Malawi seeks interest for toll roads project

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Malawi seeks interest for toll roads project

The Government of Malawi (GoM) has launched a Request for Expression of Interest (RFEOI) seeking interested firms to manage and operate toll roads project in Malawi under a PPP model.

The Government of Malawi acknowledges that a lot of resources are being applied towards development and maintenance of road infrastructure in Malawi. However due to the rapid increase in the volume of traffic the level of maintenance needs to be accelerated to avert the deterioration of the road network.

In order to achieve this and improve in the overall conditions of the network, there is an urgent need to mobilize additional substantial resources based on road user pay principle to be dedicated towards road maintenance. The Roads Fund Administration is unable to raise enough resources from their current pool of sources to cover the required road maintenance requirements as determined by the Roads Authority.

There is therefore a significant gap between the available resources and the optimum financing requirements for road maintenance. This gap has resulted in the creation of a road maintenance and rehabilitation backlog and continued deterioration of the public roads network condition.

It is against the foregoing background that it is necessary that an additional source of funding should be identified to compliment the current two sources of Roads Fund income. Road tolling through a private sector operator is therefore being proposed as that additional source of funding.

Interested bidders must submit the EOI documents on or before 16:00 Hrs. local time on 28th September, 2016.

Interested and qualified Investors should submit their Expressions of Interest clearly marked

“Expression of Interest for the Management and Operation of Toll Roads in Malawi” to

The Chief Executive Office. The Public Private Partnership Commission

2nd Floor Livingstone Towers. Glyns Jones Road. P O Box 937. Blantyre. Malawi

Phone: +265 1823655; Email: info@pppc.mw

In late April, we already reported that the GoM also released a Request for Expressions of Interest (RFEOI) for the preparation of a Feasibility study of the road Operation and Maintenance (O&M) project. The feasibility study among other things would provide a detailed economic and financial evaluation of the Project with proposals for its financial feasibility and viability as a PPP project.

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