São Paulo state moves forward with highway concessions worth US$2.85bn

São Paulo state authorized the publication of the tender notices for two lots of highway concessions.

The Rota Sorocabana and Nova Raposo lots have a total extension of 553km and will demand investments worth 15.8 billion reais (US$2.85bn).

"The concessions will allow for a reduction of fares charged on the sections currently operated by [highway concessionaire] ViaOeste, the inclusion of capacity expansion works and improvements to increase safety and reduce accidents," said the state government in a statement.

The highways will also start using a free flow toll system.

The upcoming works will benefit 27 municipalities and generate more than 18,500 direct and indirect jobs.

The government did not say when it plans to hold the auctions for the contracts.