IRT - bus rapid transit - draft contract which went with bidding documents - Cape Town

Cape Town, South Africa BRT - The PPP in Bus Rapid Transit (BRT) operations involved transfers of buses from government entities to private operators for specified contractural periods, during which the operators were required to operate and maintain the BRT fleet. Fleet expansion and replacement to be undertaken depended on future demand were defined in the contract accordingly. Fare collection is not part of the operator's scope of work. Payments are made to the operator on the basis of per kilometer availability payments paid out in pre-defined time intervals, with a miniumum revenue guarantee in terms of fixed annual kilometers. The draft contract sets out mechanisms for paying additional kms, for revising payment terms and penalities/bonuses. NOTE: This may have been amended during the bidding process.