As part of the project to revive the port in Kaunas and increase cargo transportation via the River Nemunas, a consultation with potential investors was held by the three authorities responsible; the Lithuanian Ministry of Transport and Communications, the Lithuanian Inland Waterways Authority and the government agency Invest Lithuania. During the public consultation, potential partners identified some significant operating risks. As a result, the authorities are now considering additional guarantees and improvements to the tender conditions.
The public consultation was designed as a way to gauge market interest in the project and to get feedback on the concession tender documentation. All the tender documents, together with the project brochure, were published in English and Lithuanian for the convenience of foreign parties. Press releases were disseminated to 14 international infrastructure journals and over 200 direct letters were sent to potential investors and other interested parties.
The consultation has provided valuable information on market expectations. Since this is the first public private partnership (PPP) project in the Lithuanian inland waterways sector, potential investors had some reservations. They suggested that more commitment should be taken by the public sector by reducing the risk borne by the investor and offering more guarantees to potential investors.
After analyzing the feedback, the authorities have decided to amend the tender documentation where necessary in order to improve the attractiveness of the project to investors. The amendment process is expected to last approximately 6 months.
