Brazilian Investments Partnerships

Program – PPI
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the projects portfolio

October, 2020
PPI Council
Presidency of the Republic
Ministry of Economy
PPI Council
Special Secretariat of PPI
President and Ministers
Economy
Executive Office
Infrastructure
Mines and Energy
Environment
Regional Development
Secretariat of Government
Federal Banks
BNDES
Caixa Econômica Federal
Banco do Brasil
The PPI Council President is the Minister of Economy. The Special
Secretary serves as the Executive Secretary of the PPI Council.
 PPI works as a hub for investments
National
and
international
investors
Sectorial Sectorial
Ministries Unions Adds on efficiency and value to the process
Financial
Regulatory Agents
Agencies (banks, investment Governance, coordination,
funds, etc)
monitoring and oversight

Transparency, dialogue,
Legislative
Branch PPI Multilateral
Organizations
credibility and predictability

Well-designed projects

Control Concessionaries Technical and legal framework

Entities enhancement

Licensing Embassies
Entities
Subnational
Governments
 PPI IN FIGURES
ACCOMPLISHED AUCTIONS/BIDS AND PROJECTS

Accomplished Concession
Qualified
auctions/bids Investments fees/Bonuses
projects and projects
USD 142.4 billion USD 28.4 billion
339 184 (BRL 711.9 billion) (BRL 141.8 billion)

USD 1 = BRL 5 (August, 2020)

Main deliveries - PPI
(Jan-Sep/2020)
 From January to September/2020
Projected Concession
Supporting subnational level
investments fees/Bonuses
Auction on Street Lightening (FEP)
US$ 2.55 bi US$ 943 mi •
•
Aracajú/SE
Feira de Santana/BA
• Franco da Rocha/SP

Investments: US$ 114 million

Highway Railway Ports Auction criterion: highest total discount
Average discount: -52%

BR-101/SC Port Terminals in Santos Auction on August 14

Investments: US$ 680 million
OPEX: US$ 800 million
Auction criterion: lowest toll fee
Total discount: -62%
Early extension of Rumo Malha Paulista’s
concession agreement
Investments: USD 1.16 billion
Concession fee: USD 440 million
• STS 14 e STS 14A
Investments: US$ 76 million
Concession fee: US$ 101 million
Auction on water and sewage supply in
the metropolitan region of Maceió/AL
Investments: US$ 520 million
Concession fee: US$ 402 million

Auction on February 21 Amendment signed on May 27 Auction on August 28 Auction on September 30

Current PPI Portfolio
 Current PPI Project Portfolio
Ports – 33
4 Privatizations
28 Port Terminals
1 Waterway (Licensing)
Defense and Security
(PPP’s) - 2
1 Air force
Communications
1 Police Communications
Economy – 5
4 Privatizations (ABGF,
EMGEA, Serpro and Dataprev)
1 Lottery (Fixed ratio)
Oil and Gas – 5
Round 17 under the concession
agreement
Shale Gas Fracking (Env.
Licensing)
Open Acreage
2 Blocks of ToR+
154 PROJECTS + 13 policies
Railways– 11 Supply – 10
4 concession renewals 2 Privatizations
2 new concessions (CEASAMINAS and CEAGESP)
4 investments in strategic 8 Fishery Terminals
railway networks (Cabedelo, Belém, Manaus, Aracaju,
Natal, Santos, Cananeia and Vitória)
1 privatization
Airports – 24 National Parks and
Forests - 11
22 airports in 3 clusters 8 concessions of parks (Lençóis
2 rebids Maranhenses, Iguazu Waterfalls,
Jericoacoara, Aparados da
Serra/Serra Geral, Canela, São
Highways – 20
Francisco de Paula, São Joaquim e
Brasília)
11 Concessions 3 concessions of forests
2 Feasibilty assessments
(Humaitá, Iquiri and Castanho)
(8,370 km)
7 Licensings
Regional Development – 5
Health – 2 H 2 privatizations (CBTU and
Trensurb)
1 Assessment (Hospital
Fêmina/Porto Alegre) 2 assessments (PISF and Irrigation
Irecê)
1 PPP – Belo Horizonte subway Line 2
Energy – 13
2 Transmission Lines Auctions
2 Privatizations (Eletrobras and
Nuclep)
TL Manaus-Boa Vista
5 Licensings
2 Existing Energy Generation
(A-4 and A-5)
2 New Energy Generation (A-4
and A-6)
Mining – 5
4 CPRM Mining Rights
ANM Available Areas
Communications and
Technology – 5
3 Assessments for Privatization
(Telebras, National Post, and EBC)
1 Privatization (Ceitec)
1 Concession (5G)
Tourism – 4
4 Concessions of national
heritage historical sites in
PB, PE and SP states
Policies:
• “Sea road” - Cabotage
• TRIIP (Road passenger
transport)
• PPP daycares
• PPP prisons + correctional
facilities
• Universalizing basic
sanitation + solid waste
• PPP street lightening
• The “projects factory”
• Tourism
• UBS (health basic units)
• BidSim – Oil Auctions
• Strategic minerals
 Public Policies

TRIIP “Sea Road” UBS

Opening market to competitiveness,
decreasing ticket prices and improving
services
+ 13 million and 416 cities don’t have
access to road transportation
cabotage
Boosting fleet and the naval
industry, increasing
competitiveness and fostering
ports(permit for temporary
contracts)
Alternatives for partnerships for Tourism
concessions aiming at building,
modernizing, operating,
maintaining and improving the Policy for attracting private
investments for the tourism
management of the UBS network
on municipal duty industry.
Program Revive Brasil

