President Jair Bolsonaro recently announced that, in the first half of this year, ten port areas will be subject to concessions. Next March, a face-to-face auction is scheduled for the conclusion of a leasing contract of an area of approximately 74,000 m², located inside the Organized Port of Vitória, in the state of Espírito Santo, for the construction of the Liquid Bulk Terminal. The criterion of judgment will be the greater value of concession, a kind of rent paid to the public entity for the exploration of the area. The leasing term will be 25 years and the estimated investment is R$ 128.2 million.

In addition to this, the auction of three areas within the Organized Port of Cabedelo, in Paraíba, dedicated to moving fuels, is also scheduled for March. It is estimated investment of R$ 36.4 million and a term of 25 years of leasing. As of April, there are six other areas to be auctioned by the Federal Government, totaling ten port areas located in Pará, five in Belém, and one in Vila do Conde.

According to lawyer Raphael Zaroni, investors should be aware of the bidding documents. “Faced with projections, potential investors should be aware of the dates announced by the National Waterway Transportation Agency (ANTAQ) for the presentation of proposals and possible challenges to the bidding documents, especially for the presentation of bids scheduled for April 2nd, 2019. The criterion of judgment will also be the highest concession value,” he says.

All of these initiatives are part of the Investment Partnership Program (PPI) created by Law 13,334 of 2016 to expand and strengthen measures for the implementation of public infrastructure and privatization projects proposed by former President Michel Temer and perpetrated by President Jair Bolsonaro.

In addition to the port area auctions, the auction of 12 Brazilian airports located in the Northeast, Southeast and Midwest regions is also scheduled to take place in March. They account for 9.5% of the domestic market and the estimated total investment exceeds 2.5 billion Reais. The Brazilian Civil Aviation Agency (ANAC) has already released the dates for the presentation of clarifications and proposals. The auctions will take place at the headquarters of B3 SA – Brasil, Bolsa, Balcão in São Paulo. Investors interested in following the schedule of projects included in the PPI or still in the inclusion/study phase can access the website for more information on the expected dates and stages for the auctions and hiring.