ProTrilhos scores R$ 133.24 billion in investments and 27 contracts
Feb, 21, 2022 Posted by Gabriel MalheirosWeek 202208
The number of contracts signed between the Federal Government and private parties under the new Railway Legal Framework increased to 27. The private resources to be allocated for project implementation amount to R$133.24 billion.
When completed, the new railroads will add 9,922.5 kilometers to the Brazilian rail network. The projects span 15 states, with Pará, Bahia, Maranho, Pernambuco, Piau, Espirito Santo, Minas Gerais, Rio de Janeiro, São Paulo, the Federal District, Goiás, Mato Grosso, Mato Grosso do Sul, Paraná, and Santa Catarina included.
New faces
The signed contracts add new faces to the rail transportation scenario in Brazil. Twelve out of the fifteen proponents of authorized projects are new to the sector. There are companies originally linked to private use terminals (TUPs in Portuguese) or are cargo producers themselves. As every rule has its exception, the generalization does not apply to Ferroeste, Rumo, and VLI, veteran companies in rail transport that have been acting as railroad concessionaires for years.
Requests to operate railway segments per authorization are part of the federal program ProTrilhos, which addresses long-standing needs for additional routes and more operators offering options to transporting minerals, agricultural products, and containers via rail.
Procedure
Since September, Pro Trilhos has received 79 applications from companies seeking permission to build and operate private railroads. Out of this universe of applications, 32 were presented by various private players, with 27 of them being completely new to the industry. When these orders are added together, they can inject R$ 240.82 billion in private investments into the railroad network and create 20.7 thousand kilometers of new lines that will cover 17 states and the Federal District.
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