Public-Private Partnership to Secure R$300 Million for Port of São Francisco do Sul Expansion

Governor Jorginho Mello met with Silvio Costa Filho, Minister of Ports and Airports, on Monday (26) to discuss the expansion and dredging project of Babitonga Bay, which provides access to the Port of São Francisco do Sul. The plan is to establish a Public-Private Partnership (PPP) with Itapoá Port. The minister announced an incoming official statement in September and confirmed his presence at the event in Santa Catarina.

The PPP will allow the Port of São Francisco do Sul to receive R$300 million from the privately owned Itapoá Port to fund the expansion and dredging of Babitonga Bay. The amount will be an advance on the fee that Itapoá pays to use the channel. The project, which will be funded by Port Itapoá through discounts on port fees, aims to increase the depth of the external channel to accommodate larger vessels.

“This initiative seeks to ensure logistical efficiency and drive economic growth in Santa Catarina. I have no doubt it will serve as a model for other ports,” said the governor after the meeting. The ministry’s permission is needed for the PPP to become official. The document has already been filed and awaits the minister’s signature on September 19.

This model is unprecedented in Brazil. “Talks began last year while I was still the Secretary of Ports and Airports. São Francisco do Sul lacked the necessary funding despite the project’s importance. Itapoá will provide the funds, depending on demand at the private port, and be excused from paying the corresponding fees for a certain amount of time,” said Senator Beto Martins.

“I believe this will set an example for other ports. And with this project, more ships will be able to cross the channel, boosting port-related economic activity,” added Ivan Amaral, Secretary of Ports, Airports, and Railways.

Meetings in Brasília are always scheduled by the National Articulation Secretariat (SAN). The meeting on Monday was attended by Secretary Lourdes Martini, who is filling in for Vânia Franco, who is currently on an international mission.

About the project

The dredging project to deepen and widen the external channel that provides access to the Ports of São Francisco do Sul and Itapoá will increase the depth from the current 14 meters to 16 meters, allowing the passage of vessels up to 366 meters in length. Currently, the port complex accommodates ships up to 310 meters long.

Source: OCP News

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