Skip to main content

Brazil infrastructure concessions tempt investors

Private sector players are interested in US$45.8 billion of infrastructure concession projects planned as part of the second round of the country's logistics improvement program PIL. According to planning minister Nelson Barbosa, who said each of the concessions had attracted the attention of at least two potential bidders, the government was working to award tenders based on the highest canon payment offered as opposed to the lowest tariff and to reduce the 49 per cent participation of national airport
June 22, 2015 Read time: 2 mins
Private sector players are interested in US$45.8 billion of infrastructure concession projects planned as part of the second round of the country's logistics improvement program PIL.

According to planning minister Nelson Barbosa, who said each of the concessions had attracted the attention of at least two potential bidders, the government was working to award tenders based on the highest canon payment offered as opposed to the lowest tariff and to reduce the 49 per cent participation of national airport authority Infraero in airport concessions.

The transport ministry is planning 15 federal highway concessions worth around US$16.1 billion in total. Four tenders valued are expected to be awarded by year-end, and 11 are planned for 2016.

Based on the lowest tariff to be charged, tenders for this year's four phase one projects are nearly ready to be launched and expressions of interest for feasibility studies for the 11 phase two projects are due on 10 July.

A total of US$3.9 billion is earmarked for new port concessions, which have been split into two sections, one for 29 areas to be launched this year and the second for 21 terminals at various ports, to be launches during the first half of 2016.

Expressions of interest for the development of feasibility studies to prepare four upcoming international airport concessions worth a total of US$2.7 billion are due on 29 June. The federal audit court TCU expects to finalise approvals in the first half of 2016 and concession tenders, which would be awarded based on the highest canon payment offered, should be launched by March.

Brazil is also preparing five railway concessions valued at US$22.7 billion. The country’s transport ministry will shortly be launching an expression of interest phase to develop an updated concession model to r4eplace the current open-access model.

Related Content

  • May 26, 2016
    Viaduct deck renewal creates detour dilemma for MassDOT
    As the deck renewal of the I-91 viaduct in Springfield gets underway, David Crawford looks at the preparation and planning to ease the resulting traffic congestion. Accommodating the deck renewal of a 4km-long/four-lanes in each direction viaduct in the heart of Springfield (Massachusetts’ third largest city), has involved the state’s Department of Transportation (MassDOT) in a massive exercise in transport research and ITS-based area-wide preplanning and traffic management. Supporting a workzone of well ab
  • October 17, 2013
    Mena states plan $225bn transport projects
    The Middle East and North Africa (Mena) region has a US$225 billion rail, metro, tram and bus rapid transit (BRT) capital investment programme to 2030, according to a report by Meed Projects. There are now 108 separate railway, metro, monorail, tram and BRT projects under bid, under design or under study in fourteen Mena countries. More than 50 of them, with a combined value of almost $140 billion, are in the Gulf Cooperation Council (GCC).
  • February 1, 2012
    Infrastructure funding and road user charging – debate continues
    Jack Opiola provides an overview of the ongoing debate over US infrastructure funding and the progress – or lack of it – towards vehicles miles travelled road user charging. The future funding of transportation and mobility infrastructure is attracting increased attention. There has been sharp debate in the US, where landmark reports from the National Surface Transportation Infrastructure Financing Commission and the National Surface Transportation Policy and Revenue Study Commission both stated that the cu
  • May 24, 2013
    Japanese airport wins transport achievement award
    The International Transport Forum’s (ITF) global summit of Transport Ministers has recognised Osaka’s New Kansai International Airport Company (NKIAC) for its model of funding key transport infrastructure, with the award of its 2013 Transport Achievement Award. Established by the Japanese government in 2012, NKIAC integrated the operation of Osaka’s two major air hubs, Kansai International Airport (KIX) and Osaka International Airport (ITM). Under this new structure, funding for a dedicated low-cost carrier