Frequently asked questions
Public-Private Partnership Contracts are those where a Public Administration grants a private person, for a certain period, the design, construction and operation of an infrastructure, or some of these services, together with the financing.
Public-Private Partnership Contracts can be signed when previously determined that, according to Law 18,786 of July 19, 2011, other alternatives for contracting do not offer better possibilities of satisfying the public objectives.
Public-Private Partnership Contracts can be signed in the following activity areas:
Roads (including rural roads), railroads, ports and airports
Disposal and treatment of refuse
Social infrastructure: jail facilities, healthcare centers, education centers, social interest homes, sport centers and urban development.
Public-Private Partnership Contracts can never include the following:
Education services in education centers
Health services in healthcare centers
Security, health and education services of detainees in jail facilities.
In relation to Law 18,786 of July 19, 2011, it is understood by Public Administration as Government Powers, Court of Auditors, Electoral Court, Administrative Court, Autonomous Entities, Decentralized Services and Local Department Governments.
As compensation for the services provided, the Contractor would be eligible for several forms of payment, depending on the type and characteristics of each project. These forms of payments can be used solely or combined and will be paid by users or the Public Administration contracting, or both.
Private initiatives to implement a Public-Private Partnership Contract must be submitted to the National Corporation for Development. The offering party must include in its proposal a Pre-feasibility study that demonstrates the project’s viability. Moreover, the offerer must present a warranty for the maintenance of the proposal, equivalent to 0.5% of the total investment, for at least 180 days.
All information related to private initiatives will be considered confidential. Such confidentiality will be kept until the Public Administration contracting decides to open a public competitive dialogue or a Request for Pricing. If no public calling is open, the confidentiality will be kept for a period of two years, from the date of submission to the National Corporation for Development.
The offerer of a private initiative shall be rewarded with an advantage of up to 10% in the valuation of its offer with respect to the best offer. Moreover, the offerer will not be required to purchase the Contract Specification and other descriptive documentation. Finally, after final adjudication of the contract, the offerer will be reimbursed the costs of the Feasibility Study, in case they are not selected as Contractor.
Competitive dialogues are intended to obtain contributions from specialized technical experts from the private sector with the objective of achieving the best possible solutions to meet the public administration needs. They are also intended to establish the essential characteristics that offerers and their proposals must possess so as to achieve, during the execution of the Contract, the most efficient economic outcome.
During competitive dialogues all participants will be given an equal treatment and, in particular, no information will be given that may give discriminatory advantages to certain participants with respect to the rest. The solutions provided by one participant and other confidential data will not be shared among other participants, without consent.