Guatemala Prepares Highway Tender

While options are being evaluated to terminate the contract with Odebrecht to build the CA-2 Occidente road, the government will be putting out to tender maintenance of the sections that were left unfinished.

Wednesday, February 15, 2017

The Ministry of Communications, Infrastructure and Housing will first make a "visual inspection" to determine the actual state of the road, both the sections which have been completed but damaged and sections that have not yet been completed. 

Subsequently, said the head of the CIV, Aldo García, "... while the contract with Odebrecht is being settled, we will be looking for companies to provide maintenance on the unfinished work between Cocales, Suchitepequez, and Tecun Uman, San Marcos. The process will also include putting the works out to tender again in three different sections." reports that "...The comptroller Carlos Wiggles indicated that in the coming days the lawsuit filed by the CGC in June 2016 could be extended because at that time there was only a difference of three percent between the physical and financial progress of the project. He explained that if the criminal complaint is broadened they would take into account the contract amendment and the "impacts" that this could represent;. technical deficiencies identified in the implementation of the work will also be included."

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More on this topic

Road Expansion Remains on Paper

October 2018

The Guatemalan government will liquidate the works contract to extend 100 km of the CA2 East highway, which connects the department of Escuintla and the border with El Salvador.

The Ministry of Communications announced that this month they plan to liquidate the contract with Sigma Constructores, which had as objective to expand from two to four lanes the stretch of road that goes from Escuintla and ends at the border Ciudad Pedro de Alvarado, Jutiapa Department.

Road Tender Postponed

March 2018

Following the Guatemalan government's liquidation of road works contracts with Brazil's Odebrecht, it has been announced that the date to submit bids in the new contests will be April 6.

The presentation of offers in the new competitions had been set for March 23, and after the Ministry of Communications completely rescinded the contracts with the construction company Odebrecht, representatives of the executive announced that the proposals for the works on 140 kilometers of the CA-2 road, will be received on April 6. 

End of Odebrecht´s Story?

March 2018

After multiple attempts to liquidate the contract and collect the bonds for the road works that were awarded to the Brazilian construction company, the Guatemalan government has finally received the money and will be able to tender the works again.

Representatives from the executive board announced that they have already received two bonds corresponding to the road works for 140 kilometers of the CA-2 highway, meaning that the path to bidding for new contracts is practically open.

Contract with Odebrecht Ended and New Tender Launched

October 2017

The government of Guatemala has agreed with the Brazilian construction company to bring forward the termination of contract for extending the CA-2 Occidente highway and will launch a tender for three contracts to complete the remaining 97-kilometer stretch.

The contract was awarded to construction company Odebrecht in 2012, and after the corruption cases the that it was involved in came to light, the government of Guatemala decided to negotiate the early termination of the contract. The head of the Ministry of Communications, Infrastructure and Housing (CIV), Aldo García, told that "... because of the reservation there has been over the investigation of this case, it can only be anticipated that the agreement reached with the company is under legal review, a company which in 2012 obtained the contract for the extension of the CA-2 Occidente highway for US $399 million."

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