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Gov’t repeals price caps for motorways

The Government has repealed the provisions that required the use of cost standards for the transport infrastructure works. According to analysts, if based on superficial feasibility studies and misconstrued documentation, with the inflation rate above, the prices are likely to go up quickly. The national road company already pays EUR 11 million per kilometer of highway, far above the price paid to Bechtel, digi24.ro informs.

The cost standards for publicly funded investment objectives have been repealed by an Emergency Ordinance approved by the Government and published on Thursday by the Official Gazette, according to arenaconstruct.ro.

These standards, dating back to 2010, have regulated the price for the construction of motorways, the artwork on them, the repair of roads or railways, starting from average and probable situations, depending on the area’s relief, namely hill or mountain.

The main credit release authorities will need to update and approve on their own responsibility the actual value of each investment project and the interventions in progress, according to the evolution of the price indices, the Government says.

The repeal comes in the context in which the cost standards are not observed anyway. For 17 kilometers of highway on the Bucharest South Belt, the Spedition UMB company, owned by Dorinel Umbrărescu, demanded RON 882 million, VAT excluded, i.e. EUR 11.2 million per kilometer.

About Valeriu Lazar