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.
The government of El Salvador has changed his mind regarding a PPP for the expansion of the International Airport, prompting the withdrawal of technical support for the project from the US.
According to the Technical Secretary of the Presidency, Roberto Lorenzana, the argument to dismiss the PPP is based on the fact that following this business model would only bring the State rental income for 25 years, while the airport currently receives $40 million a year in net income.
The Government has not yet decided how it will attain the resources needed and how it will carry out the expansion of the San Salvador International Airport.
According to authorities, there are 4 options for financing this expansion: a public-private partnership (PPP), a loan from multilateral banks, investment funds or lease to an airline building its own terminal.
A new wind farm and the expansion of the International Airport of El Salvador, are the first two projects to be conducted under this system.
"Today (yesterday) I called a meeting with the president of CEPA (Autonomous Executive Port Commission) and CEL (Executive Hydroelectric Commission of the Lempa River) to immediately structure the first two projects: the expansion of the international airport and the wind project which the CEL is working with," said Alexander Segovia, Technical Secretary of the Presidency.
The expansion of the International Airport of El Salvador and energy projects are some of the works that the State plans to make in conjunction with private companies.
In reference to the Public-Private Partnerships Bill under study in the Legislature, the Technical Secretary of the Presidency, Alexander Segovia, said there are many infrastructure needs that the state can not meet in the short or long term and in which private enterprises could intervene, "under appropriate legislation."
The Goverment of El Salvador has decided that the expansion of the International Airport of El Salvador will be conducted via a public-private association.
The technical secretary of the presidency announced that they decided to use this mechanism due to the “large resources required by the expansion”.
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