Milot - Morine Highway

Active

Prospective

The project envisages the rehabilitation, operation and maintenance of Milot - Morine Highway in Albania with a total length of 114.5 kilometers. After the failure of three tenders in prior years, the Ministry of Transport opened a fourth tender with different conditions in early 2016 and closed on 31 May 2016. Following the competitive bidding auction based on the lowest revenue subsidy by the government - Vendeka Consortium was awarded the contract. However, Catalyst Consortium filed a complaint with the Public Procurement Commission (CPC) after the official deadline for appeal had expired. As a result, the commission suspended the Vendeka Bilgi contract and award it to the second bidder - Catalyst, consisting of Catalyst Viva Das General Contracting LLC (EBA), Salillari shpk (Albania), Bee Tech (Greece), Violiap Ates (Greece) and Kastrati sha (Albania). The concession is for a period of 30 years during which the consortium will recoup its investments through toll collection along with revenue subsidy for missing traffic of Euro 5 million per year for the first 13 years of the concession. This translates into Euro 65 million ($70.8 million) in revenue subsidy. The rehabilitation of the road will cost $47.3 million and the consortium will invest Euro 218 million ($237.3 million) over the life span of the contract. Financial details for equity and debt are not available as of August 2017. However, IFC sources reported the project to have achieved FC in May 2017. http://www.lapsi.al/lajme/2017/06/13/rruga-e-kombit-me-pages-subvencion-649-milion-euro-koncesionarit#.WaaiacgjGUk http://www.exit.al/2017/06/13/koncesioni-i-rruges-se-kombit-66-milione-euro-nga-buxheti-i-shtetit/ Catalyst consortium, consisting of Catalyst Viva Das General Contracting LLC (EBA), Salillari shpk (Albania), Bee Tech (Greece), Violiap Ates (Greece) and Kastrati sha (Albania).

Transport

World Bank Group

Project

Government, Road