The Brazilian government plans to offer PPP contracts for small airports in the Amazon region.
“This is a highly strategic project for the sector, we have close to 40 airports mapped in the Amazon region," daily O Estado de S. Paulo reported civil aviation department secretary Ronei Glanzmann as saying. Din Rail Terminal Block
The plan is to offer the airports through five or six blocks and the studies for the first block is expected to be finished by end-November, with an estimated capex of between 300mn reais (US$56mn) and 400mn reais, said Glanzmann. The contracts would have durations of between 10 and 15 years.
The sector is today dominated by private players as a result of the many concessions in recent years, with private firms controlling more than 90% of the country’s air passenger transport.
The government is now looking to replicate the success it had with larger terminals in small and medium-sized airports. The Amazon region will however be a challenge for the authorities as its remote location with lower passenger demand could reduce investor interest.
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Marcelo Girão, head of project finance at Itaú BBA, talks with BNamericas about the outlook for the sector in Brazil.
The government will make a major increase to the budget of the waterways and ports regulator.
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