Spotlight On Infrastructure Trends In Latin America

• Published date: 22 March 2022
• Subject Matter: Government, Public Sector, Media, Telecoms, IT, Entertainment, Transport, Mobile & Cable Communications, Rail, Road & Cycling, Government Contracts, Procurement & PPP
• Law Firm: Willkie Farr & Gallagher LLP
• Author: Ms Juliana V. Pimentel, Matthew Vitorla, Gabriela Montoya Jurado and Cecilia Sarabia

In addition to managing four key toll road assets and the El Dorado International Airport in Colombia, Odinsa S.A., the Colombian infrastructure concessions company of Grupo Argos, is in charge of operating the Mariscal Sucre Airport, in the city of Quito, one of the three most important airports in Latin America.

We recently had the privilege of interviewing Mauricio Ossa Echeverri, who serves as the president of Odinsa and former president of Colombian Chamber of Infrastructure, on what he has learned from the pandemic and what he sees on the horizon for infrastructure in the region. Read more below.

1. As you know, we recently had the pleasure of working with Odinsa on the formation of the partnership with Macquarie Asset Management. In light of that transaction and Odinsa's overall experience, what are your expectations for growth in Public-Private Partnerships (PPPs) and strategic partnerships in Colombia's infrastructure sector?

We believe the Public-Private Partnerships have great growth potential. This model has demonstrated that it contributes significantly to closing infrastructure gaps in Colombia. The fourth generation (4G) toll road program has been highly successful, with 27 of the 29 highways already under construction or in operation, and the fifth generation (5G) of toll road concessions has been launched, with 26 additional projects.

The partnership with Macquarie enables us to manage both projects that are already in our portfolio and new private initiatives that we are currently leading, through a road infrastructure investment platform involving potential investments of over COP 4.5 trillion (equivalent to approximately USD 1.12 million) for the development of new projects. This encourages us to continue exploring opportunities, such as those offered under the 5G program.

We constantly evaluate the possibility of structuring private projects that meet the needs of different regions of Colombia, such as the Conexión Centro in the Coffee Region, and the Perimetral de la Sabana in Cundinamarca, in line with our commitment to contribute to Colombia's connectivity and competitiveness.

We will continue to actively search for opportunities in the secondary market for road concessions, to identify projects that are of interest and consistent with our strategic focus.

2. The aviation sector was unfortunately one of the most impacted by the pandemic globally. Based on your experience operating many major airports in Colombia and the region, how...