Russian road tax plan

The Russian Government looks set to draft new laws covering funding of the road network.
March 5, 2012 Read time: 1 min
The Russian Government looks set to draft new laws covering funding of the road network. The new funding model will be set up to finance construction and maintenance of Russia's highway system and may be adopted in the March-April 2011 period, ready for the new fiscal year. The draft laws lay out a new scheme of financing, which will simplify procedures to pay for road construction. The plans specify that a percentage of excise taxes from oil and lubricants and transport will be used as a source for regional road funds. Russia's Federal Road Fund has a fixed budget of €6.33 billion (US$8.62 billion). The rest will be transferred to the fund at the expense of additional fuel excise taxes. The predicted tax being collected in 2011 is expected to reach €2.1 billion, ?2.2 billion in 2012 and €3.51 billion in 2013. The road companies Rosavtodor and Avtodor will benefit from the Federal Road Fund.

Related Content

  • EU budget dispute?
    February 28, 2012
    There is both praise and concern in Europe over plans for a new fund to cover transport, energy and telecoms infrastructure projects.
    Read More
  • ARTBA provides detailed analysis of US transportation investment
    July 2, 2013
    The latest American Road & Transportation Builders Association (ARTBA) analysis of US Census Bureau data reveals a 6% decline in the real value of highway pavement work. This contrasts with investment in airport, rail, transit, port and waterway construction in the US. Contractors completed US$8.4 billion in pavement construction work between January and April 2013, compared to $8.9 billion during the same time period in 2012 according to the report. Bridge and tunnel work between January and April 2013 was
    Read More
  • Toll-tale market strength for leading tolling manufacturers
    May 22, 2014
    New major highway tolling solution supply contracts and the launch of cutting-edge tolling products have invigorated the global tolling technology market in the first half of 2014, as Guy Woodford reports Kapsch TrafficCom has been selected by North Tarrant Express (NTE) Mobility Partners LLC to provide the toll collection, intelligent transport and network communication systems for the NTE extension project in the US state of Texas. The NTE extension is approximately 16km long, and runs along I-35W north o
    Read More
  • Russian road projects delayed by funding shortage
    February 9, 2016
    In Russia a series of road projects planned to improve connections to Moscow’s Domodedovo Airport have been cut. The new roads connecting to Domodedovo Airport are required for the 2018 FIFA World Cup. But with Russia cutting its federal budget for road development, the projects have halted. Projects affected include the reconstruction of five sections of the A105 federal highway to the airport, construction of four interchanges and nine pedestrian overpasses. The work was expected to cost a total of US$206
    Read More

Highlighted Content