Brazil's 502 km Highway Concession Awarded with BRL 4.1 Billion Investment
2026-06-04 15:24
Favorite

en.Wedoany.com Reported - Consórcio 116 Sertões recently won the auction at the B3 exchange in São Paulo, securing a 30-year concession for 502 kilometers of the BR-116 and BR-324 highways. The consortium will be responsible for the operation, maintenance, and modernization of the stretch. This corridor connects the states of Bahia and Pernambuco, serving as a key route for regional freight transport, population mobility, and economic integration between the two states.

The Rota dos Sertões project will invest BRL 4.1 billion in the modernization of the BR-116 highway, including duplication and improvement works between Bahia and Pernambuco.

According to information released by Brazil's National Land Transport Agency (Agência Nacional de Transportes Terrestres, ANTT), total investments over the entire concession contract period are estimated at BRL 8.5 billion, with approximately BRL 4.1 billion directly allocated to the expansion and modernization of highway infrastructure. In the bidding process, the winning consortium offered a 19.60% discount on the base toll rate, a percentage that determined its selection as the best proposal under the federal concession model. The concession stretch lies between Salgueiro in Pernambuco and Feira de Santana in Bahia, an area handling significant cargo transport, regional travel, and connections among municipalities in the semi-arid Northeast.

The Rota dos Sertões project specifically includes approximately 429 kilometers of the BR-116 highway in Bahia, 66 kilometers of the BR-116 in Pernambuco, and 7.2 kilometers of the BR-324 highway on the Feira de Santana ring road. As one of Brazil's longest federal highways, BR-116 is a vital logistics axis linking the Northeast to the rest of the country. With the expansion of inland production activities, pressure on road conditions in areas where heavy traffic coexists with urban intersections and local access points continues to rise. Feira de Santana is officially described as a highway transportation hub for northern and northeastern Brazil, connecting major arteries such as BR-116, BR-324, and BR-101. Its ring road, included in the concession package, is directly linked to the city's concentrated commercial, service, industrial, and transport activities.

Key planned works under the project include approximately 95 kilometers of duplication, about 45 kilometers of service roads at urban intersections, and a bypass road around the inland city of Serrinha in Bahia. Serrinha sits at a convergence point for urban and highway traffic, where local vehicle flows mix with long-distance transit; constructing the bypass is one measure to alleviate congestion. Additionally, ongoing restoration, maintenance, and capacity expansion will be carried out throughout the contract period. Brazil's Ministry of Transport notes that users have widely reported the need for improved road surfaces, reduced traffic bottlenecks, and enhanced travel efficiency, as congestion, pavement wear, and accidents have driven up operational costs and affected cargo transport on regional and interstate corridors.

The BR-116/BA duplication project showcases the modernized section in Feira de Santana, an area connecting highway corridors. (Source: DNIT/Brazilian Federal Government)

The modernization benefits industrial chains that rely heavily on frequent road transport, including food, industrial raw materials, fuel, general cargo, and agricultural and livestock products. Around Feira de Santana, companies in the Subaé Industrial Center (Centro Industrial do Subaé) use this highway network to support their operations. Inland municipalities in Bahia, such as Euclides da Cunha—a producer of beans, corn, cassava, honey, and livestock—also depend on this route for regional distribution. Transport-related support services, including repair shops, gas stations, lodging, and dining establishments, are also a significant component of the corridor's economy.

Consórcio 116 Sertões won the auction with a 19.60% discount on the base toll rate. Toll collection is the core mechanism of the concession model, where the private sector assumes responsibilities for operation, maintenance, and investment over the contract term, earning returns through toll revenues collected in accordance with contractual rules, performance targets, and government oversight. Brazil's National Bank for Economic and Social Development (Banco Nacional de Desenvolvimento Econômico e Social, BNDES) stated that the project aims to balance moderate toll rates with interventions to improve road safety and capacity. Pre-auction tender documents estimated capital investment at BRL 4.3 billion, while the post-auction figure of BRL 4.1 billion directly targets infrastructure works.

The BR-116/BA project in Feira de Santana showcases the expansion of the Northeast highway corridor. (Source: DNIT/Brazilian Federal Government)

The Rota dos Sertões project is part of Brazil's federal highway concession agenda, aimed at leveraging private sector participation for the operation and modernization of stretches within the national road network. The concession was designed under a collaborative framework involving BNDES, Brazil's Ministry of Transport, and ANTT. In the Northeast, such highway corridors are crucial for inland industrial chains, circulation among medium-sized cities, and connections to ports, industrial centers, and consumer markets. For users, businesses along the route, and municipalities, the ultimate benefits will depend on the execution progress of duplication, service roads, bypasses, and safety improvements. The 30-year concession period transfers the responsibility for operating and upgrading this transport corridor—linking Bahia and Pernambuco and serving the semi-arid region—to the private sector.

This article is compiled by Wedoany. All AI citations must indicate the source as "Wedoany". If there is any infringement or other issues, please notify us promptly, and we will modify or delete it accordingly. Email: news@wedoany.com