3.3.3  PARTIAL COMPETITIVE MAINTENANCE MODEL - "CAUTIOUS MODEL"

Some countries like the Estonia and Victoria (Australia) and a few others not included in this study, place a certain percentage of maintenance contacts into open public competition. The countries using these models retain a certain percentage of their own workforce to perform various routine maintenance type activities, while openly tendering the other part of the road network. Estonia and Victoria, Australia practice this model and allow their own work force to publicly tender against any private sector competitors. This is considered as the "Partial Competitive Maintenance Model ", or what is now called the "Cautious Model", which carries out maintenance contracts for some areas and the remaining activities are done in-house. As mentioned earlier, Estonia outsources about 63% of the contracts via routine area maintenance contracts, while VicRoads (in Victoria, Australia) is at a level of about 50%. This model is not very common, and might be considered as a form of competition that is an interim phase before going forward to fully open competition.

Victoria, Australia uses the lowest price with a lump sum payment and duration of about 1-3 years. Estonia uses about 75% price with a lump sum payment and recently went forward with 7 year contracts.