Reducing imports of essential

Bidsim
Improving methodology for
defining technical , economic
stantards for oil auctions
PPP prisons Alternative solutions to enable more
minerals to Economy; searching
Strategic for competitive advantages for + efficent public services, quality and
generating trade surplus and correctional effective social reinsertion of
minerals
exploiting high technology facilities prisoners thourgh work and study
minerals

Supporting regulatory improvement
and project designing for supplying
PPP public street lightening projects, including
lightening developing, modernizing, expanding,
energy efficiency, operating and
maintaining power grid
Universalizing PPP
sanitation + daycares
solid waste Searching for a private partner in
ccharge of accomplishing
Coordinating regional level projects design works/building, equipping,
and regional bankable projects that enable maintaining and operating, with
adequate public services to citizens quality service rates and standards to
meet
 Boa Vista

Airports
São Luiz
Tabatinga
Manaus
Imperatriz
Tefé

Cruzeiro Teresina
do Sul
Petrolina
Rio Porto Velho
Branco Palmas

Central Block

Goiânia 7.4 million pax/year

North Cluster
USD 360 million in investments
4.6 million pax/year
USD 296 million in investments Londrina

Curitiba
22 Airports (3 clusters) : Round 6 Foz do Iguaçu Bacacheri

Investments USD 1.22 billion Navegantes South

Joinville Block
Uruguaiana
2 Airport Rebiddings: 12.2 million pax/year
Bagé
Natal/RN and Campinas/SP
Pelotas USD 570 million in investments
Airports
– NORTH CLUSTER – – SOUTH CLUSTER – – CENTRAL CLUSTER –

Compensation to Compensation to Compensation to

US$ 33.4 million US$ 94 million None
Infraero Infraero Infraero

Flexible Flexible Flexible

3.97% (Year 5) 4.76% (Year 9) 0.62% (Year 5)
concession fee concession fee concession fee

Minimum flat Minimum flat Minimum flat

concession fee US$9.64 million concession fee US$ 26.7 million concession fee US$ 1.64 million
(upfront) (upfront) (upfront)

Technical 1 million Technical 5 million Technical 1 million

qualification pax/year qualification pax/year qualification pax/year
 FICO
Mara Rosa/GO a Água Cross-
Railways
Boa/MT
383 km Investment
Inv.: USD 546 million
Ferrogrão
Sinop/MT to
Miritituba/PA
933 km
Inv.: USD 4.3 billion EFC
New (under assessment)
892 km
Inv.: USD 1.65
Concessions billion

FIOL FCA
Ilhéus/BA a Caetité/BA 7,215 km
537 km Inv.: under
Inv.: USD 510 million assessment

EFVM
Renewals
895 km
Railways Portfolio Inv.: USD 1.76
billion
USD 13.2 billion
• new – USD 4.8 billion MRS
Investments • renewal – USD 7.3 billion 1.686 km
Inv.: USD 3.35
• privatization – USD 1.6 billion billion

12,789 Km:
• new – 1,470 km
Total Length • renewal* – 11,071 km
• privatization: 248 km
12
 RAILWAYS - FERROGRÃO
Project
• Section:
• Concession period:
• Auction criterion:
• Gauge:
• Train type:
from Sinop (state of Mato Grosso) to Miritituba (state of Pará) - 933 km
69 years, extension is prohibited
highest concession fee amount (USD 3.6 million minimum)
1.60 m
3 locomotives and 160 wagons

Financial aspects
• CAPEX:
• OPEX:
• Demand:
• Soybean and corn tariff:
• Total Revenue:
(start of operation):
• Year 10 revenue
• WACC:
• Ebitda margin after ramp up:
USD 1.7 bi (implementation) + USD 2.62 bi (maintenance capex)
USD 12.7 bi
20.7 mi net tons (2030); 48.6 mi net tons (2060)
USD 16.3 / net tons (Sinop-Miritituba)
USD 35.4 billion
USD 400 million
11.04% per year (in real terms and net of tax)
59% (year 2037)

Social aspects
• The railroad route does not overlap with Indigenous Lands or Quilombola communities
• The nearest indigenous lands are located at a distance of 4 km (IL Praia do Mangue) and 7 km
(IL Praia do Índio), in Itaituba
• The railway's reference layout does not invade any Conservation Unit
• Reduction of USD 3.85 billion in freight costs compared to the highway mode
1 USD$= R$ 5 13
Railways

• West-East Integration Railway (FIOL)

Section between Ilhéus/BA and Caetité/BA
• Length: 537 km
• It will allow the iron ore produced in the Caetité/BA region and the grain output of the West of Bahia to be
exported through the South Port, a port complex to be built close to the city of Ilhéus/BA. In the future, it is
also possible to establish a connection between the South Port and the North-South Railway (FNS).
• Projected investment: USD 758 million, out of which USD 368 million are earmarked to accomplish the
works
• IRR: 11.04%
 BR-135/316/MA
438 km
Entr. BR-135 (via Pedrinhas) – Entr.
Itaqui/Bacanga;

Highways
Acess to Tirirical Airport – Entr. BR-316(B)
(Peritoró);
Entr. BR-135(B)/MA-020 (Peritoró) – Entr. BR-
BR-163/MT and BR-230/PA 226(B)/343(A) (Div. MA/PI) (Teresina/Timon) BR-158/MT/PA
970 km 1,135 km
Section between Sinop/MT and
Ribeirão Cascalheira/MT and
Miritituba/PA
Marabá/PA

BR-153/080/414/GO/TO
850.7 km
Section between Anápolis/GO and
Aliança do Tocantins/TO

BR-116/493/RJ/MG (CRT)
711 km
Section of BR-116/RJ
Section between Além Paraíba/RJ
and BR-040/MG
Concession of 7,238 km
BR-381/MG and BR-262/MG/ES -
of highways
672 km
Section of BR-381/MG between Belo
Rebidding Horizonte/MG and Gov. Valadares/MG
Section of BR-262/MG/ S between João
BR-040/DF/GO/MG –
Highways Portfolio 936.7 km
Monlevade/MG and Viana/ES

