10.04 - ENTR BENONY FTC

·13 min·1 clip

The president of the Tereza Cristina railway explains why a 30-year concession extension is critical for massive investments.

The episode is an interview with Benoni Schmitz Filho, president of the Tereza Cristina railway, conducted by a host from Rádio Cruz de Malta FM. It focuses on the potential extension of the railway's concession, originally granted in 1997 for 30 years with a renewal option. Schmitz explains that the need for extension arose around 2015 due to large investments requiring longer amortization periods than the remaining contract time. He details a legal framework developed since then to allow extensions, citing examples like Ferrovia Carajás and MRS Logística. The process involves government coordination, public hearings in Criciúma and Brasília, and an open period for contributions on the Regulatory Agency's website until April 22. Schmitz discusses investments related to urban conflicts, such as a viaduct in Siderópolis to resolve traffic and operational issues, with a project ready since discussions with former secretary Paulo Meller. He mentions the railway currently transports about 3 million tons, primarily coal for the Jorge Lacerda thermoelectric complex, but has capacity for over 10 million tons and is seeking diverse cargo like rice and ceramics. Future plans include extending the network to connect with the national system via a tunnel through Serra do Corvo Branco, a project known to the state. The interview concludes with Schmitz targeting a contract signing in December, as the current concession ends on January 31, though it can be extended for two years.

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