A new President and her plans to improve the Brazilian airport system
A new President and her plans to improve the Brazilian airport system
As the ninth largest economy in the world – expected to reach fifth place in the next decade – and the largest of Latin America, Brazil is today one of the best markets for foreign investment and an increasingly important operator in the international geopolitical stage. Despite that, three recent reports have described the quality of Brazil’s transport infrastructure – including the airport system – as ranking among some of the worst in the world, despite growing demand from international manufacturers for goods produced in the country.
a) The first report, by the Brazilian economic consultancy LCA Consultores – which ana [...]
Federal Government sets the date for auction of the Brazilian Bullet Train
Auction date has been defined
The meeting held between Dilma Roussef, the Brazilian President-elect and members of the State Office and the Government transport sector sealed the date for the auction for the bullet train that will connect Campinas-São Paulo-Rio de Janeiro. According to Dilma’s decision, it will take place on November 29, 2010.
Requests had been made by businessmen to postpone this date, and in view of this, the meeting was held yesterday been the President-elect and the members of the government responsible for the auction.
According to allegations of interested parties, the administration had delayed in disclosing the rules due to the electoral process, which allegedly [...]
Switzerland – Accelerated Procurement for Urgent Government Projects
By Matthias Scherer and Samuel Moss
In May 2008, the Swiss Federal Government commenced a consultation process with a view to the full revision of the Federal Law on Public Procurement. During the process, however, it became clear that a full revision was not advisable due to delays of the WTO Government Procurement Agreement of 15 April 1994 to which the Federal Law has to conform. The Federal Government therefore decided to put the full revision on hold and to focus on certain elements of the Law that required urgent attention.
In May 2010, the Government submitted to the Parliament a proposal for an amendment of the Federal Law on Public Procurement (Message to the Parliament of 19 May [...]
Hitch “Inn” Time?
Whilst interest in the recent UK judgment in the case of City Inn v Shepherd Construction may be confined to these shores, it is sufficiently important in the UK construction arena to warrant a mention on this Blog. The level of interest generated by this case initially may seem disproportionate to the complexity of issues and the amounts of money at stake. But ever since the option to adjudicate became compulsory for all UK based “construction contracts” in 1996 (Under the Housing Grants, Construction & Regeneration Act – see opsi), there has been a distinct lack of relevant construction UK case law on matters such as causation and delay – as parties choose the quicker, cheap [...]
Brazil opens bid for a bullet train: a US$ 20 billion project
The Brazilian bullet train project
On July 13th 2010 Brazilian Federal Government launched bidding documents regarding the concession regime and procedures for implementation and operation of the High-Speed Rail (TAV – Trem de Alta Velocidade) that will connect the cities of Rio de Janeiro, São Paulo and Campinas. The project, the most ambitious infrastructure project under the country’s Program to Accelerate Growth (PAC – Programa de Aceleração do Crescimento), specifies that the construction, operation, and maintenance will be granted to the consortium that provides the lowest fare for service.
The concession contract establishes the limit of six years to complete the entire stret [...]
Green Buildings in Russia – is all still quiet on the Eastern Front?
The World Bank and IFC have recently reported that Russia’s current energy inefficiency is equal to the annual primary energy consumption of France. Indeed, the low local cost of energy, a mainly declarative legislation on environmental efficiency and little public interest have long kept Russia out of the global warming debate, and far away from the exotic issue of green buildings.
This trend is hopefully coming to an end with the recent enactment of a new law with compulsory requirements on energy saving and efficiency. This marks a clear ambition by Russian policymakers and will probably enhance the nascent interest in green buildings of the main players in the real estate industry, who [...]
US$ 22 billion of upcoming expected investments in the Brazilian railway system
For the past 10 years, the private initiative has invested more in the Brazilian railway system than the Federal, State or municipal governments altogether (public initiative). With the prospect of a World Cup (2014), Olympic Games (2016) and lots of investments in the energy sector, Federal and State governments are willing to play a more decisive role on this area.
According to a survey recently disclosed by the Ipea – Institute of Applied Economic Research (www.ipea.gov.br), while private capital injections have grown steadily during this period, State investments have faltered. In 1999, public initiative counted only R$ 20.9 million in railways while private initiative channeled R$ 232.8 [...]
FCPA Violations Now Drawing Extended Stays in Federal Pen
On Monday, April 19, 2010, a federal judge in the Eastern District of Virginia handed down “the longest-ever prison sentence” for a Foreign Corrupt Practices Act (FCPA) violation. Charles Jumet was sentenced to 87 months in prison for conspiring to violate the FCPA and for making false statements to federal agents. Jumet, a vice president of Ports Engineering Consultants Corp. (PECC), pled guilty to paying over $200,000 in bribes to high-ranking Panamanian government officials between 1997 and 2003 in exchange for maritime contracts to maintain lighthouses and buoys along Panama’s waterways. (PECC’s president, John Warwick, also has pled guilty to the same conduct and is scheduled to [...]
Tests on Completion under the FIDIC Yellow Book
I am a contractor working on a wastewater project in Eastern Europe, using the FIDIC Yellow Book –Design & Build. Vol.3 of our contract contains the following clause:
“Tests on Completion
The test on completion duration shall be 90 days.
The first 30 days shall be a monitoring period during which the Contractor sets up the operation of the plant and conducts his own water quality tests to confirm that the final effluent consent has been met. At the end of this period the Contractor shall notify the Engineer that the plant is complete and meeting the Process Guarantee which then shall be met by a further 30 consecutive days before Taking Over can take place.”
We have met the final 30 consec [...]
Getting into the Greenbacks: Hurdles in Competing for U.S. Government Construction Work
Non-U.S. companies frequently ask whether they are eligible to compete for U.S. Government construction and renovation projects, whether within the U.S. or on U.S.-owned facilities abroad. The answer is a simple “yes” in the great majority of cases, unless the project requires access to secure or classified information. Much of the work on U.S. Embassies, for example, requires such access (and some is restricted to only U.S. firms). To work on a secure/classified project, the contractor must possess an Industrial Facility Clearance (FCL), issued in accordance with the National Industrial Security Program Operating Manual (NISPOM). So let’s consider the requirements for that.
To b [...]