Section between Brasília/DF and BR-040/495/MG/RJ (Concer)

Investments USD 32.85 bi Juiz de Fora/MG
211 km
Section between Juiz de Fora/MG and
Total Length 18,377 km Integrated Highways Rio de Janeiro/RJ
of Paraná state –
New Concessions 9,067 km 4,114 km BR-116/465/101 /SP/RJ (Dutra)
598.5 km
Assessments + 8,373 km BR-470/282/153/SC Auctions accomplished: Section between Rio de Janeiro/RJ and São
Paulo/SP
502 km BR 101/290/448/386/RS
Rebidding 936.7 km Section between
Navegantes/SC and the BR- 364/365/GO/MG
frontier RS/SC BR-101/SC
 Highways – next auctions (2021)
Highway Length Capex (US$) Auction
BR-153/080/414/GO/TO 850 km 1.7 billion 2021/Q1
• Road section between Anápolis/GO and Aliança do Tocantins/TO
BR-163/MT and BR-230/PA 970 km 380 million 2021/Q1
• Road section between Sinop/MT and Miritituba/PA
BR-381/MG and BR-262/MG/ES
• Road section of BR-381/MG between Belo Horizonte/MG and Gov.
672 km 1.56 billion 2021/Q1
Valadares/MG
• Road section of BR-262/MG/ES between João Monlevade/MG and Viana/ES
BR-116/465/101 /SP/RJ (Dutra) 598.5 km 3.0 billion 2021/Q2
• Road section between Rio de Janeiro/RJ and São Paulo/SP
BR-470/282/153/SC 502 km 1.6 billion 2021/Q2
• Road section between Navegantes/SC and the frontier RS/SC
RODOVIAS INTEGRADAS DO PARANÁ
(BR- 153/158/163/272/277/369/373/376/476/PR and relevant state-level 4,114 km 8.4 billion 2021/Q3
highways)
BR-116/493/RJ/MG (CRT) 711 km 1.78 billion 2021/Q4
• BR-116/RJ and Além Paraíba/RJ to BR-040
 Santana/AP (1) Vila do Conde/PA (1)
Liquid bulk Liquid and solid bulk

Ports Itaqui/MA (4)

Liquid bulk Fortaleza/CE (2)
Passengers and vegetal bulk

Areia Branca/RN (1)

Sea salt

Maceió/AL (4)
Liquid and vegetable bulk

Aratu/BA (2)
Solid bulk

Porto de Vitória/ES - CODESA

Paranaguá/PR (3)
Vehicles, General cargo and Liquids
Porto de São Sebastião/SP
Ongoing Ports portfolio
Santos/SP (2)
Investments USD 3.42 billion Liquid bulk/fuel

Port leasings 20
Port of Santos/SP – CODESP
Port privatizations 4
Port of Itajaí/SC
 Ports - Privatizations
Port of Santos/SP (CODESP)
Status: Feasibility assessments
Delivery and approval of
Assessments: 2021/Q1
Public Hearing: 2021/Q2
Investments: USD 2.1 billion
Port of Vitória/ES (CODESA)
Status: Feasibility assessments
Bidding Notice: 2021/Q3
Auction: 2021/Q4
Investments: USD 440 million
Port of Itajaí/SC
Status: Feasibility assessments
Bidding Notice: : 2022/Q3
Auction: 2022/Q4
Investments: under assessment
Port of São Sebastião/SP
Status: Feasibility assessments
Bidding Notice: : 2022/Q1
Auction: 2022/Q2
Investments: USD115 million
18
 Fishery Terminal of
Fishery Terminals Manaus (AM)

A Public Fishery Terminal (PFT) is the structure Fishery Terminal of

necessary for fish handling and storage activities, Belém (PA)
trading post, fish processing and support for vessel
navigation.
Fishery Terminal of
Making PFTs operational is crucial for the provision of Natal (RN)
an adequate phytosanitary environment, therefore for
the development of the fish industry. Fishery Terminal of
Cabedelo (PB)

The PFT area can include facilities such Fishery Terminal of

as anchorages, docks, wharves, Aracaju (SE)
berthing bridges and piers, cold
storage warehouses, buildings and Fishery Terminal of
infrastructure for protection and Vitória (ES)
waterway access. Fishery Terminals of
Santos e Cananeia (SP)
 Fishery Terminals
Qualification in Public TCU* Bidding
Assessments Auction Contract
PPI Hearing Approval Notice

Completed Completed Completed

Cabedelo (PB) Q3/2020 Q3/2020 Q4/2020 Q4/2020
(2/18/2020) (5/11/2020) (6/11/2020)

Belém (PA) Completed In progress

Q4/2020 Q1/2021 Q2/2021 Q2/2021 Q3/2021
Manaus (AM) (2/18/2020) (Q4/2020 )

Natal (RN)
Aracaju (SE)
Completed
Vitória (ES) Q4/2020 Q1/2021 Q2/2021 Q3/2021 Q4/2021 Q1/2022
(6/10/2020)
Santos (SP)
Cananéia (SP)

TCU: Portuguese acronym for the Brazilian Federal Court of Accounts

 Oil and Gas
Round 17
Open Acreage
Transfer of rights Potiguar Basin
Data
Capacity 96 blocks (offshore)
Potiguar, Campos, Santos and
Basins (4)
Round 17 Pelotas
708 blocks (onshore and offshore)
Capacity
+ 3 areas of marginal fields
Minimum bonus for all
Open USD 580 million
blocks + areas
Acreage
Bidding Notice for the
July/2020 (Public hearing due in Campos Basin
2nd cycle (Published on
Q4/20)
July 7) Transfer of rights

