Salvador Metro

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In August 2013, Companhia de Participacoes em Concessoes, a subsidiary of the Brazilian group CCR (Soares Penido, Camargo Correa and Andrade Gutierrez, each with 17% of the shares; and small investors, 48%), won in a competitive bidding the right to expand, rehabilitate and operate the 33.4-km metro rail system located at the municipality of Salvador (state of Bahia). The sponsors agreed to finish the construction of Line 1, which was in advanced stage by the time the bidding took place, and to construct Line 2. The bidding criteria was the lowest subsidy to be received annually from the government to undertake the project. The winning bid was US$ 54.2 million (BRL 127.6 million), 5.05% below the ceiling set by the state government. No other company took part in the competitive bidding process. The 30-year PPP contract was signed in October 2013. The investment was estimated at US$ 1.657 billion (BRL 3.9 billion) over the life of the project, of which US$ 977 million (BRL 2.3 billion) was set to be granted by the government of the state of Bahia. The sponsors created the company Companhia do Metro de Salvador to lead the project. Operations of Line 1 commenced in June 2014.