Romanian road issues

Political controversy is looming with the revelation that Romania's National Road Company (CNADNR) has spent some €1.5 billion on upgrading 2,800 km of roads since 2004.
March 5, 2012 Read time: 2 mins
Political controversy is looming with the revelation that Romania's National Road Company (2870 CNADNR) has spent some €1.5 billion on upgrading 2,800 km of roads since 2004.

The funding for the road improvements was supplied jointly by Romania's state budget as well as from European sources. One issue is that CNADNR has been accused of mis-spending over €93 million of 2332 World Bank funding in 2004, when it missed targets set by the bank intended to establish project management standards. Although funding has been routed from international sources into Romania's road network, little benefit appears to have been achieved so far. Romania's road authorities have invested in feasibility studies for highway projects but the amount of construction work carried out to date has been minimal.

For example, only now is Austrian contractor 945 Strabag working on a project to upgrade Romania's DN14 and DN15A national roads in deals worth a total of some €106 million. STRABAG's deal will see the firm upgrading a total of 150km of road, with the work commencing in April 2011 and scheduled for completion in March 2013. As part of its contract, STRABAG will widen and improve the existing road network, upgrade bridges, and install safety measures. The work forms part of the sixth rehabilitation programme of national roads in Romania and is financed by funds from the 1054 European Investment Bank and from the national budget.
Road Structures

For more information on companies in this article

Related Content

  • Romanian road revamp
    April 30, 2012
    Romania's long planned highway expansion programme is finally gathering pace. Funding for the projects has been provided but although many feasibility studies had been carried out, little work had been carried out until now.
    Read More
  • Ethiopia’s building roads
    November 29, 2013
    Ethiopia is set to benefit economically from investment in a number of new key road links totalling over US$1 billion. The east African nation’s 218km Modjo-Hassan highway is expected to cost US$720 million to construct. The highway will be constructed in two stages. The first section of the route will stretch 93km from Modjo to Zeway and is expected to cost $350 million to complete. The second section of the highway will be 125km long and link Zeway with Hewassa and this stretch is estimated to cost $370
    Read More
  • Mexico has plans for massive infrastructure investment
    July 19, 2013
    Mexico’s Government has plans for a massive programme of infrastructure improvements across the country. In all some US$314 billion will be invested in infrastructure, of which $47 billion will be targeted at improving the country’s transportation network. Mexico’s national transport and communications ministry, SCT, will manage the projects which include works for highways and airports. The plans are expected to include a combination of private and public funding sources, although further details have yet
    Read More
  • EU Commission adopts plan for €50 billion boost to European networks
    May 2, 2012
    The European Commission has tabled a plan which will fund €50 billion (US$68.7 billion) worth of investment to improve Europe's transport, energy and digital networks. It has also announced the Europe 2020 Project Bond Initiative which will be one of a number of risk-sharing instruments upon which the facility may draw in order to attract private finance in projects.
    Read More

Highlighted Content