor was responsible to pay and manage ferry services until bridge did open. Toll rates may be escalated annually at a rate not exceeding 75% of the annual increase in the CPI.
Checkbox Checked Environmental Clearance: By Government, with assistance of BOT Contractor.

Souces of Project Support (Monetary)

Checkbox Checked

From Public (Government) Sources to Producers: Annual Subsidy of $41.9 million CDN. Government analysis prepared in advance of competition evaluating expected cost of continued ferry operations, with repair and replacement of ferry landings and vessels.

Arrow Right
Checkbox Checked

Direct Cash Support: Funds that Federal Government concluded were substantially ($750 million) less per year than life cycle cost of ferry operations over the same 35 year period.

Arrow Right
Checkbox Checked

From Public Sponsor of Project - Direct Expenditure of Appropriated Public Funds

Checkbox Checked

From Private Capital Markets Directly to Producers as Debt: Funds to support design, construction, and initial operations borrowed by Producers as Debt.

Checkbox Checked

From Producers as Equity: But minimal

Project Delivery & Finance Method

Project Delivery:
All Public Finance. Public Sponsor contracts for initial design, and separately contracts for initial construction. Public Owner operates and maintains the resulting facility.
Is there an independant checking engineer? Yes
Project Finance Method: All By Public Sponsor

Procurement Approach

Project Component
Qualifications
Based Selection
Request for
Qualifications
Request for
Proposals
Invitation
for Bids
Unsolicited
Proposals

Term for Key Components & Forms of Contract

Project Component
Years
Quarters
Combined Term: Initial Design, Construction, O&M Period
40
0
Forms
Description
Other
Prepared by the Federal Government of Canada. 

Project Value (If and As Known)

Date of Estimated Project Value: May 31, 1997
Project Value
Hard Cost
Hard & Soft Costs
Pre-Feasibility (Public Sponsor Expense)
(none)
> $50 Million US
Total
$500 Million - 2 Billion US
(none)

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