Part 3: There are general principles which departments can apply to refinancings
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Departments should consider a range of principles when they assess a refinancing
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Benchmarking can help identify where there is scope to share in refinancing benefits
Benchmarking can help identify where there is scope to share in refinancing benefits
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As a new market develops, contract prices may reduce or increase
Cost reductions have been achieved on PFI projects as the experience of operating PFI contracts has grown
On early PFI deals, the benefit of such cost reductions should be shared between the private and public sectors
Benchmarking can help to identify cost reductions
Benchmarking techniques would have given the Service important information about the source of refinancing benefits for FPSL