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

  • December 20, 2016
    FTA awards funding to build TEX Rail in Texas
    The US Department of Transportation’s Federal Transit Administration (FTA) has made a US$499 million federal grant agreement with the Fort Worth Transportation Authority (FWTA) to build TEX Rail, a commuter rail line between downtown Fort Worth and the Dallas Fort Worth International Airport. The project will link three of the region’s major activity centres and provide an alternative to travel on the area’s congested roads. The 26.8-mile commuter rail line will serve downtown Fort Worth, the City of Gra
  • June 6, 2014
    Monitoring during construction reveals benefits of new expressway
    David Crawford reports on how the authorities in New Zealand are using Bluetooth technology to monitor the effects of a new expressway as it is being constructed. New Zealand Highway Agency (NZHA) is using Bluetooth-based vehicle detection to assess the impact of its biggest road building project as the various sections are completed. The large-scale deployment of a Bluetooth-based vehicle detection system is making substantial contributions to traffic data needs in progressing the new Waikato Expressway, a
  • July 19, 2018
    Cost benefit: Toronto retimings tame traffic trauma
    Canada’s largest city reckons that it is saving its taxpayers’ money simply by altering the way traffic lights work. David Crawford reviews Toronto’s ambitious plans to ease congestion Toronto, Canada’s largest metropolis (and the fourth largest in North America), has saved its residents CAN$53 (US$42.4) for every CAN$1 (US$0.80) spent over a 2012-2016 traffic signal retiming programme, according to figures released by its Transportation Services Division. The programme covered 1,275 signals (the city’s
  • March 14, 2014
    Chile plans feasibility studies to extend three metro lines
    Chile's transport ministry plans to launch feasibility studies to extend three metro lines in the capital, Santiago. The plans include expanding the north-south line 2 south towards El Bosque and San Bernardo neighbourhoods and line 3, currently under construction, north to Quilicura, according to transport minister Andrés Gómez-Lobo. The other proposal is to expand further south line 4, which connects Santiago's eastern neighbourhood of Providencia with the town of Puente Alto to the southeast of the