The State of São Paulo, Brazil, evaluating PPP opportunities for 20 regional airports through IOS Partners

International economic development consulting and financial advisory firm IOS Partners has been awarded a major multi-airport master planning consultancy to evaluate the opportunities for private-public partnerships for regional airports in the State of São Paulo, Brazil.

Under the agreement, IOS Partners will focus on rationalizing State participation in the regional airports, and identify and compare potential PPP opportunities for private sector participation in the development of the airports. IOS Partners previously completed a statewide airport modernization project in the State of Bahia.

IOS’ Plan of Airport Exploitation (PAE) will develop a comprehensive strategy for management and investment for 20 airports under the responsibility of the State of São Paulo (DAESP) as they prepare for possible privatization.

The Government of the State of São Paulo is exploring solutions via economic-financial analyses. It  is looking for greater private sector participation in the operation and development of airports infrastructure, so as to optimize operations, introduce new technologies, reduce costs and increase revenues through providing new services.

IOS tells TMI that the three main objectives of the mandate are: 1) analysis of airports, including traffic forecasts, projections of operating and ancillary revenues, analysis of infrastructure, cost estimates and associated investments;

2) development of management strategies of the airport network, including the assembly of lots for concession, identification of problems and solutions in the legal, contractual, regulatory, financial and technical areas, favoring the feasibility of the projects as Private Concessions, and better cost-benefit relationships (socioeconomic-environ-mental) to the Government; and

3) supporting the bidding process for possible concessions, including risk assessments of the private operation, the preparation of technical documents, presentations and memoranda, interface advice with potential investors and elaboration/ technical adjustments in the associated documents.

IOS Partners was contracted by the Department of Roads (DER) of the State of São Paulo, with full financing by the Inter-American Development Bank (IDB).

Javier Gonzalez, IOS Partners’ Director of Aviation Planning said, “We are delighted to launch the Plan of Airport Exploitation in the State of São Paulo and we look forward to working closely with the Department of Roads and the Department of Aviation of the State of Sao Paulo to drive forward the development and private sector participation in the State’s aviation sector. As the richest and most populous Brazilian state and a major industrial complex, the State of São Paulo has a growing need for airport connectivity. We are delighted to be bringing our expertise and decades of experience to this exciting new assignment.”

Robert Hans, IOS Partners’ President and CEO said, “This is an important win for IOS Partners, as it strengthens our portfolio and footprint in Brazil and the region at large – and will allow us to bring our significant experience in P3s to bear.”

 

For more information about IOS’ aviation work, please visit: 

http://iospartners.com/practice-areas/aviation-tourism/