Montenegro airports concession faces new delay

NEWS FLASH

Montenegro’s long-running airport concession process has hit another delay after the country’s Concessions Commission partially upheld an objection lodged by Corporación América Airports (CAAP), the second-ranked bidder in the tender for the 30-year lease of Podgorica and Tivat airports. The Commission ruled that the explanations given for how points were awarded in the evaluation of bids were vague and insufficient, raising concerns about transparency and equal treatment. It has returned the ranking list, published in July when South Korea’s Incheon International Airport Corporation (IIAC) was named as the preferred bidder, to the Tender Commission for clarification.

The concession, Montenegro’s largest ever public-private partnership, was launched in late 2023 with the winning bidder expected to pay a 100 million euros upfront fee and commit to more than 200 million euros in investments. While IIAC was initially selected as the frontrunner, CAAP filed a formal appeal on August 1, prompting a review of the decision. With the Concessions Commission now requiring the Tender Commission to provide a more detailed justification of its scoring, the government cannot move forward with awarding the contract until the irregularities are addressed, prolonging a process.