Brazil’s budget cuts threaten the Santos-Guaruja immersed tunnel

August 18, 2015
Adjustments to Brazil's budget could pose a threat to the planned immersed tunnel between Santos and Guaruja in Sao Paulo state, local media reported.

Sao Paulo state had put the project out to tender and had verbal support from the national treasury to borrow up to US$2 billion to finance the project. However, because of the economic crisis, this support has not materialised.

The tunnel would by 1.7km long, carry six lanes of traffic and be at an estimated depth of 35m.

Out of $918 million needed for the tunnel, Brazil's national development bank BNDES had already approved $269 million while the state of Sao Paulo had committed $258 million, leaving a $373 million gap. Sao Paulo state has half the resources needed already but it will not go ahead with the project until all the funds are available, local media reported.

Out of five consortia that presented a commercial proposal, four are prequalified: ISG Interligacao Santos-Guaruja, made of 1339 Andrade Gutierrez, 3086 Daewoo and CR Almeida; Nova Travessia, made of Constran, Ing E Mantovani and Piacentini Tecenge do Brasil; Tunel Santos-Guaruja, made of 1305 Odebrecht, Queiroz Galvao, 1511 OAS and Strukton; Sigma, made of J Malucelli Construtora de Obras, Grandi Lavori and 7809 Salini Impregilo; and Construtor Tunel Santos-Guaruja, made of Camargo Correa, 2717 Ferrovial Agroman and Carioca Engenharia.

Sao Paulo’s state highway agency 2529 Dersa has produced a video of the proposed submerged tunnel.

For more information on companies in this article

Related Content

  • Korean company carrying out Qatar construction contract
    September 9, 2016
    A South Korean contractor is to carry out construction work on a key Qatar project. The contract for the project was awarded by Qatar’s public works authority Ashghal to Daewoo Engineering & Construction (Daewoo E&C).
    Read More
  • Allison/Randon’s role in Brazil infrastructure
    April 12, 2013
    Construction of the east stretch of the Rodoanel is an important municipal highway project in São Paulo, Brazil, and significant to national infrastructure development. The project relies heavily on Randon trucks equipped with Allison fully automatic transmissions, which are also used at other construction sites in Brazil, due in part to participation in a government infrastructure growth acceleration programme, Programa de Aceleração do Crescimento (PAC). Many national infrastructure construction projects
    Read More
  • Colombia: Toyo Tunnel award to be made in September
    July 15, 2015
    The contract award for Columbia’s 9.75km Toyo Tunnel project will be made on September 28, according to Columbian media. The tunnel, costing almost US$760, will be part of a new 39km road between Santa Fe de Antioquia and Canasgordas. World Highways reported in January that the central government will contribute $216 million towards the project, the regional government of Antioquia department will contribute $337 million and the Medellin city government will pitch in with $212 million. Columbia’s N
    Read More
  • Lane, part of Salini Impregilo Group, wins I-440/US 1 deal in North Carolina
    October 26, 2018
    Lane Construction, the US subsidiary of Italy’s Salini Impregilo Group, has won a US$346 million design-build contract for the Interstate I-440/US 1 in North Carolina. Lane will be making improvements to the Interstate I-440/US 1 Wake County from south of Walnut Street to north of Wade Avenue. Around 10.5km of the highway - referred to locally as the Raleigh Beltline - will be widened from four lanes to six lanes. The work involves replacing pavement and bridges and upgrading interchanges and is expected
    Read More

Highlighted Content