Study: Rio has potential for US$13bn in infra PPPs
Rio de Janeiro state could see up to 41.1bn reais (US$13.1bn) in tenders launched over the next year for infrastructure public-private partnerships and concessions, according to a study carried out by the state's industries federation Firjan.
Firjan identified 126 potential state and municipal projects requiring investments over the next 25 years.
While the process of awarding a contract usually takes about 18 months, the federation feels it is possible to cut this down to eight months, according to a Firjan release.
"We need to create conditions to attract the private sector by assuring legal and financial security as well as well-structured plans," said the manager of infrastructure studies for the federation, Riley Rodrigues.
According to federal savings bank Caixa Econômica Federal VP Roberto Sant'Anna, the federal government will soon be announcing its municipal concession financing plan for the state, the release said.
POTENTIAL PROJECTS
A total of 22.4bn reais in PPPs and concessions could be launched at a state level within the next year. They include 14.2bn reais for highways, 6.78bn reais for state water utility Cedae, 1.04bn reais for a customs logistics center, and 450mn reais for the expansion of metro line No. 2, according to the study.
In addition, tenders for some 18.7bn reais in investments at a municipal level could be launched in the state, according to Firjan.
For the city of Rio de Janeiro, potential projects could involve investments of 11.7bn reais, including for solid waste management, 1.4bn reais for public lighting, 138mn reais for traffic management and an urban mobility initiative involving electric vehicles that has yet to be budgeted, the study shows.
Potential contracts outside the city could involve investments of 3.49bn reais for solid waste management and street cleaning, 1.44bn reais for public lighting, 410mn reais for basic water and sewerage services, and 120mn reais for traffic management.
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