Brazil's São Paulo state moves ahead with US$5.9bn in rail transport initiatives

The government of Brazil’s São Paulo state is moving ahead with initiatives to attract fresh investments of up to 32 billion reais (US$5.9bn) for the expansion of its passenger rail transport system.

State authorities recently authorized 418mn reais in credit from government budget to be allocated to subway operator Companhia do Metropolitano de São Paulo (CMSP).

Of that amount, 154mn reais will go toward ongoing expansion works on Line 2, Green. The remaining funds will support other projects, with details of the allocations published in the state’s official gazette via this link.

São Paulo has country’s largest subway system and is currently undergoing an ambitious expansion phase.

Line 19 tender

Later this month, CMSP will hold a tender for the construction of Line 19, which is expected to require 19.5bn reais in investments.

The contracts includes preparation of the executive project and execution of civil works for a 17.6km line with 15 stations and a maintenance yard.

BNamericas sources said major construction companies are analyzing the contracts, including Andrade Gutierrez, Álya, OHLA, Acciona, Mendes Júnior and Sacyr.

The tender will be divided into three lots and will be offer as of September 22, 23 and 24.

Line 19 will connect Guarulhos to São Paulo and will include 31 trains. Estimated daily demand is 630,000 passengers.

Intercity train PPP

In parallel, the state is preparing a public-private partnership (PPP) for an intercity passenger train between São Paulo, state capital, and Sorocaba.

“We are adjusting the final details of the intercity train tender linking the city of São Paulo to Sorocaba and we want to at least publish the notice of this contract by the end of this year, with the possibility of holding the auction next year,” Rafael Benini, secretary of partnerships and investments of São Paulo state government, told BNamericas.

The PPP is expected to involve nearly 12bn reais in investments for the construction of a 100km network. 

Passenger traffic

Between January and June, Brazil’s 21 operational rail systems recorded 1.264 billion passenger trips, a 0.4% year-on-year increase, according to passenger transport association ANPTrilhos.

Of that total, 972.9mn trips were registered in São Paulo state.

(The original version of this content was written in English)