Blocks (2) Sépia and Atapu Santos Basin

Expected Investments
Transfer of USD 29 billion Pelotas Basin
(CAPEX + OPEX)
Rights
Auction (planned
Q4/2021
schedule)
Electric Power

Energy portfolio (values in USD billions)

License + Implementation of the Transmission
0.360
Line Manaus – Boa Vista
Existing Energy Generation (A-4 and A-5) 1.88**
New Energy Generation (A-4 and A-6) 2.6***
Transmission (nº 1/20 and nº 7/20) 1.48 Transmission Auctions
nº 1/20 *
Total 6.32
Transmission Line –
* Projection based on the replacement of 100% of the contracts due in 2024 and 2025,
through greenfield plants Manaus/AM -Boa Vista/RR
** Reference based on the results of A-4 and A-6 auctions, held in 2019
Mining Kaolin - Rio Capim/PA

Phosphate - Miriri/PB/PE

Copper - Bom Jardim/GO

Mining legal rights

Investments USD 278 million

+ 56,000 available areas in the National

Mining Agency portfolio Coal - Candiota/RS
Privatization/Capitalization – Eletrobras - Brazilian Power SOE
Power generation capacity: 51,143 MW
Generators (total): 125 plants (58 Corporate and 67 SPEs)
Hydropower : 46,259 MW
Nuclear Power: 1,990 MW
Thermal power (other technologies): 1,870 MW
Wind and Solar: 1,025
Transmission Lines: 71.154 km (64.894 km, voltage > 230 kV)
Direct and indirect shareholding of the Brazilian Government
CS – 72.22%
o Features: holding comprising Eletrobras CGT Eletrosul; Eletrobras
Chesf; Eletrobras Eletronorte; Eletrobras Eletronuclear; Eletrobras
PS – 6.52%
Furnas; and direct and indirect shareholding in 136 Special Total – 61.69%
(Source: Eletrobras Financial Statements – 2019)
Purpose Vehicles (SPVs).
o Grantor: Ministry of Mines and Energy Status: Awaiting bill 5877 / 2019 approval
o Bill 5877/2019 establishes guidelines for privatization by
capitalization
o Privatization model: increasing social equity by issuing common
shares
 Auction on 5G technology
• Grantor: ANATEL
Most important auction on radio frequency spectrum ever held
in Brazil, due to the amount of spectrum to be offered – four • Preliminary investment estimates +
concession fees: USD 4 billion
times the total currently available for mobile networks in the
country – and the diversity of options, as the spectrum will be • Expected date for the auction: March / 21
made available in four different frequency bands. • Public Hearing concluded in 4/17/20
• Next steps: Technical Pricing Assessment of
the object and commitments of the bidding
26cobertura
GHz e notice in progress
Alta700 MHz
cobertura e Baixa2,3 GHze Baixa3,5
cobertura GHze Baixíssima
cobertura
baixa20
Capacity
MHz alta Capacity
90 MHz 400 MHz
alta Capacity’ 3200
altíssima MHz
Capacity • Contract Term: 20 years (with the exception
Tudo quelow
existe disponível
of the 700 MHz band with a term until
Wide coverage 4x
Low coverage and Low coverage and Very coverage and
and low capacity high capacity high capacity parathe
serviços
highestmóveis
capacity
12/8/2029 and an extension under the
terms in force at the time)
Everything available for
4x mobile services
 Preliminary estimates:
Privatizations USD 12.5 billion Assessments
 FEDERAL PRIVATIZATIONS – PERSPECTIVE: US$ 12.5 Billion

3Q20 4Q20 1Q21 2Q21 3Q21 4Q21

AUCTIONS - PRIVATIZATIONS

LIQUIDATIONS

SALE OF SHARES / DELIVERY OF QUOTAS TO THE FEDERAL GOVERNMENT

 The National Post Service

Greatest employer 11,177 post offices US$ 3.6 billion

company in Brazil Located in almost every city in
More than 105,000 employees 2018 Net Revenue
Brazil

Status: assessments in progress aiming to evaluate alternatives for partnering with the
private sector
- Draft bill to enable services delegation of powers to private partner(s)
National Parks National Park of
Lençóis Maranhenses (MA)

National Park of
Jericoacoara (CE)

National Park of
Brasília (DF)

National Park of
Foz do Iguaçu (PR)

National Park of
São Joaquim/SC

National Park of
Aparados da Serra (RS)
and Serra Geral (SC)
Concession of Forests for recreation

Canela (RS)

São Francisco
de Paula (RS)
 Hiring Federal Court
Project Assessments Public Hearing Bidding Notice Auction
assessments of Accounts

Aparados da Serra e Serra Geral

Canela

São Francisco de Paula

São Joaquim

Brasília

Foz do Iguaçu

Jericoacoara Accomplished

In progress
Lençóis Maranhenses
Concession of forests Brazil has the largest
tropical forest and the
The National Forests of Iquiri, Humaitá and 2nd largest forest area
Gleba Castanho, all in the State of Amazonas, Gleba Castanho in the world
have been qualified at the 12th meeting of
the PPI Council – Status of national priority.
Floresta Nacional de
Payments to the Federal Government by the Floresta Nacional Humaitá
concessionaires are destined to the states de Iquiri
and municipalities where the forests are
located, to the National Fund for Forestry
Development and to ICMBio - Chico Mendes
Institute for Biodiversity Conservation.

Computerized system for managing concession contracts.

Procedural manuals for sustainable management.

