Portugal has developed and maintains a National Road Plan, which identifies current and future highway requirements as well as their proposed execution. This plan was last updated in 2000, and it serves as the country's frame- work for highway development and management. Portugal is experiencing 6 percent annual traffic growth overall and 12 percent traffic growth on its motorway system.
Potential PPPs are drawn directly from the requirements in the 2000 plan. In fact, Portugal expects to use primarily PPP arrangements to complete its National Motorway System. During project programming, EP conducts a feasibility analysis to determine the financial viability of alternative funding schemes for upcoming motorway segments. In many respects, the question is what type of funding mechanism to apply to a particular segment. EP studies the circumstances, determines whether a real toll or a shadow toll is appropriate, and makes its recommendation to the Portuguese government. Once a funding decision is made, EP programs the project for execution.