A preliminary PSC for each of the five redevelopment options under consideration was developed at the business case stage in mid-2005 before the start of the procurement process. The preliminary PSC financial model had all the features required by Partnerships Victoria guidance.
Assumptions in the preliminary PSC in relation to inflation and discount rates were in line with Partnerships Victoria guidance. Assumptions in relation to construction costs for the ultimately selected redevelopment option (the new west variant) were in line with supporting documentary evidence.
The quantification of risk for the purposes of the preliminary PSC followed an approach in line with Partnerships Victoria guidance.