Greater preservation of forests, less deforestation, less fires, greater control and a better fight against
illegal activities.
The Stages
of a
Forest
Concession
National Heritage Sites
The Forts of Nossa Senhora dos Remédios and
Orange, located in the State of Pernambuco; the
Fortress of Santa Catarina (PB) and the Farm Pau
D`Alho (SP) were qualified in PPI portfolio for
concession of their usage/management, under the Fortress of Santa Catarina
policy for attracting private investments in the João Pessoa (PB)
tourism sector.
These projects will be pilots of Fort Nossa Senhora dos Remédios
the so-called Program “Revive Brasil”, Fernando de Noronha (PE)
which was born out of a Brazil-
Portugal cooperation protocol signed
by the Ministry of Tourism, and whose
objective is the concession of vacant
historical/cultural heritage sites.
Fort Orange
Ilha de Itamaracá (PE)

Farm Pau D’Alho

Campinas (SP)
PISF – Project for integrating São Francisco river into the water basins in the
north part of the Northeast region of Brazil (NE)
Features: Assessments for modeling a partnership for the operation and maintenance of the raw water
supply infrastructure, aiming to ensure water security for the entitled states. Its main use is human
supply and animal drinking, with other uses being admitted. It benefits 12 million people in four States
(CE, RN, PB and PE) and 390 cities. The North Axe has 96% of accomplishment and the East Axe 98%.
Object of assessments: Operation and maintenance of 477 km of channels; 9 pumping stations; 27
reservoirs in the axes; 4 tunnels; 14 aqueducts; 9 230 kV substations; Installed power 100.5 MW;
annual consumption of 709 GWh; Estimated energy consumption 58,300 MWh/month. Pumping
operational capacity of 38 m3/s and average annual flow granted: 26.4 m3/s.

Model: Common or sponsored concession Brownfield project

(under assessment) Executed CAPEX Investments : USD 2.4 billion
Structurer: BNDES with MDR, ANA, SPPI e Projected CAPEX investment: USD 300 million
SDI/Ministry of Economy. Projected OPEX Investments: USD 100 million/year
Grantor: Brazilian Federal Government Contract period: 35 years
Sector Ministry: Ministry of Regional Auction criterion: to be defined
Development - MDR Public Guarantees: Infrastructure Guarantee Fund - FGIE
Regulator: ANA and FPE States
Regulation: Mechanism defined in the Status: assessments to be completed in December 2020
concession contract Bidding: June 2021
Irrigation Perimeter in Irecê/BA
Features: Assessments of alternative partnerships for concession aimed at harnessing the hydro-
agricultural potential of the area. Comprises investments for implementing, operating, maintaining
and improving management. Project surface: 47,924 hectares for irrigation in the cities of Xique-Xique
and Itaguazu, central region of the state of Bahia - São Francisco river basin.
Object of assessments: Exploiting irrigated agriculture in order to accomplish infrastructure works
(channels and water pumping stations) in the area of Stages 2 to 9, and operating and maintaining the
entire project`s infrastructure for Shared Usage (Stages 1 to 9). Production potential: 16,000 tons of
fruit and 83,000 tons of grains per year, only in Stages 1 and 2, with estimates of generation of
120,000 direct and indirect employments (9 stages). Estimated Annual Gross Production Value: USD
202 million/year.

Model: Public-Private Partnership of the BR Executed investments: USD 240 million (Pumping
Federal Gov jointly with subnational level Station of 10.5 m³/s and 42 km of channels)
entities Projected CAPEX investments: USD 140 million
Structurer: under assessment with Contract term: to be defined
IFC/World Bank. Auction criterion: to be defined
Grantor: BR Government/Codevasf Public Guarantees: Infrastructure Guarantee Fund
Sector Ministry: Ministry of Regional – FGIE
Development - MDR Status: Revision of existing assessments
Regulator: None Auction: 2021
Regulation: Mechanism defined in the
concession contract
Environmental Licensing
• Brazil is the most biodiverse country on Earth and that implies a major
responsibility.
• It counts upon a strong legal framework, which comprises a specific chapter
about environmental licensing enshrined in the 1988 Federal Constitution.
• Even before the Constitution, Brazil had already established an Environment
National Policy (1981), which is still in force.
• The main purpose of the policy is making social, economic development
compatible with preserving environment quality and ecological balance.
• Environmental licensing is a core tool to control and is required for carrying out
any activity deploying environmental resources, that, effectively or potentially,
bring about environmental degradation
 TL Manaus – Tocantins
Boa Vista Waterway Rock
Dredging
Supporting
environmental
BR-319/AM/RO
licensing and BR-242/MT

expropriation BR-158/MT

BR-174/RO/MT BR-135/BA/MG
Shale Gas Fracking BR-080/MT BR-135/MG
• site to be defined

Hydropower Plants
• Castanheira – MT
• Telêmaco Borba – PR
• Tabajara – RO
• Bem Querer – RR
• Formoso – MG
 PPI projects for supporting
subnational level partnerships
Current PPI pipeline for supporting subnational level projects
Public Lightening – 22 Sewage – 7 Solid Waste - 4 Daycares - 2
FEP (cities): 14 2 PPP’s
FEP (3 cities): FEP (4)
• Teresina/PI (40 units)
• Belém/PA • Campinas/SP • Crato/CE • Teresina/PI
• State of Alagoas (67 units)
• Volta Redonda /RJ • Cities cluster Convale/MG
• Nova Lima/MG • Cachoeiro do • São Gonçalo do Amarante/RN (Uberaba, Conceição das Alagoas,
• Sapucaia do Itapemirim/ES Sacramento, Delta, Planura, Campo
BNDES (3 states/1 city): Florido, Veríssimo and Água Comprida)
Sul/RS • Camaçari/BA
• State of Rio Grande do Sul • Bauru/SP Prisons - 2
• Patos de Minas • Toledo/PR • State of Ceará • Cities cluster Comares/CE
• State of Bahia 2 PPP’s
(Altaneira, Barbalha, Caririaçu, Crato,
• Corumbá • Barreiras/BA • State of Rio Grande do Sul
• Cariacica/ES Farias Brito, Jardim, Missão Velha, Nova
• Valparaíso de • Alagoinhas/BA Olinda e Santana do Cariri) • State of Santa Catarina
Goiás/GO • Senador Water, Sewage and Solid Urban Water and Sewage Treatment Supply Correctional facilities- 2
• Crato/CE Canedo/GO Waste Treatment Supply - 1 -6
2 PPP’s
FEP (1 city) BNDES (6) • State ofMinas Gerais
BNDES (cities): 8 • São Simão/GO • State of Rio de Janeiro • State of Santa Catarina
• Curitiba/PR • Macapá/AP • State of Acre

