BR-163 MT Toll Road

Active

Prospective

In November 2013, the Brazilian company Odebrecht won in a competitive bidding the right to expand, rehabilitate and operate the 850.9 km of highways BR-163 MT, located in the state of Mato Grosso. The bidding criteria was the lowest tariff, and Odebrecht offered toll rates that were 52.03% below the ceiling set by the federal government. Six other companies took part in the bidding process: Triunfo, CCR, Fidens, Queiroz Galvao, Ecorodovias and Invepar. The 30-year concession contract was signed in March 2013. The sponsors created the company CRO - Concessionaria Rota do Oeste S.A. to lead the project. Operations commenced in March 2014. The investment was estimated at US$ 1999.5 million (BRL 4.7 billion) over the life of the project. In July 2014, the state-owned bank BNDES approved a US$ 324.2 million (BRL 762 million) loan to the project. The project was granted the right to take part in the government program called Regime Especial de Incentivos para o Desenvolvimento da Infra-Estrutura (Reidi). Companies selected to take part in this program were given tax cuts in the acquisition of capital equipment and construction material acquired both in the domestic and international markets (this incentive represented a cost reduction of about 9.25%). In addition, the company was allowed to use accelerated depreciation methods of accounting for construction expenditures.

Transport

World Bank Group

Project

Road, Steel, Government, Manufacturing (Industrial), Commercial