By Christian Fernandes Rosa and Beatriz Wehby
In the last days of 2019, the Ministry of Infrastructure presented details of the portfolio of concession projects in the transport area planned for the year 2020. The goal set by the Brazilian government was to contract R$101 billion in private investments in the sectors of ports, airports, highways and railways.
Among federal and São Paulo State tenders, the highways area alone is expected to generate R$65 billion in investments over the next three decades. The calculation includes federal and São Paulo State highway concessions, but other state programs are being structured.
For 2020, nine tenders have already been scheduled for the highway sector:
| Highway | Estimated Capex | Call forecast |
| Piracicaba-Panorama | R$ 14 billion | January 8th |
| BR-101/Santa Catarina | R$ 2.9 billion | February 21st |
| BR 153/Goias/Tocantins | R$ 7.5 billion | 3rd trimester |
| BR-262/Minas Gerais/Espirito Santos | R$ 9.1 billion | 3rd trimester |
| BR-163/230/Mato Grosso/Pará | R$ 1.7 billion | 3rd trimester |
| BR-116/Rio de Janeiro/Sao Paulo | R$ 17 billion | 4th quarter |
| BR-040/Minas Gerais/Rio de Janeiro | R$ 2.6 billion | 4th quarter |
| BR-116/493/Rio de Janeiro/Minas Gerais | R$ 7.93 billion | 4th quarter |
| Coastal Highways | R$ 3 billion | 2nd quarter |
Source: PPI, Artesp, B3
According to the Ministry, the concession of BR-116/465/101 (Highway Dutra) should be the asset that will attract the most interest from investors, as the stretch connects the two largest metropolitan regions in the country, Rio de Janeiro and São Paulo, and also serves 34 cities along the way. The federal government intends to hold the auction by the end of the year.
The variety of tenders – projects with different sizes in terms of financial commitment – should facilitate entry into this sector for new economic groups.
The Public Law & Compliance team at Mazzucco & Mello Advogados has extensive experience in bidding processes for highway concessions and will continue to monitor the progress of these projects throughout Brazil. We are available to provide any clarifications regarding the legal model and economic and financial structuring rules for these partnerships between the Public Authorities and the private sector.