•
•
Pelotas/RS
Consórcio
•
•
Petrolina/PE
Caruaru/PE
Urban Drainage - 2
• State of Amapá
• State of Paraíba
• State of Minas Gerais
49
Projects
Centro-Sul FEP (cities) • Porto Alegre/RS
• Jaboatão dos
• Contagem/MG Guararapes/PE • Porto Alegre/RS Hospital – 1 H
• Teresina/PI
Guarulhos/SP: Municipal Hospital of Children and Teenagers (HMCA)
The challenge of universalizing basic
sanitation
Goals
• In Brazil, a population similar to that of
Canada has no access to clean water
• More than 100 million Brazilians have no
access to sewage removal and treatment

• Goals:
• Enhancing private partnerships
subnational level bodies (an estimate of
USD 150 billion in investments )
• Structuring bankable projects to provide
proper services to Brazilians
 State of Amapá
Basic sanitation projects
State of
Ceará
São Gonçalo Urban solid waste 4 2 million USD 660 million*
do Amarante
(pilot projects) projects Entitled Projected
Teresina
Population Investments- Total
Consortia
Crato
Comares
4 528,000 USD 600 million*
FEP Basic
projects Entitled Projected
State of Acre sanitation Investments- Total
population

3 6.5 million USD 2.1 billion

São Simão Sewage - BNDES projects Entitled Projected
Consortia Investments- Total
population
Convale Cariacica

Bauru
State of 54 18 million USD 8.1 billion
Rio de Janeiro Water distribution and
Volta Redonda projects Entitled Projected
sewage - BNDES population Investments- Total
Urban solid waste - FEP
Basic sanitation - FEP
Water distribution and Porto Alegre
Total 15 projects 25.5 million USD 11.4 billion
sewage - BNDES
State of
Sewage - BNDES Rio Grande do Sul * Capex + Opex
Banco de serviços: destaque para saneamento
Service bank: emphasis on sanitation (BNDES)
Cariacica / Rio de Janeiro Rio Grande Porto Alegre / Minas
Alagoas state Acre state Amapá state Ceará state
ES state state do Sul state RS state Gerais state

Concession of Concession of
Sewage Full concession Full concession Concession of
Business water water Sewage Sewage
PPP of water and of water and water and/or To be defined
Model distribution distribution PPP PPP
sewage sewage sewage
and sewage and sewage

Entitled
1,393 423,000 13,739,000 629,000 742,000 1,890,000 1,479,000 4,173,000 11,330
Population

Projected
USD 520 mi USD 116 mi USD 6.7 bi USD 257 mi USD 765 mi USD 600 mi USD 400 mi USD 1.34 bi To be defined
Investments

Auction Auction Auction Auction Auction Auction Auction Auction

Next steps To be defined
Q3/2020 Q3/2020 Q1/2021 Q1/2021 Q1/2021 Q2/2021 Q2/2021 Q3/2021

For more information: http://saneamento.bndes.gov.br/.

Entitled population Total projected investment

36,000,000 USD 10.7 billion
 FEP – PROJECTS IN THE PIPELINE
URBAN DRAINAGE 2 2.2 million 2 To be defined
Entitled
projects Cities
population

STREET LIGHTENING 14 4.6 million 14 200 million

projects Total Capex + opex
Entitled population foreseen
Cities

URBAN SOLID 04 2 million 19 660 million

WASTE (PILOT Total Capex + opex
projects Entitled population Cities foreseen
PROJECTS)

BASIC 04 528,000 04 600 million

SANITATION
Cities Total Capex + opex
projects Entitled population
Urban Drainage foreseen

Street Lightening Total 24 projects 9.3 Million 39 1.46 billion

Sewage
Environmental Sanitation

PARTNERS
 Projects in Municipalities – FEP – Street Lightening
AUCTION
FU CITIES % ACCOMPLISHED
SCHEDULE
BA Alagoinhas To be started 4,6 Mi
14
BA Barreiras To be started 2021
PA Belém* 94 2020
ES Cachoeiro de Itapemirim 73 2021 14 552 Mi 478 Mi
BA Camaçari 68 2021
SP Campinas* 88 2020 Modelling design guidelines
MS Corumbá 21 2021
CE Crato To be started 2021 • Administrative PPP
MG Nova Lima 65 2020 • Scope: modernizing, expanding, operating and maintaining the power
MG Patos de Minas 45 2021
grid
RS Sapucaia do Sul* 94 2020
• Energy efficiency and less impact in the environment
• Short-term investments, up to 3 years
GO Senador Canedo To be started
• Telegestão (vias principais)
PR Toledo 33 2021 Supporters: Grantor:
GO Valparaíso de Goiás To be started 2021

2nd Public Call for Street Lightening:

