Brazil, home of the world’s 7th largest economy and the largest in Latin America has recently came out of recession. Despite this good economic news the federal government has been exploring the potential economic advantages public private partnerships offer. Federal Law 11,079 / 04 was passed in December of 2004. Federal Law 11,079 defines basic implantation rules for public private partnerships projects. Felipe Montoro Jens has gathered details on several instances of public private partnerships in Brazil.
Public private partnerships offer a situation where relationships are forged between the public and private decision makers in order to achieve a common goal. In working together both sectors can benefit from the advantages they have. Felipe Montoro Jens does point out, some issues with public private partnerships are the tax right offs of the private sector. Public private partnerships requires both parties to incur costs, however the private sector will right off those expenses, and will ultimately be paid by the public sector. Read more at negocioemfoco.com about Felipe Montoro Jens
Felipe Montoro Jens gathered details about Belo Horizonte’s public private partnership project. Belo Horizonte is implementing a historic public private partnership project to upgrade the public lights to LED lights. Felipe Montoro Jens reported by year 2020 182,000 lights will have been upgraded to LED lights. This is the first time a public private partnership project has ever been successfully implemented on a scale this large. Felipe Montoro Jens reported other cities in Brazil are looking to implement public private partnership projects similar to Belo Horizonte.
According to Felipe Montoro Jens, the government plans to auction Belem (PA), Vila do Conde (PA), Paranagua (PR) and Victoria (ES) ports to the private sector in an effort to relieve some of the financial strain on the federal government. In addition to the ports Felipe Montoro Jens reported the Mint, Ceasaminas, Casemg and Docks of Espirito Santo are scheduled to sold to the private sector at the end of 2018.