70 EoIs for Li­mas­sol port

Financial Mirror (Cyprus) - - FRONT PAGE -

More than 70 firms have so far ex­pressed an in­ter­est to bid for one or all three con­ces­sions of the pri­vati­sa­tion of ser­vices at Li­mas­sol port, the is­land’s main port of call that ac­counts for 80% of pas­sen­ger traf­fic and 70% of all com­mer­cial ac­tiv­ity.

The ten­der doc­u­ment for the pri­vati­sa­tion was pub­lished a week ago on the gov­ern­ment’s e-pro­cure­ment web­site www.epro­cure­ment.gov.cy with the dead­line set for mid­night, Au­gust 12.

Ex­pres­sions of In­ter­est must sub­mit­ted by July 17.

The con­tract no­tice con­cerns three po­ten­tial op­por­tu­ni­ties for a ser­vices con­ces­sion for the Con­tainer Ter­mi­nal, a ser­vices con­ces­sion to pro­vide Marine Ser­vices and a ser­vices con­ces­sion in re­spect of a Multi-pur­pose Ter­mi­nal.

In­ter­ested par­ties may bid for one or all three of these po­ten­tial op­por­tu­ni­ties.

The Min­istry of Trans­port, which is the Con­tract­ing Au­thor­ity, an­tic­i­pates that the du­ra­tion of the ser­vices con­ces­sions for the con­tainer ter­mi­nal

be and the multi-pur­pose ter­mi­nal is likely to fall within a range of be­tween 25 to 30 years and for the marine ser­vices from 10 to 20 years.

Li­mas­sol Port is cur­rently in the process of up­grades which should be com­pleted in 2016.

Speak­ing on CyBC ra­dio on Mon­day, Min­istry Un­der-Sec­re­tary and ex-of­fi­cio chair­man of the Cyprus Ports Au­thor­ity, Ale­cos Michaelides, said that “the great in­ter­est shown so far also guar­an­tees that the ten­der process will be a suc­cess, with the com­pe­ti­tion al­ready quite big.”

“The ben­e­fits will be ex­ten­sive and mul­ti­ple, as this is a ma­jor pro­ject of strate­gic in­ter­est. The man­agers (of one or all three con­ces­sions) will utilise their know-how and ex­pe­ri­ences to trans­form Li­mas­sol port as a lead­ing cen­tre in the Mediter­ranean with tremen­dous ben­e­fits for our econ­omy,” Michaelides said.

Af­ter a short-list is as­sessed by con­sul­tants Roth­schild, the new op­er­a­tors will be se­lected later this year and un­der­take man­age­ment in the first quar­ter of 2016, ini­tially in a par­al­lel tran­si­tion phase with the CPA. Af­ter that, the CPA will cease to act as an op­er­a­tor and be lim­ited to the role of land­lord and reg­u­la­tor of all three ma­jor com­mer­cial ports – Li­ma­sol port of call, home port Lar­naca and Vas­si­liko ce­ment and oil ter­mi­nal.

The gov­ern­ment is also in the process of fi­nal­is­ing the pri­vati­sa­tion of Lar­naca port and ma­rina with the win­ning bid­ders Zenon Con­sor­tium, that ini­tially won the ten­der in 2013 but failed to find suf­fi­cient fund­ing due to the eco­nomic cri­sis that hit Cyprus.

The pri­vati­sa­tion process, that in­cludes the break-up and sale of telco Cyta and energy pro­ducer EAC, is part of the gov­ern­ment’s obli­ga­tions to in­ter­na­tional cred­i­tors who bailed out the is­land with a 10 bln euro pro­gramme in 2013.

The aim is to raise about 1.4 bln from the pri­vati­sa­tion of state as­sets or de-na­tion­al­i­sa­tion of ser­vices and util­i­ties, to make the econ­omy more com­pet­i­tive and less re­liant on its rigid civil ser­vice.

Newspapers in English

Newspapers from Cyprus

© PressReader. All rights reserved.