*Projects supported by the IFC/World Bank under public consultations between January
and March/20 - Disclosed results: 46 cities and 10 qualified consortia
* Estimated amount for CAPEX and OPEX
 Macapá

Street Lightening - BNDES 40m

400m
Teresina*
87m
800m Jaboatão dos
Guararapes
43m
703m

Images legend Petrolina

Spots 35m
Population Curitiba 340m
160m
Caruaru
Chart legend 1.9mm
31m
Ongoing projects
Pelotas 350m
Prospecting cities
29m
Contagem
340m
Data presented in this chart are 55m 35m
estimated, thus they shall not be 664m
considered as definite figures. Consórcio 490m
Consórcio
Centro Sul Sul
Centro
30m Porto Alegre*
30m
400m 105m
400m
1.4mm
*Auction accomplished
 PUBLIC CALLS AND PILOT PROJECTS – FEP CAIXA
Street Lightening
Bidding Notice Dic/2019
Enrollment closed
3/6/2020
65 enrolled municipalities
46 qualified municipalities
15 enrolled consortia
10 qualified consortia
Entitled Population:
10.6 Million (municipalities)
1.9 Million (consortia)
Basic Sanitation Pilot projects
Urban Solid Waste Drainage
Enrollment closed City of Teresina/PI – hired in
7/15/2020 Aug/20
41 enrolled consortia
City of Porto Alegre/RS –
hired in Sep/20
Correctional Facilities /
Water supply and Sewage UNOPS
State of Minas Gerais –
Bidding notice hiring in progress
scheduled for State of Santa Catarina –
2nd Half/2020 hiring in progress
 PPP FEP AUCTIONS (2020 SCHEDULE)
Preliminary Legislation Assessment Public Bidding
Auction
Assessments Amendments Accomplished Hearing Notice

Feira de Santana/BA

Aracaju/SE

Franco da Rocha/SP

Sapucaia do Sul/RS

Belém/PA

Nova Lima/MG

Campinas/SP

Cachoeiro do Itapemirim/ES

Camaçari/BA

Teresina/PI

Convale/MG

Bauru/SP

São Simão/GO

Crato/CE
Subnational level partnerships – States prison systems
o Policy objectives: alternative solutions that enable the
provision of public services with greater efficiency, quality
and effective re-socialization of prisoners through work and
study.
o Object of concession: construction, maintenance and
operation of prisons.
o Model: administrative concession
o Structurer: BNDES and BID
o Grantor: states of Rio Grande do Sul and Santa Catarina
o Sector Ministry: Ministry of Justice
o Regulator: states’ secretariats
Q4/19 Q4/20 Q2/20
Qualification in PPI Selection of pilot projects
o Greenfield and brownfield projects:
Santa Catarina: new detention center comprising a prison with
capacity for up to 600 prisoners and medium security prison(s)
with capacity between 1,800 and 3,300 prisoners, considering in
this total 806 vacancies in the Blumenau Industrial Penitentiary
Rio Grande do Sul: new detention center comprising medium
security prison(s) with a total capacity for up to 1,125 prisoners, in
the city of Erechim
o Contract term: up to 35 years
o Main modeling assumptions: under assessment
o Consultancy in charge of assessments: consortium led by PWC (under
approval)
o Status: contracting between BNDES and states
Q4/21 Q2/21 Q3/21 Q4/21
Correctional facilities

• Pilot projects under designing: SC and MG

• CAIXA and UNOPS (ONU) go hand in hand with PPI for designing those PPPs

• The private partner will be responsible for constructing, maintaning, operating

up to 35 years, with quality services milestones, training and skills
development.
Supporting Subnational Level Partnerships
Daycares
• PPI, the Ministry of Education and BNDES are prospecting for Pilot Projects with states and
municipalities
• 1st pilot project for PPP in daycare singled out in Teresina (PI) (40 unities).
• Private partner is responsible for accomplishing the civil works, equipping, maintaining and
operating for up to 35 years, with standards to meet in quality of service.
• Public partner is responsible for pedagogical planning, selection of children to be served,
monitoring and inspection of contracts and goals.
 The Children’s Hospital in Guarulhos-SP
• Features: Assessing alternatives for PPPs aiming at building, equipping, operating, maintaining and providing
clinical and non-clinical services in the Healthcare Specialized Unit of municipal duty.
• Object of assessments: A PPP for the the new hospital will be designed, under the administrative concession
model, which will replace the current service provided in the Municipal Hospital Municipal of Children and
Teenagers (HMCA). It will be built in an area provided by the City Hall, allowing not only an increase in the number
of beds but also undertaking an architectural proposal in line with more quality and efficient hospital services. As
for the new envisaged services, it is worth highlighting: hospital admission, hospital assistance, immediate care,
24h emergency room, outpatient care, diagnosis and therapeutic support (internal), diagnosis and therapeutic
support and medical specialties (external), elective surgeries and other not aforementioned services that might
meet the City Hall future requirements.
Assessments: Structurer - BNDES
Model: PPP under the administrative concession model
Grantor: City level
Body: Guarulhos (SP) City Hall
Public Guarantees: Under assessment
Contract Term: to be defined
Current stage: Requirements definition
Assessments to be accomplished: Q1 2022
Bidding Notice: Q2 2022
Next steps

September, 2020
 Next PPI auctions in 2020
2nd Half/2020 (24 assets)
Railways(2) Port Terminals (4) Sunational Levels: states and municipalities utilities (5)
• Renewal EFVM • 1 in Paranaguá/PR (December 18) • 3 Public Lightening PPPs:
• Renewal EFC • 2 in Aratu/BA (December 18)
• 1 in Maceió/AL (December 18) •Belém/PA (November 6)
•Sapucaia do Sul/RS (November 6)
• Campinas/SP
Energy (1) Mining Rights (3)
• 1 Concession of water distribution and sewage treatment
• Transmission Lines 01/2020 (December 17) • Phosphate - Miriri (PB)
• Copper - Bom Jardim de Goiás (GO) •City of Cariacica/ES (sewage PPP)
• 1st round - ANM available areas
•1 Urban Solid Waste PPPs:
•Convale consortia/MG
Oil and Gas (1) Fishery Terminal (1)
• 2nd cycle of Open Acreage • Cabedelo (PB)

