The Government of Argentina has launched a a call for expressions of interest (EOI) for the development of a total of 38 water infrastructure projects, some of them to be structured as public-private partnerships (PPP).
The total estimated value for all the projects reaches US$9.5 billion.
The call, issued by Argentina's Ministry of Interior, Public Works and Housing, intends to attract private investment for infrastructure works including drinking water, sanitation, dam and irrigation. This tender aims to cover 100 percent demand of drinking water and 75 percent in sanitation services.
According to sources, PPPs are intended to be used for irrigation infrastructure, while Build Operate, Transfer (BOT) scheme, a type of PPP in which the state ultimately assumes ownership of the project, will likely be used for water treatment plants. Some of the projects are new greenfield projects while many of them are improvements and upgrades of existing infrastructure. The maximum length of the contracts will be for 35 years.
The projects involving aqueducts or dams are planned to be funded by banks that will ultimately be paid by the Argentina's government, which will reduce dependence on multilateral financing.
Companies have between September 15 and December 15 to indicate their interest. A tender process for the projects will follow.
As we reported in November 2016, the Argentine Chamber of Deputies approved the new Public-Private Partnership (PPP) framework to help address the country’s existing infrastructure deficit and make banks and multilateral lending agencies more interested in financing public works.
We have also informed about other PPPs in Argentina: