The table in Figure 14 below presents the quantitative value for money calculated as the difference between the Shadow Bid and PSC net present costs (PSC - Shadow Bid) from Figure 13. It also shows the five relevant PSC cost components broken down as:
1. Capital
2. Life cycle or capital rehabilitation
3. Operations/Maintenance/Facilities management
4. Risk
5. Competitive neutrality adjustments
Figure 14: Value for Money Table
| Value for Money Analysis 30 year OMR | |||||
| Traditional Capital Costs OMR Costs |
$ $ |
463 95 | |||
| Cost | $ | 559 | Availability Payment | $ | 633 |
| Risks Retained under Traditional Delivery that would be transferred under PPP | |||||
| Risk adjustment to Capital Cost | $ | 68 | |||
| Total Risk Adjustment | $ | 68 | |||
| Tax and Insurance Adjustment Insurance Provincial Tax |
$ $ |
38 10 | Tax and Insurance Adjustment Insurance Income Taxes | ||
| Total Adjustment | $ | 48 | Total Adjustment | ||
| Retained Costs | Retained Costs | ||||
| Project Management | $ | 59 30 | Project Management | $ $ | 48 17 |
| Total Retained Costs | $ | 89 | Total Retained Costs | $ | 65 |
| $ | 763 | Adjusted Shadow Bid | $ | 698 | |
| % of PSC Costs including risk |
$ |
65 8.6% | |||