Disagreement in Germany over new road funding plans

There is major disagreement in Germany over plans for a new approach to financing road development proposed by the government. The authorities in the states are objecting to the government proposal to open a road fund, which will be responsible for building and maintaining the major routes roads and which would be able to award contracts to private companies. The federal states currently have responsibility for the road-building work with, funding coming from central sources and they do not want to lose inf
February 24, 2016 Read time: 2 mins
Significant investment is required for Germany’s Autobahn network so as to upgrade existing routes and add much-needed capacity
There is major disagreement in Germany over plans for a new approach to financing road development proposed by the government. The authorities in the states are objecting to the government proposal to open a road fund, which will be responsible for building and maintaining the major routes roads and which would be able to award contracts to private companies. The federal states currently have responsibility for the road-building work with, funding coming from central sources and they do not want to lose influence. The German Finance Ministry says that road development is underfunded in the country. Some €10 billion is spent on road development/year at present in Germany. For the road programme to be achieved, the annual spending will have to rise to €14 billion by 2018. Germany’s Federal Government does not believe that the states will be able to implement the necessary road-building programmes within the timeframe however. The German Transport Ministry expects goods transport to increase by 40% over the next few years, which is why central planning is necessary.
Finance & Funding

Related Content

  • Highway 407 Revisited – smart tollroad extension
    June 7, 2016
    In the late 1990s, World Highways published a supplement on construction of Canada’s Highway 407, the world’s first all-electronic toll road. But how successful has it been? David Arminas reports from Toronto The head office for 407 ETR Concession Company is a low-rise building next to exit 59, just north of Toronto, Canada’s economic powerhouse. The building may be non-descript but inside is the advanced technical heart of Highway 407 ETR – Express Toll Route. It houses the latest toll monitoring techno
    Read More
  • Infrastructure plan for China’s Gansu Province
    March 3, 2015
    Major plans for infrastructure investment have been set out by the authorities in China’s Gansu Province. In all some US$79.9 billion is planned to be spent over the next six years. One of the key aims of this infrastructure programme is to improve China’s transport links with Central Asia. In all the programme of works calls for the construction of 60,000km of roads, including 4,070km of expressways. There are also plans to improve 12 commercial airports in Gansu Province. The sources of funding required f
    Read More
  • ARTBA predicts US construction infrastructure growth
    December 3, 2012
    The American Road and Transportation Builders Association’s (ARTBA) annual forecast suggests that the US transportation construction infrastructure market will show modest growth in 2013. According to ARTBA’s forecast, this segment will increase 3% to US$130.5 billion in 2013. The association’s chief economist, Dr Alison Premo Black, said that growth is expected in highway and street pavements, private work for driveways and parking lots and also airport terminal and runway work. But ARTBA predicts the brid
    Read More
  • Modified asphalt trials in Brazil
    October 17, 2012
    An urgent need to improve and extend its road network means that Brazil is open to innovation and new ideas - the timing looks good for Kraton and its highly modified asphalt. Kristina Smith reports On 15th August Brazilian president Dilma Rousseff announced a US$66 billion (BRL 133 billion) investment package for the country’s road and rail networks. Of that, $21 billion (BRL 42 billion) is earmarked for the upgrade or construction of 7,500km of highways through a series of concessions. “We’re starting an
    Read More

Highlighted Content