The debt owed by the Spanish Government’s Ministry of Works to infrastructure firm, 5729 Abertis, for the expansion of the AP-7 road in Catalonia stood at €1.07 billion (US$1.39bn) by the end of 2012 – an increase of 40.7% in just one year.
The concession firm, Acesa, which is part of the Abertis group, signed an agreement with the Government in 2006 to add an additional carriageway on certain stretches of the highway, with the toll system also being changed to a payment model on exit instead of central tolls. Total investment was expected at €500 million ($651.7mn), a figure which was reached in 2012. The agreement set out that Abertis could expand the highway as the increase in traffic would allow it to recover the investment by the end of the concession. However, if the traffic volume forecasts are not met by the end of the concession in 2021, it would be paid compensation by the Ministry of Works. Since 2008 there have been declines in traffic volumes, rather than the forecast 3% annual growth. This currently means that Abertis would need to be paid €1.07 billion (US$1.39bn) as of 31 December 2012. This figure will only fall if the lost traffic is recovered, and, going forwards, traffic was to increase at the predicted rate.
Meanwhile, the operator of the motorway between Madrid and Toledo, which is 15% owned by Espirito Santo Concessoes/Ascendi, is reported to be facing financial difficulties.
The concession firm, Acesa, which is part of the Abertis group, signed an agreement with the Government in 2006 to add an additional carriageway on certain stretches of the highway, with the toll system also being changed to a payment model on exit instead of central tolls. Total investment was expected at €500 million ($651.7mn), a figure which was reached in 2012. The agreement set out that Abertis could expand the highway as the increase in traffic would allow it to recover the investment by the end of the concession. However, if the traffic volume forecasts are not met by the end of the concession in 2021, it would be paid compensation by the Ministry of Works. Since 2008 there have been declines in traffic volumes, rather than the forecast 3% annual growth. This currently means that Abertis would need to be paid €1.07 billion (US$1.39bn) as of 31 December 2012. This figure will only fall if the lost traffic is recovered, and, going forwards, traffic was to increase at the predicted rate.
Meanwhile, the operator of the motorway between Madrid and Toledo, which is 15% owned by Espirito Santo Concessoes/Ascendi, is reported to be facing financial difficulties.
