Odebrecht submits best proposal for COPASA water PPP
Odebrecht Ambiental submitted the best proposal for the R$501 million (US$216 million) tender for a public-private partnership contract to expand Manso river water supply system near Minas Gerais' capital Belo Horizonte.
Brazil's second largest water utility, Minas Gerais' COPASA received proposals on September 27th for the tender process:
- Odebrecht Ambiental;
- Saab and Queiroz Galvão;
- Consortium formed by Abengoa Concessões Brasil Holding, Pampulha Engenharia and PB Construções; and
Odebrecht Ambiental submitted the best proposal because it asked for the lowest annual payment.
- Odebrecht - discount of 8,15%
- Abengoa, Pampulha and PB - discount of 7,10%;
- OAS - discount of 2,20%; and
- Saab and Queiroz Galvão - discount of 2,10%.
The first annual payment had an approximate value of R$ 122 million (US$55 million). In the last year, the concessionaire would receive approximately R$ 79 million (US$35.6 million).
The Manso river system supplies water to the metropolitan region of Belo Horizonte. The concession involves the installation, operation and maintenance of approximately 15km of pipeline and the expansion of the capacity of water pumping stations and reservoirs during 15 years.
Belo Horizonte is the capital and largest city in the Brazilian state of Minas Gerais, located in the southeastern region of the country.
The Brazilian firm, Estruturadora Brasileira de Projetos S.A. (EBP), was responsible for the execution of the feasibility studies and is entitled to recover from the winning bidder R$2,700,000.00.