Five consortia have submitted qualification applications for the Bauska bypass project, a major infrastructure initiative to be developed through a Public-Private Partnership (PPP) model. According to state-owned company Latvijas Valsts ceļi (LVC), the applicants are PA Bauska Infra, PA Fegda – SIA Vianova, PA PRI Baltic Infra Consortium, PA SouthGate Infrastructure Partners, and STRABAG Infrastructura Poludnie Sp. z o.o. The project, authorized by the Cabinet of Ministers in June 2024, aims to modernize the A7 highway segment from the Ķekava bypass to the Bauska area.
Procurement Process and Project Scope
The Bauska bypass is the first phase of a larger infrastructure plan to improve the A7 highway. The Cabinet of Ministers mandate directs the Ministry of Transport to initiate the PPP procedure, which is being managed by LVC. Following the current qualification phase, LVC will review the applications against the established requirements. Candidates who meet these criteria will be invited to the next stage of the procurement process to submit their initial project proposals.
The overall infrastructure plan involves two distinct phases. The first phase focuses on the construction of the Bauska bypass itself. The second phase, as outlined in the government order, covers the construction of the Iecava bypass and the connecting segment to the Ķekava bypass.
International Interest in Latvian Infrastructure
The PPP model for the Bauska bypass has attracted significant attention from both local and international construction and financial sectors. During an informational day held in Riga last year, more than 60 representatives from the road construction, finance, and legal industries attended to learn about the project’s legal and financial frameworks.

According to LVC, the interest extends across borders, with potential partners hailing from Latvia, Lithuania, Poland, the Netherlands, the United Kingdom, Germany, Hungary, Portugal, and Luxembourg. A second informational session was held in November, during which officials provided clarity on the procurement process, qualification criteria, and the specific terms of the proposed contract.
Did you know?
The PPP model allows the public sector to leverage private capital and expertise for large-scale infrastructure projects, shifting the risks of design, construction, and maintenance to the private partner over the long term.
Future Trends in Infrastructure Partnerships
Frequently Asked Questions
What is the current status of the Bauska bypass project?
Five candidate consortia have submitted applications for the qualification phase of the PPP procurement. LVC is currently reviewing these applications to determine which firms will advance to the proposal stage.

Who is managing the Bauska bypass procurement?
The procurement is being carried out by Latvijas Valsts ceļi (LVC) under a delegation agreement with the Ministry of Transport, following a directive from the Cabinet of Ministers.
How is the Bauska bypass project structured?
The project is divided into two phases. The first phase is the construction of the Bauska bypass. The second phase involves the construction of the Iecava bypass and the connection to the Ķekava bypass.
Where can I find more information?
Official updates and project documentation are available on the Latvijas Valsts ceļi website.
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