Skip to main content

Funding doubts over major highway project

Slovakia’s troubled D1 highway project continues to be a topic of controversy in the country, with doubts over whether there are sufficient funds to pay for the completion of the route. A political debate focuses on whether the Transport Ministry should have extended the deadline for the agreement of the financial package for the first tranche of contracts for the highway. The Slovenske Dialnice consortium recently met with the Transport Ministry over the decision not to continue with the PPP project to c
May 15, 2012 Read time: 2 mins
Slovakia’s troubled D1 highway project continues to be a topic of controversy in the country, with doubts over whether there are sufficient funds to pay for the completion of the route.

A political debate focuses on whether the Transport Ministry should have extended the deadline for the agreement of the financial package for the first tranche of contracts for the
highway.

The Slovenske Dialnice consortium recently met with the Transport Ministry over the decision not to continue with the PPP project to construct five stages totalling 75km of the highway. The consortium has put in €32 million worth of preliminary work into the highway so far.

The consortium says that the documentation for the highway stages worked on so far will be handed over to Slovakia’s government once the contract is revoked and compensation has been paid for costs associated with the project.

Meanwhile, a 5km section of the D1 highway near Levoca, which cost €72 million to build, and was only opened in June this year, is already said to need repairs. Speed restrictions have been imposed and repairs are planned to start later
this year.

Construction of other sections near Ruzomberok and Levoca is expected to start in summer 2011.

Related Content

  • Slovakian tunnel in funds dispute
    March 16, 2012
    There are questions over the funds available for Slovakia’s Visnove Tunnel project. A former Transport Minister believes that the Transport Ministry will face challenges finding €664 million needed to build the tunnel, which forms part of the D1 highway.
  • Slovakia’s D4/R7 zero bypass of Bratislava picks up award
    February 10, 2017
    Slovakia’s D4/R7 zero bypass of Bratislava has picked up the Best Transaction in Europe award given by the UK magazine Project Finance International. The Ministry of Transport and Construction received the award in London in early February. The ministry said that the contract is notable for being the first whereby a project had combined funding from European Union investment and structural funds and the EU fund for strategic investment. World Highways reported in January that construction will start early
  • Costa Rica highway concession package cancelled
    March 19, 2014
    The Costa Rican Government is paying compensation worth US$28.4 million for the cancellation of a highway concession package. The compensation relates to the San José-San Ramón highway concession and is being paid to the Brazilian construction company OAS, reports Business News Americas. This follows a legal dispute over the project and is some $10 million less than OAS originally claimed in compensation. The 30 year concession package was cancelled last year due to opposition. There were allegations of a c
  • Bids for Višňové Tunnel's IT being evaluated
    March 31, 2023
    The contract, in Slovakia, also includes IT equipment for the D1 motorway stretch Lietavska Lucka - Visnove - Dubna Skala of which the tunnel is a part.