PPI Board includes early extension of Malha Sul concession and re-bidding of Malha Oeste in PPI program

CPPI Resolutions No. 146 and No. 147 were published in the Federal Register on December 24, which qualify the re-bidding of Malha Oeste and the early extension of the concession of Malha Sul in the Investment Partnership Program (PPI). Investments are preliminarily estimated at R$ 10.3 billion.

In July 2020, Rumo Malha Oeste filed a request with the National Land Transportation Agency (ANTT), for adherence to a re-bidding process related to the concession contract entered into with the federal government pursuant to Law No. 13,448 of June 5, 2017, and regulated by Decree No. 9,957 / 2019. The Malha Oeste is controlled by Rumo, which also holds the concessions of the Paulista, North, Central, and South networks. The sections of Malha Oeste run through the states of São Paulo and Mato Grosso do Sul, with 1,973 km of lines, in a 1.00m gauge.

The anticipated extension of Malha Sul seeks to enable private investments in railway infrastructure, with sufficient time for its amortization. This guarantees the continuity of public services for rail freight transportation, with improvement in the operational and safety conditions of the track, in addition to reducing logistical costs. It is also intended to improve the regulatory environment and update the concession contract to more modern practices.

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