The purpose of selecting these particular projects for analysis lay in their differences from one another; the Guru Dam was a government driven project designed to reallocate resources away from fossil fuel usage toward hydroelectricity in Venezuela, whereas The Channel was an effort to create a fixed transportation link between England and mainland Europe. Differing financial arrangements are discussed, highlighting that Guru Dam was a government funded and controlled project while The Channel was a Built-own-operate-Transfer system (B-O-O-T).
Hence, The Channel project was funded using a large group of investors, and is currently controlled by the project consortium, not the English or French Governments. When comparing the project’s life cycles, the more successful project was the Guru Dam. The definition phase was completed without any major issues, which led to a smooth execution phase, free of unforeseen issues which would cause large extra costs. The Channel project did not effectively plan the project, and hence the project was almost 300% over budget.
The beginning of the 20th century saw the re-introduction of the tunnel concept, but plans were constantly being overshadowed by military concerns. In 1973 British and French officials met again to discuss the continuation of the tunnel scheme, but once again the project was abandoned due to disagreements over funding. It wasn’t until 1978 that both French and British heads of government agreed to raise funding from the private sector that the project officially commenced dean Pompom, 1990).
This paved the way for what Margaret Thatcher would later refer to as “the greatest civil engineering project in the history of Europe” (Thatcher, 987). Primary Stakeholders Routinely (Channel Tunnel Group/France Menace) British Government Awarded concession agreement to own, operate, finance and construct the fixed link Alongside French Government, signed concession to Routinely to own and operate project. Elected GIG to oversee project. French Government Alongside British Government, signed concession to Routinely to own and operate project.
Elected GIG to oversee project. Intergovernmental Commission Safety Authority Shareholders Responsible for supervising all matters concerning the construction and operation of the fixed-link. Advisors to the intergovernmental commission Equity owners, mainly from France and Britain ($5 billion total equity raised). Bank Pool (203 Worldwide) Capital financiers including world banks and credit unions (lending 500 million in total) Transmittance Link Major construction contractor, both British and French construction venture.