BNDES approves funding for Sao Paulo metro line 6

Subscribe to our newsletter and get the latest news and business opportunities in your inbox
BNDES approves funding for Sao Paulo metro line 6

The Brazilian Development Bank, BNDES, has approved public funding for the development of the São Paulo Metro Orange Line 6.

The total investment of the project is estimated at Rs11.4 billion (US$5.1 billion).

BNDES will provide Rs4∙47 billion to the São Paulo state government, which represents 39∙2% of the cost of building the metro line. The state government is providing 13∙9% from its own resources, with the remaining 46∙9% to be met by the consortium 'Move São Paulo', formed by OdebrechtQueiroz GalvãoUTC Participações and Eco Realty Fundo de Investimentos.

The consortium 'Move São Paulo' was the only bidder for the project. It was selected as the preferred bidder in early November 2013. The concession contract involves the construction, operation and maintenance of São Paulo metro Line 6 until April 2039.

Due for completion over the next six years, the 13∙3 km route would run from Brasilândia to São Joaquim, serving a total of 15 stations and operated with a fleet of 20 trainsets. It will link Brasilândia with São Joaquim on Line 1. It is considered one of the most difficult metro lines to build because of the need to tunnel beneath the Tietê River at a depth of more than 60m.

The object of the Public-Private Partnership for Line 6 involves:

  • Necessary expropriations and resettlements
  • Design projects
  • Obtaining of environmental licences for installation and operation
  • Engineering works (tunnels, stations and yards)
  • Acquisition of systems, equipment and rolling stock
  • Operation and maintenance of Line 6 during the concession period
  • Concession period: total 25 year contract, 6 years for implantation / deployment & 19 for O&M
According to demand forecasts, the new line is expected to carry 633 300 passengers/day.
List of country news

Country news

  • June 11, 2014

    Turner & Townsend bolsters presence in Latin America

    Turner & Townsend has announced that in response to continued growth of the business in Latin America over the past 14 years, the firm is opening two new offices in Rio de Janeiro and Bogota. In addition, Turner & Townsend are bolstering the regional team with a new appointment and 11 internal promotions. Read more
  • June 12, 2014

    P2 Brasil raises $407m for Brazilian infrastructure fund

    Brazilian investment firm P2 Brasil has announced that it has raised US$407 million for its P2 Brasil Private Infrastructure Fund III in a filing with the SEC. Read more
  • June 13, 2014

    Sao Paulo municipality publishes waste PPP tender

    The city of Salto in the state of São Paulo has launched a tender process for a concession to manage municipal solid waste through a PPP contract. Read more
  • June 13, 2014

    Curitiba launches tender for metro PPP project

    Paraná state capital Curitiba has issued a tender process for a 35-year contract to develop and operate Curitiba's first metro through a Public private partnership PPP contract. Read more
  • June 16, 2014

    Parana awards highway PR 323 PPP project

    The state of Paraná in Brazil has awarded the state highway PR-323 PPP project to the consortium Consórcio Rota 323, led by Odebrecht Transport Participações S.A. and also formed by Tucuman Engenharia, Goetze Lobato Engenharia and América Empreendimento. Read more

Share this news

Join us

In order to get full access to News section, you must have a full subscription. You can check all the benefits of becoming a member and purchase a subscription on our membership page.