Real Options in Public-Private Partnerships journal article Dejan Podhraški European Procurement & Public Private Partnership Law Review, Volume 9 (2014), Issue 3, Page 164 - 173 In terms of legal language, a real option is a right, not an obligation, to take action on an underlying real asset. In terms of economic language a real options has its value, just like a financial option. Incentives that the public partner grants to the private partner in order to make the project more attractive, like the minimum revenue guarantee, the put option, the abandonment option, the extension option, input subsidies and others are in their essence real opt
Estimated Value vs Final Contract Value in Works Public Procurement – What Causes the Discrepancy? Marko Turudić, Melko Dragojević