Skip to main content

Budget cuts affect Messina Straits bridge construction

A fresh set of problems has hit the long planned Messina Straits Bridge in Italy.
March 22, 2012 Read time: 2 mins

A fresh set of problems has hit the long planned Messina Straits Bridge in Italy. There is now reduced funding available for the project from the Italian Government. Some €1.6 billion that had originally been planned for this landmark project is now being used to pay for other infrastructure work, including the Naples-Bari, Foggia-Potenza and Messina-Catania railway. The Messina Straits Bridge project is being handled by a consortium comprising Italian contractor 3149 Impregilo and Spanish firm 3959 Sacyr. When this consortium was awarded the bridge project in 2005 the estimated cost of building the structure was some €4.4 billion. By the time the project was given the go-ahead in July 2011 the cost had spiralled to €8.5 billion.

Because the Italian interdepartmental committee for economic planning (CIPE) has used the €1.62 billion funding for other projects, the future of the Messina Straits Bridge is now in question. This move has been welcomed by environmental associations that are pushing for the Italian Government to reject the project. The Italian Government is considering cancelling all compensation payments agreed in the case of the contract being cancelled. Should the whole project be officially withdrawn, it is possible that no compensation would be paid. With Italy's economy struggling at present, there are questions as to whether the major investment required can be found. This much heralded structure is intended to provide a link between mainland Italy and the island of Sicily. However it has a chequered history that has seen the project being announced as going ahead and then being cancelled on more than one occasion.

For more information on companies in this article

Related Content

  • Russia's road map ahead
    March 5, 2012
    Overall, Russia is to benefit from a major highway investment programme. The Federal Transport Development Programme will feature a budget of $21.5 billion for the 2010-2015 period. Some $15.1 billion is to be allocated for highway construction and repairs. Russian city St Petersburg and the surrounding the Leningrad region will see the start of major investment in infrastructure during 2011. The road sector will benefit strongly, with projects underway including the southern section of the Western High Spe
  • Kazakhstan’s London road show woos consortia for Almaty ring road
    March 2, 2015
    Kazak and EBRD officials visited London to highlight the possibility of a public-private partnership under the country’s revised PPP legal framework. David Arminas reports. To build a road, you go on the road, and that is what Kazakhstan did in London in mid-December. Representatives of more than 100 organisations, a mix of construction companies and financial institutions, attended the roadshow-style presentation to attract foreign capital for BAKAD, the Almaty Ring Road Concession. The message was that Ka
  • Questions and delays afflict some key Indonesian transport project
    March 28, 2014
    Indonesia’s transport expansion programme is seeing new projects commence, but others afflicted by questions over feasibility and delays. Questions over the economic feasibility of the proposed Sunda Strait Bridge project have been raised by the Public Works Ministry. This mega-project is intended to provide a road link between Sumatra and Java. But construction of the 30km structure could cost up to US$23 billion and might not be fully recovered, even if the investor collects toll fees under a 100-year con
  • Metro Pacific pushes for Cebu-Mactan bridge in the Philippines
    January 19, 2015
    Metro Pacific Investments Corp (MPIC) is in discussions to form a joint venture for construction of a toll bridge connecting the islands of Mactan and Cebu in the Philippines. Cebu is an island province that incorporates 167 surrounding islands and islets, one of them being Mactan, which lies immediately off Cebu Island, across from Cebu City. MPIC’s subsidiary, Metro Pacific Tollways Development Corp (MPTDC), is proposing an 8.3km bridge costing around US$380 million, according to local media reports