Work on the 15km line started in April 2015, but was halted in August 2016 when some of the original contractors which made up the Move Consortium, including Odebrecht, Queiroz Galvão and UTC Engenharia, became embroiled in the Lava Jato (“Car Wash”) anti-corruption operation. The consortium, which was required to fund half of the construction costs and operate the line for 25 years under the terms of the public-private partnership (PPP), also complained of financial difficulties.
The consortium’s contract was subsequently cancelled in 2018. In November, Spanish company Acciona came forward with a bid to purchase a 70% stake in the Move Consortium for Reais 1bn plus debt and will now continue the project. The Move Consortium is expected to retain the remaining 30% share.
The state will adopt the internal measures to fulfil the necessary legal requirements and sign documentation to resume work in 2020 in the next 45 days.
The 15.3km north-south line will connect Brasilândia in northern São Paulo with São Joaquim Station in the city centre. The line is expected to serve more than 630,000 passengers per day and offer an end-to-end journey time of 23 minutes.
The PPP project is estimated to cost Reais 12bn. Reais 694m has already been invested in civil works and Reais 984m to pay for the expropriations of 371 shares with around 15% of the project already completed. Work is projected to take four years to complete.
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