Port of Santos navigation channel concession still lacks auction timeline amid fresh uncertainty

The navigation channel is 24.6 kilometers long, 220 meters wide, and 15 meters deep (Alexsander Ferraz/AT)

Despite its strategic importance, the concession of the Port of Santos navigation channel remains surrounded by uncertainty. In a statement, the National Waterway Transportation Agency (Antaq) said that it is currently not possible to establish a date for the publication of the bidding documents and, consequently, for the auction.

At the end of January, National Secretary of Ports Alex Sandro de Ávila told A Tribuna that the auction was expected to take place in the last quarter of this year, following Itajaí (SC), and competing for scheduling with Rio Grande (RS). The first channel concession was awarded in Paranaguá (PR) in October last year. Contacted by the newsroom, the Ministry of Ports and Airports (MPor) did not respond by the time this edition went to press.

According to Antaq, the lack of predictability regarding Santos is due to the fact that several procedural stages must still be completed before the project can move forward. Following the close of the public consultation, which opened on March 17, the contributions received will be analyzed and may result in revisions to the technical studies and improvements to the draft legal documents. The process will then be submitted to the Federal Court of Accounts (TCU) for prior review.

"Once this stage has been completed, further adjustments may be made to the technical studies and legal documents, which will also be submitted for review by the Federal Attorney's Office before the final version of the bidding documents is consolidated", the Agency added.

The issue is that the deadline for submitting contributions has already been extended twice. It will now remain open until July 31. In addition, the public hearing, which was postponed on April 23, has yet to be rescheduled.

"The extension of the deadline results from technical instabilities identified in the Agency's systems responsible for receiving contributions. The measure is intended to ensure that all interested parties can participate in the public consultation under appropriate conditions, contributing to the improvement of the proposed concession model and the project's technical quality", Antaq explained.

Closely monitoring the process, the Port Authority of Santos (APS) downplayed the possibility of further delays.

"The schedule reflects the time required to ensure the technical rigor and transparency that the process demands", APS said in a statement.

The manager of the Santos port complex also emphasized the extension of the deadline for submitting contributions to the public consultation.

"APS does not consider the extension of the public consultation period to be a delay. The additional time allows stakeholders in the port sector to analyze the technical documentation and submit well-founded contributions. Expanding the discussion will contribute to more robust bidding documents with greater legal certainty, helping to prevent future disputes."

Minimum investment estimated at R\$ 688 million

The concession project for the access channel to the Port of Santos involves a financial flow of R\$ 23.4 billion over the 25-year contract term, which may be extended to up to 70 years. The minimum mandatory infrastructure investment through the eighth year of the contract is R\$ 688.1 million.

The concession model includes dredging works to deepen the channel to 16 and 17 meters, a feasibility study for a depth of 18 meters, maintenance activities, and the implementation of the Vessel Traffic Management and Information System (VTMIS).

The navigation channel is 24.6 kilometers long (divided into four sections), 220 meters wide, 15 meters deep, and has an officially approved operational draft ranging from 13.5 meters at low tide to 14.5 meters at high tide.

Limitations

In April, APS Infrastructure Director Orlando Razões told A Tribuna that the concession model currently under consideration presents significant limitations and does not fully meet the needs of the port system.

One of the most controversial aspects is that part of the responsibilities currently held by the federal state-owned company would be transferred to a private concessionaire, while the Port Authority would remain responsible for the landside infrastructure. According to Razões, this arrangement would create a parallel management structure within the Port, fragmenting responsibilities that are currently integrated.

As an alternative, Razões explained that APS proposes an administrative public-private partnership (PPP) based on integrated management. Under this model, services and works—including dredging, navigational aids, environmental monitoring, and channel deepening—would be carried out by a private partner, while management and oversight would remain under the responsibility of the federal state-owned company.

Extensions

On June 29, the National Waterway Transportation Agency (Antaq) extended, for the second time, the public consultation period regarding the channel concession, which had been scheduled to close on June 30. The new deadline for submitting contributions is July 31.

The public consultation opened on March 17. It was originally scheduled to end on May 2 but was first extended until July 1.

Contributions must be submitted through the electronic form available at: bit.ly/4ydJDEl.

The Agency also canceled the virtual public hearing on the channel concession, which had been scheduled for April 23. At the time, it stated that a new date would be announced "in due course" and that the event would be changed to a hybrid format, including an in-person session in Brasília.