Privatizations (1) National Parks and Forests (2)

• Ceitec – dissolution • Aparados da Serra (RS) and Serra Geral (SC)
• Humaitá Forest (AM) • Obs. There is also the prospect of delivering Environmental
Licensing: The Preliminary Licensing (LP) of the Pedral do Lourenço
/ PA waterway
 PPI Auctions - 2021
2021 (112 assets)
Port Terminals (16) Airports – Round 6 (24) Privatization (13) Subnational level utilities (22)
• 3 Terminals in the Port of Maceió/AL 22 airports in 3 blocks • Eletrobras • TRENSURB • 3 Concessions of Urban Solid Waste
• 2 in the Port of Fotaleza/CE • Block North • ABGF • CBTU • Bauru (SP)
• 2 in the Port of Santos/SP • Block South • EMGEA • SERPRO • Consortia Comares (CE)
• 2 in the Port of Paranaguá/PR • Block Central • CEASAMINAS • DATAPREV •Teresina (PI)
• 1 in the Port of Vila do Conde/PA 2 airports • CEAGESP • TELEBRAS • 1 Concession of Urban Solid Waste, Water and
• 1 in the Port of Areia Branca/RN • NUCLEP • CORREIOS
• Viracopos – Campinas (SP) Sewage supply
• 4 in the Port of Itaqui/MA • São Gonçalo do Amarante – Natal (RN) • CODESA • São Simão (GO)
• 1 in the Port of Santana/AP
Mining rights (1) • 4 Concessions of water and Sewage services
Fishery Terminals (7)
Highways (7): • Coal in Candiota (RS) •State of Acre
• Belém (PA)
• BR-116/465/101 (SP/RJ) - Dutra • Manaus (AM) •State of Amapa
• BR-470/282/153 (SC) Regional Development (1) •State of Rio de Janeiro
• Aracajú (SE)
• BR-381/262 (MG/ES) • Natal (RN) • Irrigation Perimeter in Irecê (BA) •Porto Alegre
• BR-116/493 (RJ/MG) - CRT • Vitória (ES) • 5 Concessions of Sewage services
Telecommunications (1)
• Integrated Highways of Paraná state • Santos e Cananéia (SP) • Crato (CE)
• BR-153/080/414 (GO/TO) • 5G •São Gonçalo do Amarante (RN)
• BR-163/230 (MT/PA) Parks (5) •Volta Redonda (RJ)
Urban mobility (1)
• Lençóis Maranhenses (MA) •State of Rio Grande do Sul
Railways (4) • Jericoacoara (CE) • Belo Horizonte subway Line 2 •State of Ceara
• Ferrogrão • Iguaçu (PR) • 9 Public Lightening PPPs:
• Canela (RS) Obs. There is a prospect of decision-making on
• Renewal MRS • Cachoeiro do Itapemirim (ES)
• São Francisco de Paula (RS) environmental licenses (8):
• Renewal FCA • Construction licensing of BR-080/MT • Camaçari (BA)
• FIOL (BA) Oil and Gas (3): • Construction licenseing of BR-158/MT • Corumbá (MS)
• Preliminary Licensing of BR-319/AM/RO •Nova Lima (MG)
Defense and Security (2) • 2 blocks – Transfer of Rights (Sépia and • Preliminary Licensings of HPPs of • Patos de Minas (MG)
Atapu) Castanheira/MT, Formoso/MG, Tabajara/RO and
• Comaer PPP • Toledo (PR)
• Round 17 under concession Telêmaco Borba/PR
• Security Forces Communication PPP •Barreiras (BA)
agreement • Unlocking BR-135-BA/MG • Crato (CE)
• Valparaíso de Goiás (GO)
 PPI Auctions scheduled for 2022
2022 (29 assets)
Privatization (3) Tourism (4)
Highways (6): • Port of São Sebastião (SP) • Pau D’Alho Farm(SP)
• BR-040/495 (MG/RJ) - Concer • Organized Port of Santos (SP) • Santa Catarina Fortress(PB)
• 7200 km of fed-level highways • Organized Port of Itajaí (SC) • Nossa Senhora dos Remédios Fortress – Fernando
de Noronha (PE)
• BR-158/155 (MT/PA)
Parks and Forests (4) • Fort Orange (PE)
• BR-040 (DF/GO/MG) – rebidding
• BR-135/316 (MA) • Iquiri Forest (AM)

• BR-364/MT/RO • Castanho Forest (AM)

• São Joaquim National Park (SC)
Railways (1)
• Brasília National Park (DF)
• Ferroeste
Subnational level PPPs(6)
Health (1)
• 2 Daycare PPPs :
• New Municipal Hospital Municipal of Children and Teenagers in
Guarulhos (SP) • City ofTeresina (PI): 40 units

Lottery (1) • State of Alagoas (CE): 67 units

• Aposta de quota fixa • 2 Prison PPPs:

• City of Blumenau (SC)
Mining Rights (1) • City of Erechim (RS)
• Kaolin in Rio Capim (PA) • 2 Correctional Facilities PPPs: Obs. One ruling on Environmental Licensing is
expected (1):
• State of Minas Gerais
• Previous License for BR-242/MT(Road section
• State of Santa Catarina
between Querência and Santiago do Norte)
www.ppi.gov.br
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