Arguing that this is to do with a business operating contract and not a concession, criticism from the authorities of the Autonomous Executive Port Commission were defended. Although the company had promoted the tender in March 05/2015 "Selecting two operators to provide the service of ground support and flight dispatch of aircraft to airlines and general aviation", the procurement was made without following the Law on Procurement of Public Administration (LACAP).

"..There is opinion that the LACAP is not necessary, it is not a purchase. it is not a concession, it is a business operating agreement, which is totally different, " justified Vanegas."

Laprensagrafica.com reports that "... Sources who followed the case -and asked for their identities to be withheld -- state that the CEPA should have applied the LACAP since it is a concession of services and, under Article 130 of this, 'the provision of public services is one of the three types of concession contracts regulated by this law " and Article 133 states: 'The way to select a concessionaire for any type of concession contract is by tender, and it must be governed by the provisions governing procurements in this law. '"

Source: laprensagrafica.com

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More on this topic

Reforms to La Union Port Concession

July 2013

Just like in a never ending story, there are now plans in El Salvador to modify the legal framework regulating the conditions of the tender process, which is already underway.

The aim is to avoid future conflicts which could lead to subsequent international arbitration. For this reason the Salvadoran Congress and Executive Port Commission (CEPA) is starting a process to discuss the law next week.

Tender for Stevedoring Services in Puerto de La Union

October 2012

The Autonomous Executive Port Commission of El Salvador is putting out to open tender, the provision of stevedoring services for the year 2013 at the Port of La Union.

The Autonomous Executive Port Commission (CEPA), through its Procurement and Contracting Institutional Unit (UACI) is promoting the open tender CEPA La-01/2013 CAFTA, entitled "Recruitment of a legal entity for the provision of port services at the Port of La Union, for the year 2013 ", so as to select the bidder with whom the ECA will award the contract in question.

Puerto La Union will be tendered in 2012

October 2011

The Autonomous Executive Port Commission (CEPA) is working on the conditions for the tender for the concession of the port terminal.

A group of professionals are already working on the tender documents and a draft contract which should be completed late this year or early in 2012, said Enrique Cordova, president of CEPA.

Law On Port Concession in El Salvador

August 2011

Members of the Finance Committee have reached a consensus on the concession system to be used for operations at the La Union port.

Almost three years after the inauguration of the terminal, and after losses close to a million dollars a month, ministers have reached a consensus and believe that the conditions have been set, ready for the project to be approved in the Legislature Assembly as soon as possible.