Tis series provides an overview of successful public-private partnerships in various infrastructure sectors,where IFC was the lead advisor.
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On August 17, 2010, the Bahia Norte consortium, winner o thebid or the concession o the BA-093 interstate highway system,signed a contract with the Bahia State Government in Brazil tostart road construction. The concession, the frst to be structuredor an entire highway system, will oer an integrated, efcient,and well-coordinated solution to the transportation problems othe state, increasing the productivity o its industry and attract-ing new players to Bahia’s industrial centers, which include oneo the main petrochemical hubs in South America.
Brazil: BA-093 Highway System
Nine local and international players participated in the auction o the highway systemconcession contract, the most competitive one in Brazil since 2007. The Bahia Norteconsortium, composed o Invepar (a subsidiary o OAS Construtora) and Odebrecht,won the bid with a tari o R$2.32 per axel, a discount o 31 percent rom the baseprice o R$3.35. Expected capital expenditures or the project are R$805 millionor the repair, rehabilitation, and expansion o the road network. The project willalso mobilize R$800 million in operational costs over 25 years, as well as create asignifcant number o jobs.The Brazilian Private-Sector Participation (PSP) Program—a partnership o IFC, theBrazilian Development Bank (BNDES), and the Inter-American Development Bank(IDB)—was lead advisor to the government o the State o Bahia or the structuring othe project.