Almost Four years passed for the seventh and last Public-Private Partnership (PPP) contract to be signed this Monday for road infrastructure. It is the so-called circuit 6which includes the construction of Route 6 and the San Ramón bypass, with a planned investment of US$ 199 million.
The work that was awarded to the Cuchilla Grande Group, made up of the Uruguayan Construcciones Viales y Civiles (CVC) and the Spanish Rover Alcisa, includes a 78-kilometre section that runs from Montevideo, passing through Canelones and even part of Florida, with rural and urban sections. It is estimated that Work will begin in March and will be completed in approximately two and a half years.
“This is going to improve the quality of the pavement and also give it that road safety that we are insisting on”, said the Minister of Transport and Public Works, José Luis Falero, during the signing of the contract. Interventions are also planned in the infrastructure of 16 bridges within the route.
The representative of the winning group, Diego García, highlighted the support of the financiers, the Inter-American Development Bank, BBVA and Banco República for the realization of a route that he defined as “quite forgotten in the history of Uruguay”. In addition, he pointed out that the first 10 kilometers included in the contract are double track on Instructions Avenue, and from the junction of Route 7 forward, single track.
MTOP
The PPP contract was signed at the Ministry of Transport and Public Works.
Asked about the progress of the other works by PPP, Minister Falero reported at a press conference that “they come very well” and “in normal times.”
Last month, the PPP contract was signed between the MTOP and the Autovías Cinco SA consortium made up of Aldesa Construcciones, Coalvi Renovables and Ramón C. Álvarez, for route 14, Sarandí del Yí – Lascano section, and route 15, Lascano – Velázquez section.
The works that will be carried out in the departments of Florida, Lavalleja and Rocha, cover a total of 183 kilometers, for an amount close to US$ 345 million. The term of the contract is 20 years from the signing of the act of taking possession.
In the middle of last year, the contract was signed that will allow the rebuilding route 9, from Rocha to Chuy, as well as route 15, from Rocha to Velázquez. The PPP also includes the construction of a connection between both routes for the diversion of heavy loads.
Also under this modality are the circuit made up of routes 12, 54, 55 and 57 (in Colonia), and another that includes route 14 from Mercedes to Sarandí del Yí. Another set of PPPs that began to be executed last year will allow the duplication of route 3, between routes 1 and 11 (San José). The circuit of routes 21 and 24 Nueva Palmira is already finished.
The commitment to the Cremaf
At the beginning of the current administration, the decision was to specify all the PPPs that were already planned by the Broad Front government, but not to use this option for new road contracts. The director of the Office of Planning and Budget (OPP), Isaac Alfie had pointed out that PPPs had been “very onerous for the State”, given the small size of the projects, the inexperience, and the “excessive demands” in the contracts that increased “very much the costs”.
Thus, it was decided to bet on another modality for carrying out road works, such as Contracts for Rehabilitation, Maintenance and Financing Contracts (Cremaf). For example, last December two tenders were opened for the construction of the double lane on route 5. The call that includes two central sections of that highway (between kilometers 69 and 133) will be awarded in February.
In two other sections, the lane duplication works will be carried out by private firms that already have contracts in force with the state. This is the part that goes from Canelones to the town of Mendoza in Florida, and from Sarandí Grande to Durazno.
Falero assured this Monday that the commitment was “accelerate the process” and that “was done” with a call for bids in “record time”. “Everything we can advance on route 5 regardless of UPM is more than necessary because it is one of the routes that is most congested,” he said.
a third call in the process of Cremaf modality corresponds to the double route that is projected on route 9, from Pan de Azúcar to Rocha, and which is expected to be awarded in March. “If everything goes well, we will be awarding and starting to execute in the middle of the year,” said the minister.
Is This modality implies a term to carry out the work of two years and the private sector charges the State up to 70% of the total amount, depending on the progress. At the end of it, the private company takes care of the maintenance, and the State pays a 10-year contract. The responsibility of the construction company on the route is 11 or 12 years. It is a kind of smaller PPP and easier to elaborate. It also has the possibility of local financing, which also simplifies it.
Investment in 2022
On the other hand, on route 6 there are other works planned in sections located to the north that will reach route 27 in Rivera. This initiative and that of route 5 are commitments assumed by the president, Luis Lacalle Pou, with the neighbors of the northeast of the country, the sub-secretary of Transport and Public Works, Juan José Olaizola, told the Presidency portal days ago. “Practically, we will arrive with route 6 to the border with Brazil”, he affirmed. He further informed him that they are running jobs in 60 of the 156 included in the forecast for the entire period.
Asked about the budget and the objective of the portfolio for this year, the undersecretary stated that the projected investment is US$ 870 million. “We hope to be able to comply with this plan, because it is very important for the generation of jobs and as an economic injection for the country,” he said. In In 2021, the executed investment was US$ 535 million.
