The following addresses whether there is the realistic potential to deliver a PFI deal beneficial to both parties.
1. Is the overall value of the contract significant (sufficient for the private sector to justify their bidding costs?)
2. Is there sufficient industrial spare capacity to take on this project?
3. Is the proposed allocation of risk likely to be acceptable to the funders given the level of reward?
4. Is the private sector experienced in securing finance of the type and magnitude required?
5. Is the scoping and nature of the proposed service free from any novel features and issues, the impact of which cannot yet be assessed?
6. Is the procurement timescale feasible?
7. Is the technical solution deliverable given the risk associated with design, development and implementation?
8. Does the opportunity align with the strategic interests of the private sector?
9. Are there any potential showstoppers to the delivery of a viable, cost-effective service operating under PFI; are there any regulatory constraints?
10. In general terms, what forms of information would you require on any existing infrastructure in order to assess how to manage and price it?
11. Should the MOD wish to maintain flexibility over the level and nature of the service what do you consider to be the main challenges to achieving this and how might it be met? How would you approach pricing for the contract if significant change in capital and/or operating costs were anticipated?
12. Are you familiar with the MOD's standard PFI Project Agreement and would you consider there to be a need for any significant derogations from it?