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

  • US highway bill receives temporary extension
    June 3, 2015
    The US president recently signed a short term extension for highway funding. This two month extension will provide funding for highway infrastructure until the end of July. This is a very temporary measure made as the US Government has so far been unable to agree the longer term deal that will guarantee highway investment. The president did propose a six-year transportation bill worth some US$478 billion. This would have given the necessary funds to deliver the much-needed investment in the country’s transp
    Read More
  • Europe extends engine emissions deadline
    November 5, 2020
    The vote paves the way for the final adoption and publication in the Official Journal of the amended version of Regulation (EU) 2016/1628.
    Read More
  • D11 motorway in Czech Republic could be completed after over 17 year land dispute
    March 6, 2013
    A land dispute that has stalled the completion of the D11 motorway in the Czech Republic for more than 17 years is reportedly nearing its end. The Czech road management firm RSD has applied for planning permission to build the D11 between Prague and Hradec Kralove omitting the disputed land. But it’s reported that the Transport Ministry is looking to come to an agreement with the owner of the last outstanding bit of land on the originally proposed D11 route, which will allow the preferred route to be comple
    Read More
  • Are road tolls the economic answer?
    November 12, 2012
    Tolling has been widely promoted as the answer to future road needs by many economists. The fundamental principle of a toll road is comparatively easy to understand: a driver wants to get from here to there and pays a small sum for the privilege. Drivers generally prefer to access roads without having to pay but the sums involved in toll roads tend to be comparatively low. For all but the most parsimonious, parting with a few coins to use a stretch of highway in good order is comparatively painless, made ev
    Read More

Highlighted Content