Costa Rica highway concession package cancelled

The Costa Rican Government is paying compensation worth US$28.4 million for the cancellation of a highway concession package. The compensation relates to the San José-San Ramón highway concession and is being paid to the Brazilian construction company OAS, reports Business News Americas. This follows a legal dispute over the project and is some $10 million less than OAS originally claimed in compensation. The 30 year concession package was cancelled last year due to opposition. There were allegations of a c
March 19, 2014 Read time: 2 mins
The Costa Rican Government is paying compensation worth US$28.4 million for the cancellation of a highway concession package. The compensation relates to the San José-San Ramón highway concession and is being paid to the Brazilian construction company 1511 OAS, reports Business News Americas. This follows a legal dispute over the project and is some $10 million less than OAS originally claimed in compensation. The 30 year concession package was cancelled last year due to opposition. There were allegations of a conflict of interest in the award of the contract as well as complaints the proposed toll fees would be too high. The project for the $524 million project to upgrade and widen the 58km section of highway was originally expected to have been complete within a 30 month time slot. Under the terms of the agreement, OAS will provide the Costa Rica Government with all the plans, studies and technical documents carried out for construction of the link. The payment will be funded by the national roads council 2538 Conavi. The El Foro de Occidente group opposed to the original concession has now set out plans for a $478 million alternative proposal in coordination with the 2536 Ministry of Public Works and Transport, MOPT and Conavi. This includes a lower toll fee of $2.23, instead of the $3.90 OAS had proposed.
Finance & Funding

For more information on companies in this article

Related Content

  • Highway project in Texas required demolition equipment
    May 1, 2018
    A contractor in Texas has used equipment from Brokk to help out with a tricky highway project. Upgrading work has been carried out on a 6.4km-long stretch of I-35 in San Antonio between Loop 410 NE and Loop 410 S. This stretch of the route was carrying around 185,000 vehicles/day and was suffering increasing levels of congestion at peak periods. Travel times lengthened by 65% during rush hour, while ramps on opposite sides of the interstate caused additional congestion and safety issues. In one section, t
    Read More
  • Kenya highway project financing resolution
    May 17, 2018
    Construction work on Kenya’s vital Mombasa-Nairobi highway upgrade project is now going ahead as planned. A resolution has been achieved that will solve the funding issues that had threatened to delay the project. The project will cost nearly US$3 billion in all and is crucial for the country’s economic development as it will provide a new four lane highway connecting Kenya’s capital, Nairobi, with its largest port at Mombasa. But there were concerns that the funding method based on a series of loans that w
    Read More
  • Via Nordica turns international
    July 31, 2012
    Via Nordica, the road technology conference of the five Nordic countries (Denmark, Finland, Iceland, Norway and Sweden) has changed from the traditional Nordic event to become more international The conference, held every four years, rotates between the five countries, and the 2008 event, held in Helsinki, the Finnish capital, was a clear demonstration of the international trend. An accompanying exhibition attracted more than 70 companies and organisations from 14 countries. Pär-Håkan Appel, the secretary g
    Read More
  • Australian road developments in Queensland and NSW
    January 19, 2023
    Key Australian road developments are planned in Queensland and NSW.
    Read More

Highlighted Content