Work on several new highways being built in Slovakia as public-private partnerships (PPPs) will be delayed by six to 12 months. This means that the first sections of the Martin-Presov link will not open before 2011. The last section is expected to be completed in either late 2012 or early 2013.
The delays are caused by problems in negotiations with banks.979 Bouygues, the leader of a six-member consortium which will build the D1 highway has said that it is in talks with 19 banks, including EIB, which has promised to provide €1 billion, and EBRD. Investment costs will be €2.4 billion but when operating costs are included, they rise to €3.3 billion.
The 30-year concession is estimated to cost up to €7.6 billion. The D1 highway will now be completed in 2011 rather than 2010 as originally planned.
The R1 highway from Nitra to Banska Bystrica will also be delayed and will not open before 2011. Construction will cost €1.5 billion but the total costs will amount to €3.5 billion. The R1 is Slovakia's first PPP-funded highway project. A 51km stretch of the R1 highway that links Beladice and Tekovske Nemce is being built by French-Dutch consortium comprising4084 VINCI Concessions and ABN Amro Highway. The 30-year concession project is expected to cost €1.5 billion and was originally planned to be completed by the end of 2010. However the contract was signed later than expected. The consortium will receive €3.47 billion in total, including interest, from Slovakia during the period of the contract.
Bratislava municipality (BSK) has revealed that it needs more funds to improve its roads. In 2009 BSK will receive €13.1 million for roadbuilding and repairs, although the region needs almost €150 million to repair all of its roads and bridges, some of which are in a very poor condition.
BSK currently operates 512 km of roads and 130 bridges and is struggling with the shortage of funds for repairs. The Bratislava area does not receive any financial contributions from EU funds however. One of BSK's priorities is to build the Pezinok by-pass, which would cost around €100 million.
The delays are caused by problems in negotiations with banks.
The 30-year concession is estimated to cost up to €7.6 billion. The D1 highway will now be completed in 2011 rather than 2010 as originally planned.
The R1 highway from Nitra to Banska Bystrica will also be delayed and will not open before 2011. Construction will cost €1.5 billion but the total costs will amount to €3.5 billion. The R1 is Slovakia's first PPP-funded highway project. A 51km stretch of the R1 highway that links Beladice and Tekovske Nemce is being built by French-Dutch consortium comprising
Bratislava municipality (BSK) has revealed that it needs more funds to improve its roads. In 2009 BSK will receive €13.1 million for roadbuilding and repairs, although the region needs almost €150 million to repair all of its roads and bridges, some of which are in a very poor condition.
BSK currently operates 512 km of roads and 130 bridges and is struggling with the shortage of funds for repairs. The Bratislava area does not receive any financial contributions from EU funds however. One of BSK's priorities is to build the Pezinok by-pass, which would cost around €100 million.
