The Ministry of Finance recently established a working group to draft a new model for partnerships between Brazilian public entities and the private sector for the implementation of strategic projects of national significance. The working group's draft bill seeks to create a fast-track public-private partnership model which is more responsive, efficient, flexible and transparent.
In Brazil, there is a substantial gap between the number of people using public transport in the cities and the available public infrastructure. This issue has become a priority for all levels of government. As such, the country is looking for ways to tackle this issue, including establishing a centralised authority in metropolitan regions, developing a transport network restructuring model and establishing a long-term urban mobility plan.
The federal government recently issued a new federal decree in order to regulate expression of interest procedures, which allow private companies to perform feasibility studies for infrastructure projects at their own expense, on authorisation by the relevant government entities. The use of such procedures in new infrastructure projects has been shown to increase public acceptance and project credibility.
The Anti-corruption Law has expanded the list of possible penalties and set out new administrative and judicial penalties which may be imposed on private parties in cases of fraudulent practice in connection with public procurement proceedings and related government contracts. Moreover, the act now imposes joint liability on controlling, controlled and affiliated companies, as well as on companies that are members of the same consortium.
The new Anti-corruption Law introduces criminal, civil and administrative liability for companies and individuals that corrupt or bribe public officials. However, when it comes to blacklisting, the new law expressly sets out that public authorities may also impose the penalties provided under the Public Procurement Act; thus, the rules regarding blacklisting provided in the Public Procurement Act will also apply.
The National Agency for Waterway Transportation (ANTAQ) has initiated a public consultation proceeding in preparation for the bid to lease the Port of Rio de Janeiro Wheat Terminal. The terminal handles and stores vegetal solid bulk (ie, wheat) not packed in containers. All contributions must be filed before 6:00pm on November 27 2014.
In addition to increased investments stemming from the concessions of major federal airports, the government has enacted policies to expand regional airports, including the General Airport Infrastructure Concession Plan and proposed Provisional Measure 652. Both initiatives aim to foster regional aviation development and increase the use of air transportation in Brazil.
The National Telecommunication Agency (ANATEL) has submitted for public consultation draft bid documents in preparation for the public auction of the 700 megahertz band for fourth generation (4G) mobile services. According to ANATEL, 4G mobile services will be fully implemented by the end of 2017.
Public consultation on the draft ordinance approving the General Airport Infrastructure Concession Plan recently closed. The plan aims to establish guidelines and models for the operation of public airports, and is part of a series of measures adopted to encourage investment in the modernisation of national airport infrastructure.
During the past five years, the federal government has increased public procurement proceedings for goods and services in the IT sector by approximately 106%. Such growth represents 7% of all government expenditure, equal to approximately $2.3 billion. Further opportunities for existing suppliers, as well as any companies interested in entering this market in Brazil, are expected during 2014.
In December 2013 the federal government concluded public procurement proceedings for concessions for the Galeao and Confins international airports, located in the states of Rio de Janeiro and Minas Gerais, respectively. The concessions form part of the government's programme for expanding and improving airport infrastructure and increasing the level and quality of services provided to air transportation users.
Including: Foreign Exchange Controls; Foreign Currency Loans; Governing Law and Jurisdiction; Enforcement of Foreign Judgments; Personal and In Rem Guarantees; Concessionaires of Public Services.