Ricardo Nunes is counting on Jilmar Tatto's help to eliminate bus fares before the elections.

247 - Despite the difficulties, the mayor of São Paulo, Ricardo Nunes (MDB), maintains his intention to introduce free bus fares in the city and believes there is a chance of realizing the project before the 2024 elections. 

To achieve this goal, he is seeking the surprising support of Jilmar Tatto (PT-SP), reports the State St. Paul.

Privatization fails in São Paulo and the Public Prosecutor's Office wants to terminate contracts for the CPTM train line.

Brazil Agency – The Public Ministry of the State of São Paulo (MPSP) informed this Thursday (30) that it has ended all negotiations of agreements with Via Mobilidade - the company that won the concession for lines 8 and 9 of the Companhia Paulista de Trens Metropolitanos (CPTM) - and decided to "take the necessary measures" for the termination of the privatization contract.

According to prosecutor Silvio Marques, the actions of the Public Prosecutor's Office cannot be detailed now and will be known within 15 days. "We have ended negotiations with the company; we will not sign any type of agreement with Via Mobilidade because we have already had many conversations, and they said they would solve the problems, but they haven't," he said.

"Because of this, and also because of the derailment that occurred today, there is no alternative but to abandon negotiations with the company and, unfortunately, we will have to take the necessary steps to terminate this contract," he added, in a press conference at the MP headquarters in downtown São Paulo.

This morning, another train operated by Via Mobilidade derailed, this time near the Júlio Prestes station in downtown São Paulo. There were no injuries. According to the Public Prosecutor's Office, this was the sixth derailment since Via Mobilidade, part of the CCR Group, took over operation of the lines in January 2022. However, according to officials interviewed by the agency, four other incidents may have occurred without being reported, which would total ten derailments in that period.

“We cannot wait for a serious accident to occur with fatalities. Today was already very serious; in short, all these derailments are serious. Derailments are not common anywhere in the world; there is no reasonable explanation,” the prosecutor emphasized.

According to Silvio Marques, the MP's decision to act to terminate the contract with Via Mobilidade was based on two reports produced by experts from the Operational Support Center, of the Public Prosecutor's Office itself. According to him, in one of the reports, completed last Monday (27), it became clear that the company is breaching the contract.

"It became clear that there are structural problems that Via Mobilidade cannot solve, basically in relation to the permanent way, that is, the lines, but also in relation to the railway material, the trains, not to mention the maintenance of stations and several other aspects related to management, especially the lack of personnel trained enough to keep this concession up to date."

Silvio Marques also emphasized that the Public Prosecutor's Office already has all the elements to request the termination of the contract with Via Mobilidade, and that the decision of the body will occur independently of any other action by the state government.

“We were really just waiting for that last technical report, which was completed on Monday. There’s nothing more to wait for, considering the situation is only getting worse. We can’t wait for a more serious accident to occur before taking any action. These measures from the Public Prosecutor’s Office should be taken within the next 15 days, regardless of any measures the state may also take.”

The solution proposed by the prosecutor to resolve the issue is that the two privatized lines should either be operated by another private company, chosen through a new bidding process, or that they should return to being managed by CPTM.

"If another company can't [manage the lines], I'm sure CPTM can. It has the human resources, the equipment, it has..." expertise"In short, we were already managing these two lines with fewer problems. So, whether it's through CPTM or another company also contracted through bidding, we understand that this is the solution that should be taken," he said.

The prosecutor added that the Public Prosecutor's Office will not accept any kind of "readjustment" in the state government's contract with Via Mobilidade. "Any attempt to rebalance this contract will be considered by the Public Prosecutor's Office as administrative misconduct."

In a statement, Via Mobilidade reports that it has not had access to the content of the Public Prosecutor's report and will not comment on it at this time. "It is worth noting that the Public Prosecutor's statement is independent, must comply with all legal procedures, and does not obligate the state to take any immediate action." 

The company also stated that it will provide clarifications to the relevant authorities, including the Public Prosecutor's Office, and reiterates that it has been investing in improvements to lines 8 and 9 since the beginning of the concession in January 2022. 

"The investment plan foresees R$ 3,8 billion in investments in the first three years alone, of which more than R$ 1 billion has already been invested in the first year, in addition to more than R$ 950 million paid in concession fees."

Via Mobilidade added that in 2023 it will invest an additional R$ 1,5 billion, which includes payment for the 36 new trains acquired from the manufacturer Alstom. "The first train is already undergoing testing and is scheduled to enter commercial operation in May. Regarding the amount initially planned for the first three years of the contract, Via Mobilidade will contribute an additional R$ 500 million to the investment in lines 8 and 9."

(Article written using artificial intelligence)