Argentina Procurement News Notice - 65391


Procurement News Notice

PNN 65391
Work Detail A key meeting will be held to define the public-private participation project. The guidelines of the “Uruguayan model”. 23The joint work between the provincial government and the Tucumán Chamber of Construction (CTC to reactivate public works in Tucumán through a public-private participation scheme (PPP) is closer to materializing. Today a new meeting will be held between representatives of both sectors - the State and the business community - to unify the ideas developed by the parties, and thus develop a final project that will be presented to the governor, Osvaldo Jaldo. The initiative generates expectations not only among the twenty firms associated with the CTC, but also among construction workers, who lost more than 3,000 jobs (close to 25% of the provinces labor market) from November to today. product of the economic crisis and the suspension in the sending of federal resources for public works projects. Jorge Garber, president of the entity that brings together Tucumán businessmen, explained in dialogue with LA GACETA that the intention is to advance in this stage with the implementation of the “PPP” scheme for two strategic areas: the construction of homes and the execution of networks. secondary and tertiary roads (both for production and tourism), both aspects in which the province has a historical deficit. Consensus Last November, a month before taking office, President Javier Milei launched an iconic phrase related to public works. “There is no money,” warned the leader of La Libertad Avanza, alluding to the fact that the fiscal adjustment planned for the beginning of his administration would also imply the suspension of shipments for infrastructure projects carried out in the provinces. Faced with this scenario, and with a hundred ongoing files in Tucumán affected by the lack of federal funds, the Minister of Public Works and Services, Santiago Yanotti, began to analyze alternatives together with businessmen in the sector. Although the State and CTC proposals are still in draft format, there is some consensus regarding the “PPP” model that is expected to be used in the province. It happens that in 2016, during the presidency of Mauricio Macri (Cambiemos), the Nation promoted the awarding of public-private participation projects in public works. However, Yanotti clarified in an interview with “Buen Día”, LG Plays morning newspaper, that although “the title is the same, the shapes of the model are different.” In that sense, the minister pointed out, the main inspiration is the “Uruguayan scheme”, also replicated in other provinces of Argentina (it is even similar to the first version of the “Procrear” program). Thus, in the case of housing construction, the States participation would lie in the economic contribution on a key aspect, such as the construction of housing infrastructure or the subsidy of the credit rate; while the construction companies would carry out the work, and citizens would have to meet a series of requirements to access the credit scheme proposed by a financial institution. Thus, the choice of the beneficiary would remain not so much in the hands of the Provincial Institute of Housing and Urban Development (Ipvdu), but would adjust to the conditions of the subject interested in accessing the credit. Yanotti stressed that the housing deficit "is transversal to all economic classes", and while the most vulnerable sectors could obtain improvements through other programs (for example, through modules or solutions), this scheme would be aimed at sectors that have income enough to face a payment “more similar to a rent.” In any case, the minister clarified that, for this, it is key that they first “lower rates” in the market. “What we are doing is moving forward with the institutional schemes and with the financial discussions so that, when that happens, we can start applying this model,” he explained to LG Play. In two areas, Garber assessed that, with the “Uruguayan scheme”, the public-private participation model offers “very good alternatives” to the beneficiaries, since although the State intervenes - either through a subsidy on the credit or through the execution of the infrastructure -, the buyer has the option of accessing properties with different characteristics and prices, depending on the market offer. “Each company can give up profits or not,” he explained. The head of the CTC pointed out that the main objective in terms of housing is set on the 100 hectares of the Manantiales Sur project, initially planned for the Procrear program, but suspended after the cessation of federal shipments. Added to this is the possibility of advancing with road works in the province, through the creation of a road consortium to sustain the productive and tourist network. “We are going to present a proposal regarding the secondary and tertiary route network,” he anticipated. For this reason, Garber added, in this Mondays meeting at the offices of the Ministry of Public Works they await the participation of officials from the Housing Institute and the Provincial Directorate of Roads. “We plan to make a fusion between what the State has been working on and the CTC proposals, to conclude in a single tool and present it to Governor Jaldo and the Minister of Economy and Production (Daniel Abad),” he said. The businessman stated that, beyond this work, the intervention of the Legislative Branch could subsequently be required to sanction the necessary regulations that allow the “PPP” model to be applied in Tucumán. In any case, he confirmed that the intention is to begin implementing this scheme during the current year. “We need to work on them now,” he summarized.
Country Argentina , South America
Industry Construction
Entry Date 25 Apr 2024
Source https://www.construar.com.ar/2024/04/obra-publica-viviendas-y-rutas-el-primer-objetivo-del-esquema-ppp/

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