On September 14 the Secretariat of PPP published the preliminary version of the agreement for the construction, operation and maintenance of the "Extra High Voltage Line at 500 kV ET Rio Diamante - New ET Charlone, Transformer Stations and additional works at 132 kV" project (Project), under the PPP program for the "Transmission Lines Stage 1 PPP Project".
The preliminary bidding terms and conditions of the Project were published on September 24. Unlike the previous PPP "Highways and Safe Roads Network - Stage 1" project for the awarding of toll roads, in which the design, construction and operation of six toll roads was awarded under the same procedure, in the case of electricity transmission, the project has been split into 3 different stages. Therefore, only one PPP Concessionaire shall be awarded the first stage of the Project.
The execution of the PPP agreement is expected for the first quarter of 2019.
This Project is a priority for Argentina's infrastructure development since it will contribute to the supply of an area with a high demand for electricity and significant structural weaknesses within its networks. This area comprises certain portions of the provinces of Córdoba, Santa Fe, Buenos Aires, Mendoza, San Luis and La Pampa.
M. & M. Bomchil has taken on a preeminent role within the framework of the first PPP tender process in Argentina for the "Highways and Safe Roads Network - Stage 1" project, acting as legal counsel to the only consortium of companies which was awarded two out of the six toll roads up for bid. The firm, jointly with the consortium, has actively participated in the drafting of the relevant corporate, legal and financial documents for the submission of bids and the structuring of the bonds and financing as required by the tender documents.
KEY FEATURES OF THE PPP AGREEMENT FOR STAGE 1 - ELECTRICITY TRANSMISSION
Main Works: construction, operation and maintenance of the Transformer Station Charlone, a 500 kV extra high voltage line between the Transformer Station Rio Diamante and the future Transformer Station Charlone, five 132 kV lines and additional works. Term: 15 years Execution of the PPP Agreement: A construction stage set for the first thirty-six (36) months as from the execution of the PPP Agreement and until the granting of the Commercial Authorization by the Contracting Authority; and An O&M services stage, which shall begin once the Commercial Authorization has been...