build-operate-transfer

Build-Operate-Transfer (BOT) is a form of project financing, wherein a private entity receives a franchise from the public sector to finance, design, construct, and operate a facility for a specified period, after which ownership is transferred back to the public sector. During the time that the project proponent operates the facility, it is allowed to charge facility users appropriate tolls, fees, rentals, and charges stated in their contract to enable the project proponent to recover its investment, and operating and maintenance expenses in the project. In some countries, such as Canada, the term used is Build-Operate-Own-Transfer (BOOT).

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