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A Concession Agreement lets private companies operate public services or infrastructure under Swiss law. Think of it as a contract where the government grants rights to a business to run things like highways, airports, or power plants - while keeping ultimate ownership of these assets. These agreements follow strict rules under the Federal Act on Public Procurement and cantonal regulations.

The deal typically covers how long the company can operate the asset, what fees they can charge, and their maintenance obligations. For example, many Swiss mountain railways run through concession agreements, with private operators managing the service while meeting specific public service requirements. The arrangement helps bring private sector efficiency to public services while maintaining government oversight.

Use a Concession Agreement when your company wants to operate public infrastructure or services in Switzerland while the government maintains ownership. This legal framework proves essential for projects like managing toll roads, running public transportation systems, or operating utility networks under Swiss federal and cantonal oversight.

The timing typically aligns with public tenders or direct negotiations with authorities. For example, if you're bidding to operate a regional railway line or manage a municipal waste treatment facility, you'll need this agreement to define operational rights, revenue arrangements, and service standards. It becomes particularly important when dealing with regulated sectors or essential public services where continuous operation must be guaranteed.

• Operating Concessions: Used for managing public transport systems, airports, or utilities. These define service levels, maintenance requirements, and pricing structures.
• Infrastructure Concessions: Common for roads, tunnels, or bridges. They focus on construction rights, toll collection, and long-term maintenance obligations.
• Resource Concessions: Applied to mining, water rights, or energy production. These include specific environmental protection measures and resource usage limits.
• Municipal Service Concessions: Cover local services like waste management or district heating. They emphasize community service obligations and local authority oversight.
• Mixed-Use Concessions: Combine multiple service types, often used for complex developments like railway stations with retail spaces.

• Government Authorities: Federal and cantonal agencies grant concessions and set regulatory requirements. They maintain oversight throughout the agreement's duration.
• Private Operators: Companies that run public services or infrastructure, from transport firms to utility providers. They handle day-to-day operations and meet service standards.
• Legal Teams: Specialized attorneys draft and review agreements to ensure compliance with Swiss public law and protect both parties' interests.
• Technical Experts: Engineers and industry specialists help define operational requirements and performance metrics.
• Public Users: While not direct parties, they benefit from the services and their interests are protected through service quality requirements.

• Project Scope: Define the exact public service or infrastructure being operated, including technical specifications and service area boundaries.
• Legal Framework: Review relevant federal and cantonal regulations governing the specific sector and type of concession.
• Financial Model: Prepare detailed revenue projections, operating costs, and proposed fee structures for the concession period.
• Performance Metrics: Establish clear service standards, maintenance requirements, and quality indicators.
• Risk Assessment: Map out operational, financial, and regulatory risks with corresponding mitigation strategies.
• Documentation: Gather permits, licenses, and technical certifications needed for operation.

• Parties and Purpose: Clear identification of the granting authority and operator, plus detailed scope of the concession.
• Duration and Territory: Specific term length and geographical boundaries of operations under Swiss jurisdiction.
• Operating Rights: Detailed description of granted rights, permitted activities, and service requirements.
• Financial Terms: Fee structures, payment schedules, and revenue-sharing arrangements.
• Performance Standards: Measurable service quality metrics and reporting requirements.
• Termination Conditions: Grounds for early termination and handover procedures.
• Dispute Resolution: Swiss arbitration or court jurisdiction specifications.

A Concession Agreement differs significantly from an Agency Agreement in the Swiss legal framework. While both involve one party acting on behalf of another, their scope and purpose are quite distinct.

• Authority and Control: Concession Agreements transfer operational rights for public assets while maintaining government ownership. Agency Agreements merely authorize one party to represent another in specific transactions.
• Duration and Scope: Concessions typically run for decades and involve substantial infrastructure projects. Agency arrangements are often shorter-term and focused on specific business activities.
• Regulatory Oversight: Concessions face strict public law requirements and government supervision. Agency relationships primarily operate under private law with lighter regulation.
• Risk and Investment: Concessionaires must make significant capital investments and bear operational risks. Agents usually face limited financial exposure and act more as intermediaries.