BRAZIL: A government decree published on March 6 grants outline approval for MRS Logística to qualify for a tax incentive targeted at infrastructure investment. This paves the way for the concession holder to invest around R$1∙8bn in a range of infrastructure works and the purchase of 27 locomotives.
The funds form the first phase of a more extensive investment programme agreed in July last year in return for early renewal of MRS Logística’s concession to operate in the states of Rio de Janeiro, Minas Gerais and São Paulo. They will pay for construction of several bridges and viaducts, including a bridge over the River Piraíba in Barra do Piraí and viaducts in Carandaí and Conselheiro Lafaiete, both of which are located south of Belo Horizonte. Viaducts will also be constructed in Pinheiral, near Volta Redonda, and Cubatão, north of Santos.
Under the agreement to extend the company’s concession for 30 years beyond the original expiry date of November 2026, MRS Logística will invest a total of R$11bn in projects that will increase capacity, improve performance and reduce conflicts with road traffic across its 1 643 km broad and mixed gauge network.
