Special project vehicle

Success Problem

Special project vehicle is a company established for a limited period of time in order to realize one complex project or program.

Impact

The special project vehicle is used to separate the account balance of the specific project from the account balance of the permanent organization, procuring the project.

Recommendation

The founders and owners of the special project vehicle are the procuror’s permanent organization and project investors, eventually also other interested parties (contractors etc.). The special project vehicle improves the transparency of the project financing. This is welcomed especially in the public-private partnership projects. The advantage is the involvement of the project input suppliers in the project success. Without their engagement in the special project vehicle the suppliers are interested only in own profit. Special project vehicle is used also in the public-civil partnership.

Category

• Organization & Structures & Processes