By Brazil Stock Guide – Brazil’s Public Prosecutor’s Office at the Federal Audit Court (MPTCU) has requested the suspension of the auction for the Santos–Guarujá immersed tunnel, scheduled for Friday at 4 p.m. at the B3 exchange in São Paulo. Deputy Prosecutor Lucas Furtado argued that more time is needed to receive bids for the project, valued at R$6.8 billion (US$1.24 billion), to be carried out under a public-private partnership (PPP).
International bidders and BNDES scrutiny
Two foreign companies are currently qualified to bid: Portugal’s Mota-Engil and Spain’s Acciona. According to Folha de S.Paulo and O Estado de S. Paulo, Furtado asked the court to investigate alleged favoritism by Brazil’s development bank BNDES in financing terms for foreign groups, which may have discouraged Brazilian builders from taking part. As of press time, BNDES had not commented.
“The auction involves significant resources and must ensure fair competition, without implicit barriers to domestic companies,” said Deputy Prosecutor Lucas Furtado in a statement.
The tunnel will create a fixed link between Santos and Guarujá, considered a strategic project for Latin America’s largest port. The crossing is expected to cut travel time, improve safety and ease congestion in the Baixada Santista region. But questions over financing and the absence of Brazilian bidders could delay the schedule.
What’s next
If the request is upheld, the auction may be postponed, reopening the process for additional competitors. Otherwise, Friday’s auction is likely to confirm foreign groups as frontrunners. The dispute adds another layer of uncertainty to Brazil’s infrastructure push, as the government seeks to accelerate strategic projects through PPPs.
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