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Horta ,  October 17, 2018

Regional Government ensures conditions for increased attractiveness of private investments in port operation concessions in the Azores

The proposal presented by the Regional Government amending the legal scheme on port operations in the archipelago was approved today by the Legislative Assembly in Horta.

"Besides other legal issues, it changes the maximum limit of the concession period from up to 30 years to up to 75 years. This period is established in accordance with the period of time necessary for the amortisation and return of the capital invested by the concessionaire under normal profitability conditions of the operations," said the Regional Assistant Secretary of the Presidency for Parliamentary Affairs.

Berto Messias also stressed that "it is important to avoid the misunderstanding of concepts," specifying that "what is at is at stake in this matter is the basis of concession models and not issues related to privatisation."

"The assumptions for attracting potential stakeholders in a concession model are, therefore, guaranteed. They consider that, according to the technical information we have, the deadline of up to 30 years is restrictive in the context of a strategy aimed at reinforcing our port infrastructures, through partnerships. The latter are intended to ensure a concession model for cargo handling public service that also requires private investments deemed necessary, such dredging, extension of breakwaters or infrastructures," said Berto Messias.

According to the Regional Secretary, "this change to the time period falls within the international context of this sector, where the extension of deadlines is already a reality in other countries and other ports," pointing out the examples of Spain, Rotterdam, Antwerp and Hamburg.

Berto Messias also highlighted the Court of Auditors' recommendation issued in the report on the management, monitoring and control of the public service concession contracts of port administrations. The document mentions the importance of extending the duration of concession period, being in line with practices in the European context.

Questioned about the status of the tender for the concession of the Transhipment Terminal at Praia da Vitória Port, the Regional Secretary stated that the proposal now approved "is not specific to Praia da Vitória Port. However, the work carried out by the Regional Government on this port and the recommendations issued to the Regional Port Authorities in this process have been made public."

"In this context, I can inform the Parliament that the base project for the Transhipment Terminal has been completed as well as the surveys, tests, environmental assessment for the environmental impact study. The latter has been delayed due to the non-compliance of service provider with characterisation of samples," said the government oficial.

Berto Messias also stated that the "Regional Port Authorities has already moved forward with the procedures for obtaining the environmental impact statement, which is the last step of the procedures before the launch of the tender."


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Official government press-releases presented in all foreign languages interfaces of the Azorean Government Portal (Portal do Governo dos Açores) are a sub-set of the government's official press-releases daily output and are chosen for translation and publication on the foreign language interfaces based on audience segmentation criteria. The entire collection of the Azorean government press-releases is available in portuguese, here, from the GACS Press Office site.

 
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