Concession or no concession

All financial analysis on the administration of the La Union Port point to one unmistakable result: the most profitable option is to grant a concession to a private company.

Thursday, August 7, 2008

The construction of the La Union Port will be completed on November 30, 2008. However, the project, considered as strategic to the economic development of El Salvador, may not be ready to function because lawmakers, who have to debate and approve the law that will allow the administration of its services to be put to concession, are still not ready to make a decision.
"This means that we will have invested 160 million dollars in a white elephant," Albino Roman, president of the Port Authority Executive Commission, said sarcastically.

More on this topic

Puerto de La Union Generates Monthly Losses of $100 thousand

May 2011

Although it is not yet operating, the port terminal in salaries alone has an outlay of $100 thousand per month.

Since the start of operations in June 2010, only five boats have been received and about 90 employees have been hired in the areas of maintenance, miscellaneous services and administration among others.

La Union port inaugurated in El Salvador

January 2009

The work was christened with the name "The La Union Port of Central America" and was inaugurated officially, put the approval of concession project in the hand of the Assembly.

El Salvador.com reports: "The decree project established a public - private model for the administration and commercial development of the megastructure, with will the international operator will provide 100% in staring capital in order to set up the mixed situation in the bidding process.

Port concession urgently needed in El Salvador

December 2008

The Salvadoran Foundation for Economic and Social Development asked the Government and Legislative Assembly to approved the concession for the port system.

The entity supported, via a memorandum on the issue, the proposal to give 90% of the administration of the country's two main ports to private hands, while the State mains 10%.

Port concession in El Salvador unresolved

August 2008

The project presented by the Government to the Legislative Assembly proposed the concession of both the La Union and the Acajutla ports to one operator.

CEPA president, Albino Román, said that this is the most appropriate way because it is attractive to big companies and will permit better development of the terminal and will generate income for the country, both from the operation of the port as well as from taxes.

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Comisión Portuaria Nacional

Organization that operates in Guatemala.
Phone: (502) 2419 4800

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