Tenders to modernize the cargo terminal at the Monsenor Romero International Airport and to implement the video surveillance system on 143 kilometers of road in El Salvador, both through PPPs, were suspended due to the health emergency.
The international tender to light and provide a video surveillance system on 143 kilometers of road was announced in February this year, and gave interested companies four months to submit technical and financial proposals. See "PPP for Road Lighting and Surveillance".
March 13 is the new date for the receipt of bids in the tender for the financing contract, design, construction and operation of the works of the Cargo Terminal at El Salvador's Oscar Romero Airport, under the format of Public-Private Partnership.
The original call for bids set February 12 as the deadline for receipt of proposals, however, because several companies have expressed interest in participating, it was decided to postpone until March 13 the delivery of tenders.
In El Salvador, the government rejected the draft tender and the economic model proposed by Fomilenio II for the management of the cargo terminal at the Monseñor Romero Airport.
Fomilenio II had planned to launch the tender for the Public Private Association (APP) in the last months of 2018, however, the Executive Port Authority (CEPA) did not approve the tender bases because they argue that they have new data that validate their ability to manage this asset directly.
In El Salvador, a union of employees at the Monseñor Romero airport opposes the project to expand the cargo terminal, which is expected to be developed through a public-private alliance.
The project to expand the cargo terminal of the air terminal, under the concept of a public-private partnership (APP), already has a draft of the tender bases, however, is rejected by the Union of Workers of the Airport Industry and Related (SITTEAIES).
In El Salvador, consultancy began to structure the project to install a lighting and video surveillance system on 140 kilometers of roads in four regions.
From the Fomilenio II statement:
FOMILENIO II and Deloitte Consulting S.L.U. signed the order to start the consultancy to structure the Public-Private Partnership (PPP) lighting and video surveillance project. This PPP consists of financing, installing, operating and maintaining lighting, poles, underground cabling, video surveillance cameras and monitoring rooms for selected road sections that conform an approximate length of 140 kilometers.
$19 million is needed for the expansion of the cargo terminal at the Monseñor Romero Airport in El Salvador, and companies interested in participating in the public-private partnership are being sought.
Authorities at the Ministry of Public Works and Fomilienio II, informed that one of the projects that will be developed under the PPP modality is the "...Improvement of infrastructure, processes and equipment at the current AIESMOARG Cargo Terminal, to increasethe volume of import and export cargo byapproximately40%, which will allow a greater flow of goods and services. The project contemplates the possibility of expansion and construction of a Cargo Terminal."
Through an agreement with FOMILENIO II, $11 million will be allocated for the construction of three hotels and a treatment plant in the municipality of Chiltiupán.
From a statement issued by Fomilenio II:
The Alliance El Zonte signed an investment agreement with FOMILENIO II and the municipality of Chiltiupán for $10.8 million that will improve the quality of life of more than 2,000 people in the locality, avoid pollution of the El Zonte River, maintain the attractiveness of the beach area and encourage a greater influx of tourists.
In the four years that the law of associations between the State and private companies in El Salvador has been in effect, not a single infrastructure project has been able to materialize using this business scheme.
Although there are at least seven infrastructure projects that were initially proposed as being those with the highest priority and ideals to be developed under the public-private partnership scheme and with funding from Fomilenio II, none of them has managed to materialize.
Through a public-private alliance, Fomilenio plans to make improvements to the cargo terminal at El Salvador's international airport, Monsenor Romero, and in a second phase, to invest $44 million in its expansion.
Fomilenio authorities detailed that they have completed the feasibility studies and determined that the first project to be carried out under the figure of Public - Private Alliance is the extension of the cargo terminal at the International Airport Monsignor Óscar Arnulfo Romero y Galdámez.
Obtaining a building permit can require filling out 21 pieces of paperwork in eight different entities, which can take up to 276 business days before a response is received.
Fomilenio II will finance feasibility studies for four treatment plant projects and a one technical assistance project, all submitted by private companies, estimated at $32 million.
These five studies will have a cost of approximately $570,000, provided by FOMILENIO II, and will be used to determine the feasibility of public investments.Collectively, investors plan to invest $31.7 million.
In El Salvador the possibility is being evaluated of making improvements needed by the airport under the guise of a public-private partnership, under the Fomilenio II program.
The executive director of Fomilenio II, Wiliam Pleitez, told Elmundo.sv that"...The pre-feasibility study to determine improvements at the airport ... has already been authorized. "
Registration has been opened in El Salvador for investment projects that require complementary public infrastructure works to be financed with funds from the Program Apuesta por Inversiones´ Fomilenio II.
There will be about $75 million available for the API Investment Program, part of the $277 million donated by the US government through the Millennium Challenge Corporation (MCC), supplemented with $88 million contributed by the Salvadoran government, making a total of $365 million for investing in a period of 5 years.
A wind farm, street lighting, improvements in the airport's cargo terminal, a technology park and improvements in customs offices, are the five proposals which have been passed on for a further stage of analysis.
The five projects will be evaluated in a second instance to determine whether they are viable for development via public-private partnerships using funding from the Fomilenio II program.
Construction of roads, renovation and expansion of airports, an industrial park in Zacatecoluca and works at the border crossings in La Hachadura and Anguiatú are the top five proposals to be developed using funding from the U.S. aid program.
The proposals presented to the Millennium Challenge Corporation (MCC) will be developed through public-private partnerships, and will receive technical and financial support for the creation of the partnerships. Wiliam Pleites, executive director of the board of FOMILENIO II, presented the first five projects and said that three new proposals will be presented to be analysed and approved by the MCC.
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