Title: Public-Private Partnership in Irrigation - Invitation to Bid
Region: Latin America and Caribbean
Sectors: Water and Sanitation
Keywords: Contractual Provisions, PPP Project Cycle, Legal Framework, Legal issues, Risk, Sample clauses, Sample wording, Negotiation phase, Key drafting issues, Irrigation
This project seeks to establish a public-private partnership (PPP) for common use irrigation infrastructure in an area of 7,717 hectares for commercial agriculture in the Pontal region of Brazil, State of Pernanbuco. The government would cede the land and the existing infrastructure, already covering a significant part of the target area.
The private partner would operate and manage and further develop the infrastructure to ensure (1) the area is fully irrigated within six (6) years of the date of signature of the contract; and (2) that at least 25% of the irrigated land is available for small farmers, who should be integrated into the production chain of the commercial producers that would occupy the remainder of the land. The private partner will be remunerated for the sale of water (through user tariffs) and a capacity payment by the government.
For information and documents in Portuguese, visit Concessão Patrocinada do Projeto Publico de Irrigação Pontal.
To learn more about this sector, visit Water and Sanitation Public-Private Partnerships.
Updated: October 25, 2021