The Colombian Chamber for Infrastructure is comprised of private sector participants in infrastructure projects, including concessionaries, contractors and service providers. The primary focus of the chamber is currently transport infrastructure but also extends to water facilities, hospitals, housing and schools. The chamber not only represents the private sector in its relations with the government regarding infrastructure projects, but it also offers recommendations to enhance transparency for public contracts and improve the government contracting process overall.
Colombia is an attractive destination for investment which Quiñones says is due to the country’s strong institutions and a clear legal framework. Following enactment of the Public Private Partnerships Law, in 2012, the government created a new entity to manage its projects, the National Agency for Infrastructure. This body is staffed by technical professionals and there is high transparency regarding public bids.
Because of this expertise-driven structure, the private sector and investors have clear expectations in dealing with the government, which is particularly important given the long- term nature of infrastructure projects.
Quiñones explains that the history of public- private partnerships in Colombia goes back to 2014 when the government offered the ‘4G concessions project’ which referred to four generations of concessions in Colombia. There were 29 projects, all toll roads. Twenty were public initiatives while nine were private. The current pipeline contains seven more toll road concessions.
A recent area for public-private partnerships is in improving and expanding a number of the country’s airports. The project for the expansion of the existing Cartagena airport is now in the final phase of contracting. ANI is also assessing unsolicited proposals for a new airport in Cartagena, an expansion of Bogotá airport and new concessions for San Andres and Cali.
When asked about challenges to transport infrastructure in Colombia, Quiñones noted that, in some parts of the country, toll roads are perceived as representing private equity and financial institutions, but they are the operators not the owners of the road. He states that “the important challenge is to convince public opinion that private sector involvement in infrastructure is not a privatisation of public facilities but that the private sector is operating and maintaining a facility that belongs to the public.”
Commenting on the role of ESG and climate- related issues related to financing, Quiñones stated that contractors must adhere to the ESG standards for their project. “Equity investors are conscious they have to comply with national and international entities regarding green financing and ESG standards. It is an opportunity for Colombia to learn about international experiences and adopt best practices.”
Read other interviews:
- Ada Cerne, Edmond de Rothschild Asset Management
- Alex Traube-Childs, InfraCo Africa
- Federico Torres, Head of Americas South division of Arup, Bogotá, Colombia
- Cheryl Edleson Hanway, Regional Industry Director for Infrastructure, Energy & Mining; Europe, Latin America & the Caribbean, International Finance Corporation (IFC)
