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INCUMBENTS WELCOME TO BID FOR VALENCIA CONCESSION
Date:2019-01-21 Readers:
Valencia has confirmed that incumbent operators are free to participate in the tender for its fourth container terminal with no requirement to increase current capacity levels.

However, the tender document also allows incumbents to bid to develop a terminal with a capacity of 50% more than their existing facility and to then abandon their existing facility, benefitting from certain financial concessions.

Speaking exclusively to Port Strategy, a port spokesperson said that if incumbents opted for the latter route it would be possible, through mutual agreement between the operator and the port authority, to recover 80% of any fixed assets that have not been amortised and without the loss of operating guarantees.

“It is only in that particular case – in other words, wanting to leave an existing terminal - when the capacity of the future terminal must be 50% higher than the existing one,” noted a spokesperson. “In other words, if a current operator wants to stop operating at a 1m teu capacity terminal and move to a new one, then they must commit to developing a terminal that has a future capacity of at least 1.5m teu.”

That capacity must be made available upon completion of works associated with the new terminal, which must conform to a timetable set out in the tender.

Furthermore, within four years of the start of operations, transhipped full containers must account for more than 20% of the capacity of the new terminal and full import-export boxes 40%.

https://www.portstrategy.com/news101/world/europe/Incumbents-welcome-to-bid-for-Valencia-concession

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