MIU Anticipating 2 Motor Road Concession Pilot Projects in 2022

24 Ноя

By the end of 2021 it is planned to sign an agreement between MIU, Ukravtodor (State Roads Agency), EBRD, and IFC.

Ministry of Infrastructure of Ukraine (MIU) in 2022 counts for the launch of two pilot projects of motor roads concession by the principle ‘payment for accessibility’.

“Last year Ukravtodor presented six pilot projects. By the end of this year we plan to sign an agreement between MIU, Ukravtodor, EBRD, and IFC, that envisages the project implementation in two phases. The first one to be launched in 2022 embraces the pilot at Yahodyn-Kovel-Lutsk and Kharkiv-Dnipro-Zaporizhia ranges”, Minister of Infrastructure Oleksandr Kubrakov advised.

According to him, these projects do not presume any toll as the private partner will return the investments through the mechanism ‘payment for accessibility’, servicing the road’s maintenance and roadside furniture, and getting for it fees from the budget.

MIU Anticipating 2 Motor Road Concession Pilot Projects in 2022

SKEY

“The pattern suggested is built upon long-term contracts on the roads maintenance – OPRC (Output and Performance-based Road Contract), i.e. the investor undertakes to meet all the requirements on quality, safety, and comfort of the road”, stressed Mr Kubrakov.

Moreover, as per Minister, MIU works on classic concession projects jointly with the private business: the investor builds on his own, and then returns the funds via collecting the toll for such a road.

“Now one of the largest road companies in Ukraine has come up with a private initiative to develop a feasibility study (FS) for the construction of a road along the route Krakovets-Lviv-Brody-Rivne. The FS should answer the question on the expediency of launching a toll route: will there be 100% private capital here, or will the state take part in some format”, underlined Mr Kubrakov.

https://cfts.org.ua/news/2021/11/24/miu_ozhidaet_v_v_2022_godu_realizatsii_2_pilotnykh_proektov_po_kontsessii_avtodorog_67865