The Municipality of Belo Horizonte has signed the concession contract for the municipal street lighting public private partnership (PPP) project. IP Consórcio Belo Horizonte was selected as the preferred bidder for the project.

As we reported in early May, two teams submitted proposals for the project. These were:

• Consórcio IP Belo Horizonte: Construtora Barbosa Mello S.A., Construtora Remo Ltda., Planova Planejamento Construções S/A and Selt Engenharia Ltda. 
• Consórcio FM Rodrigues/Brasiluz/Conasa/Urbeluz-BH: FM Rodrigues Ltda., Brasiluz Eletrificação e Eletrônica Ltda., Conasa – Companhia Nacional de Saneamento and Urbeluz Energética S/A.

IP Belo Horizonte submitted the best proposal, which includes a monthly payment of R$4.158 million (US$1.18 million). The maximum value for the monthly payment was established at R$6.151 million (US$1.75 million)

The project involves the provision of public lighting services, including the development, modernization, expansion, operation and maintenance of the municipal street lighting system.

The concession contract will be for a period of 20 years and it has a total value of R$1.4 billion (US$397.8 million).