Municipality of Doljevac - Public private partnership: Commercial-green market center PukovacDocument Transcript
PUBLIC PRIVATE PARTNERSHIP: MUNICIPALITY OF DOLJEVAC
The Municipality of Doljevac is located in the South East part of Serbia, in close proximity to Corridor X (highway E75), 265 km away
from Belgrade. It has 18,463 citizens and covers the area of 121 km2. Doljevac has highly favorable conditions for the development of
agriculture and food-processing.75 e annual yield includes around 26,000 tons of grains, 15,000 tons of vegetables, 11,000 tons of grapes
and 7,500 tons of fruits. These resources are currently not entirely utilized, coming as a result of a fragmented approach of individual
producers and lack of communication among them. By initiating the project for the construction of Commercial-Green Market Center
Pukovac, in cooperation with partners from the private sector, the Municipality aims to improve the placement of farmers’ products in terms
of quantity and quality, improve their competitiveness in the region and improve the economic power of farmers and their associations.
Project ID: Commercial-Green Market Center Pukovac
The project involves modernization of existing green market operations by covering
the market space, setting up the counters – both open and closed, construction of
shops, dairy market facilities, cafe and a restaurant for celebrations on the second floor,
market management offices. After the reconstruction of the market, it should transform
into a distribution center significant for the broader area of the South East Serbia. The
Municipality opted for the public private partnership model (PPP) without the elements
of concession. There is an obligation to establish an entity for special purposes, while the
agreement may be concluded for a period from 5 to 50 years.
The Municipality provided the project-technical documentation, location and
construction permit which shall expire in late 2013.
PPP without the elements of concession
Municipality of Doljevac
RSD 96.7 million (EUR 850,000)
Municipality: RSD 9 million (EUR 80,000),
Projected ﬁnancial results
Private partners: RSD 87.8 million (EUR 770,000)
The municipality shall provide the location with accompanying permits and its
infrastructure equipping. The Municipality has already equipped the existing market
plateau with water and sewerage network, paved the plateau and acquired the projecttechnical documentation and permits for developing the Center.
The private partner should invest in the planned facilities and necessary equipment, and be in
charge of the Center operational management - lease of counters at the market, space for sale
of bulky goods, stores for consumer goods, parking space, and other hospitality services.
Supply market: the Center will primarily serve the agricultural producers from
the municipal and the close region. It is expected that, upon full activation of the
Center, the current number of 1,000 market users will rise to around 6,000.
Placement market: agricultural goods will be marketed through the Center to the
local and nearby regional market.
PPP in Serbia supported by
Municipality of Doljevac
121 Nikole Tesle street, +381 18 810 054, +381 18 810 055 (fax)