Finance & Funding

Mozambique: Maputo cancels Britalar’s Julius Nyerere Avenue deal

January 14, 2015

A consortium led by Portuguese contractor Britalar has been sacked from a controversial contract to rehabilitate a prestigious thoroughfare in the Mozambique capital Maputo. The council is seeking repayment of US$1 million from the consortium that includes two other Portuguese companies, Construção Europa Ar-Lindo and Aurélio Martins Sobreiro e Filhos. Media reports also say a Chinese firm has been handed the contract to finish the work that was started in February 2013 under a deal worth $12.5 millio

Poland’s GDDKiA promises to improve road procurement processes

January 12, 2015

The Polish national roads authority GDDKiA has said that it will no longer look for the cheapest offer in road-building tenders. Instead, it will, in line with European Union requirements, consider whole life cycle factors such as durability, cost of exploitation and quality. Poland has long been criticised by the road construction industry, both within the country and in the rest of Europe, for handing out tender wins to the lowest bidder with scant regard for life-cycle costs. The government has also b

Waskita Karya seeks loan for Pejagan-Pemalang toll road on Java

January 12, 2015

Indonesian state-owned construction firm Waskita Karya will seek a bank loan of US$338 million for its work on the Pejagan-Pemalang toll project in central Java island. The project is being managed by Pejagan Pemalang Toll Road, a subsidiary of Waskita Karya. Waskita company secretary Antonius Yulianto Nugroho said the firm has enough cash resources to cover a quarter of its financial commitment on the project and is targeting bank loans to cover the other 75%. Waskita Karya plans to carry out a bond

Peru highway concessions face lengthy delays

January 12, 2015

Red tape and bureaucracy are to blame for delays to Peru’s highway concessions. Infrastructure association Afin cites these as the reasons the majority of Peru’s highway concessions have been held up, by as much as 10 years in certain instances. Business News Americas reports that so far, only 15% of Peru's 78,000km road network, around 12,445km, is paved according to Afin. The country has a particular need to revamp three major highways according to Afin: the 2,600km Pan- American highway, the 3,500km And

Morocco’s big bridge for Rabat bypass

January 9, 2015

Construction work is on track with the new cable-stayed bridge close to Morocco’s coastal city of Rabat. The cable-stayed bridge will form part of Rabat’s new bypass and will be the largest such structure in Africa when it is complete, later this year. The bypass crosses the Bouregreg valley and measures some 41km. The bridge itself will measure 950m and span 376m, with three lanes in each direction. Construction of the bridge has been financed by the World Bank and Autoroutes du Maroc (ADM) and is costing

China’s Chonqing mumicpality spending on transport

January 9, 2015

In China Chongqing municipality has announced plans to invest close to US$12 billion (74.5 billion RMB) in transportation developments in 2015. Chongqing plans to spend $5.97 billion (37.1 billion RMB) in road construction, including 5,000km of rural roads while three new highways are due for completion in 2015. Other transport investments including spending boosting the rail network in the city by 155km and developing civil aviation.

Vietnam costs the first section of the Bien Hoa-Vung Tau highway

January 9, 2015

The cost of the first section of Vietnam’s Bien Hoa-Vung Tau highway, a 47km stretch in the Southern Key Economic Zone, will be around US$355 million. Vietnam’s transport ministry said the total cost of the entire 70km motorway will come in at $1.03 billion. The government considers the zone to be the country’s engine of growth, accounting for 60% of Vietnam’s industrial production by value and 70% of export revenue. The zone consists of eight localities - Ho Chi Minh City (formerly called Saigon), Bi

Brazil’s Parana state continues with infrastructure investment

January 8, 2015

The Brazilian state government of Parana has spent around US$1.73 billion on infrastructure projects over the past four years, including roads, railways, airports, ports and public buildings. According to Jose Richa Filho, the state’s infrastructure secretary, more investments will be made by local partners and through international financing. Around $3.63 million for road works between 2015 and 2018 with fund coming from partnerships with Votorantim and Klabin. Votorantim Group is one of the largest

Germany keen to develop PPP programme for infrastructure

January 6, 2015

The German Ministry for transport, energy and digital communication, is planning to introduce a series of new public private partnerships for large road projects. These projects are intended to cut congestion and prevent traffic jams on Germany’s roads, which can be blocked at peak periods and particularly during times of vacation. If an additional traffic lane can be made available quickly and sustainably, this will be considered a bonus. Technical or temporary impairments in quality will result in less co

Denmark to create Rodby port to service Fehmarn Belt construction

January 6, 2015

The Danish government said it will create a large port area east of the small town of Rødbyhavn to facilitate construction of the future Fehmarn Belt tunnel link. The US$7.5 billion project is an 18km tunnel including two railway tunnels, two motorway tunnels and an emergency tunnel. Construction start is scheduled for later this year and should take between six and seven years. The tunnel is part of the major infrastructure project called the Fehmarn Belt Fixed Link to connect the German island of Fe