Cut in São Paulo road tolls may cause US$252.14mn revenue drop

A future 10% cut in toll charges on roads in São Paulo could result in US$252.14million (BRL 500mn) less in revenues a year for concessionaires CCR and EcoRodovias, according to a study of 2012 company results by economists at Valor Data. São Paulo state has reportedly closed a deal to lower tolls by 10%-20%, with Governor Geraldo Alckmin only confirming that the concession contracts would be reviewed in order to achieve lower tariffs. If prices are cut by the suggested percentages, CCR will see annual reve
April 12, 2013 Read time: 1 min
A future 10% cut in toll charges on roads in São Paulo could result in US$252.14million (BRL 500mn) less in revenues a year for concessionaires CCR and 2688 Ecorodovias, according to a study of 2012 company results by economists at Valor Data.

São Paulo state has reportedly closed a deal to lower tolls by 10%-20%, with Governor Geraldo Alckmin only confirming that the concession contracts would be reviewed in order to achieve lower tariffs. If prices are cut by the suggested percentages, CCR will see annual revenues drop by $203.72 million (BRL 406mn) to $407.44 million (BRL 812mn), while for EcoRodovias the loss of revenue could vary between $49.67 million (BRL 99mn) and $99.35 million (BRL 198mn).

For more information on companies in this article

Related Content

  • How Florida paved the way for availability payments in the US
    November 21, 2014
    New financing models have been used to deliver key transport links in the US - * Patrick D Harder and Brandon J Davis Florida Department of Transportation’s (FDOT) public-private partnership (PPP) programme has made impressive progress, setting precedents for US transportation planning and funding. On March 26th 2014, FDOT opened 16km of new reversible express lanes as part of its US$1.8 billion I-595 Corridor Roadway Improvements Project. Just a few months later, on August 3rd 2014, FDOT opened twin tunnel
    Read More
  • Green light for iRAP's BrazilRAP São Paulo
    June 3, 2024
    BrazilRAP São Paulo will use iRAP’s evidence-based Star Rating methodology to provide an objective rating of the level of safety built in to a road.
    Read More
  • Road pricing revenue a source of investment funds
    February 16, 2012
    When channelled back into the road sector, revenue from road charging is seen by many as a source of additional investment and research funds as Patrick Smith reports. Late in 2010, three major European organisations put out a policy statement calling for fair charging for greener, smarter and safer road infrastructure. ASECAP (the European toll road operators organisation); ERF (European Road Federation) and the IRU (International Road Transport Union), said that in recent years the concept of road chargin
    Read More
  • Highway 99 revisited
    March 6, 2024
    David Arminas recently returned to Seattle for an inside look at some of the features of the now-complete SR99 tunnel that was a World Highways key project report in November 2017.
    Read More

Highlighted Content