Projects & Construction
On the 1st April of 2021, a new Public Procurement Law (Law n. 14.133/21) was enacted in Brazil, replacing the previous legal regime, which was embedded in Law n. 8.666/1993. In this update, we explore the new rules within this new Public Procurement Law.
The Public-Private Partnerships contracts, however, will continue to be regulated by the specific rules under law n. 11,079/2004 (the Public-Private Partnership Act), with the new Public Procurement Law applying to these contracts on a subsidiary basis.
Amongst the changes introduced by the new Public Procurement Law, we highlight the following:
Opportunities for international players
At the end of 2020, the Brazilian government issued a new privatization plan for 2021, with a portfolio of 115 assets for concessions and auctions, which are expected to attract investments in the total of R$ 70 billion.
Amongst these projects, there is the privatization of Brazilian state-owned companies such as Eletrobras, auctions for electric energy transmission/generation and several concessions for Ports (16), Roads (6) and Airports (24).
For further guidance on the new Brazilian Public Procurement Law, please do not hesitate to contact Denise Medeiros, Patrick Carvalho or Stirling Leech in the Sao Paulo office.