Skip to main content

Costa Rica to replace Conavi with a National Infrastructure Institute

Amid concerns over the efficiency of Costa Rica’s highways agency Conavi, the authority has been given more time to provide details on expansion of Route 32, according to the La Republica newspaper. Conavi has been at loggerheads with the Treasury Inspector's Office which wants Conavi to move faster and authorise a contract for the expansion of road between Rio Frio and Limon granted to China Harbour Engineering Company. China Harbour has been requesting further details about the US$395 million projec
March 14, 2016 Read time: 2 mins
Amid concerns over the efficiency of Costa Rica’s highways agency 2538 Conavi, the authority has been given more time to provide details on expansion of Route 32, according to the La Republica newspaper.

Conavi has been at loggerheads with the Treasury Inspector's Office which wants Conavi to move faster and authorise a contract for the expansion of road between Rio Frio and Limon granted to China Harbour Engineering Company.

China Harbour has been requesting further details about the US$395 million project, including terms and conditions, payments, expropriations, relocation of public services and possible sanctions in the event of the project being suspended.

Meanwhile, the government has moved to replace Conavi with a new National Infrastructure Institute to boost public-private partnerships. According to the El Pais newspaper, the government has submitted a draft bill in the Legislative Assembly which will now go to consultation.

The new organisation will work closely with the Ministry of Public Works and Transport to plan infrastructure projects, issue technical and procurement guidelines and oversee the contractor performance.

Alongside the creation of the new organisation, the government will also replace the Public Transport Council with a new National Public Transport Authority.

In early March 2014, the government reportedly had to pay compensation worth $28.4 million for the cancellation of a highway concession package. Compensation related to the San José-San Ramón highway concession and was being paid to the Brazilian construction company OAS, according to a report at the time by Business News Americas.

This followed a legal dispute over the project and was around $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 to have been complete within a 30 month period.

For more information on companies in this article

Related Content

  • Chinese Harbor Engineering closes in on Dhaka-Sylhet road deal
    September 21, 2016
    The Bangladeshi government is expected to award the Dhaka-Sylhet road contract to Chinese Harbor Engineering. The 226km project will cost around US$1.6 billion and turn the road into a four-lane highway, according to a report by the Dhaka Tribune newspaper. Chinese Harbor Engineering is also expected to win the $2.8 billion construction contract for Marine Drive Expressway. The newspaper said that the government has been asking China to provide financial assistance for 18 projects costing more than
  • M7 expansion on schedule in Hungary
    May 27, 2025
    Project is part of biggest express road upgrade in country's history
  • Kenya-Tanzania road connection – work restarted
    February 19, 2019
    Construction work has been restarted on the 178km Isebania to Ahero road, connecting Kenya with Tanzania.
  • Canada: work officially starts on Montreal’s Champlain Bridge
    June 25, 2015
    Canada’s infrastructure minister, Denis Label, officially broke ground for Montreal’s replacement Champlain Bridge, saying the project will likely cost US$3.42 billion. The 3.4km Champlain Bridge Corridor Project, including spans and highway expansions, is expected to be completed by 2019. SNC-Lavalin, the 50% stakeholder in the winning consortium Signature on the Saint-Lawrence, recently announced it had finalised the deal with new Champlain Bridge owner Infrastructure Canada. Signature on the Saint-