Bidding process for high-speed train launched in Brasília

This Tuesday (13 June) at 11:30 a.m. in the city of Brasília, the tender process for the High Speed Train (HST) that shall connect the cities of Rio de Janeiro, São Paulo and Campinas was formally launched. President Lula participated in the ceremony and also signed the message of the Bill of Law to be sent to Congress, for the establishment of a specialized company, the High Speed Rail Transport Company SA (ETAV), linked to the Ministry for Transport.

During the act of launching of the Invitation to Bid for the bullet train tender, President Lula declared that he feels it is “quite possible” that the bullet train construction work shall be completed in time for the Olympic Games in Rio de Janeiro, in 2016.

The Invitation to Bid plans for the concession of a public rail transport service, for the construction, operation, maintenance and preservation of the High Speed Train. The concession shall be remunerated by charging fares for use of the service and also for the granting of the right to economic exploitation of the owned stations.

Auction in December
The opening of the envelopes with the proposals shall be made on 16 December of this year, at 11 a.m., at the head office of the São Paulo Stocks and Futures Market (BM&FBovespa), as informed by the National Land Transport Agency (ANTT). Participation in the auction is open to Brazilian or foreign corporations, pension institutions, and investment funds, whether in isolation or as a consortium.

The criterion for deciding the auction shall be the offer of the lowest possible top fare per kilometer for express economy class rail travel, within a maximum of R$ 0.49 per kilometre. Should there be a tie for the top fare values as offered in the auction, then the first placed proponent shall be the one who proves, in the technical pre-qualification phase, longer experience in the commercial operation of high speed train systems.

The High Speed Rail Transport Company
ETAV, based in Brasília, shall have the main aim of promoting the development of high-speed train transport, integrated with the other forms of transport in the country. It shall be the company’s responsibility to draw up technical and economic feasibility studies, as also to carry out technological and innovation research, absorb and transfer technology, support the skills training for national industry, supervise the execution of infrastructure and superstructure work, and also the implementation of the operating system for high-speed train transport, among others.

The new company shall be organized as a closed-capital limited company and shall have its capital represented by nominative ordinary shares, of which at least 50% plus one shall be in the hands of the Federative Republic of Brazil.