aA
Lithuania's public funding for road construction and maintenance is set to grow by 60 million euros next year, but road builders do not expect to bag more contracts, saying the amount of work will remain unchanged from the current levels or will even decrease due to rising prices for materials and general inflation.
Lithuanian road builders don't expect more projects in 2019 despite higher public funding
© DELFI / Domantas Pipas

"We don't expect there'll be more work for us. The amount will, at best, remain the same or will even decline, because the price of bitumen rose by 40 percent this year. and we don't know what it'll will be next year," Eurovia Lietuva CEO Stanislovas Kablys told BNS.

Fegda CEO Žydrius Baublys also thinks that the increase in public funding will be offset by rising costs.

"The amount of work will remain at this year's level, because prices for materials are rising both abroad and in Lithuania," he said. "We'll quote higher prices to our key customer, the Road Administration."

Kauno Tiltai CEO Aldas Rusevičius notes that public funds for road maintenance are not spent only on improving the quality of roads.

"A considerable part of the funds has been spent on setting up electric vehicle charging access points lately, as well as on traffic safety measures, such as electronic road signs, lighting and smart crosswalks, etc.," he told BNS.

Although the government's revenue from excise duties on fuel is growing, the condition of Lithuania's roads will not improve unless a higher share of the tax revenue is spent on roads, Rusevičius added.

The share of revenue from the excise tax on fuel going to the road program was reduced to 45 percent this year, from 65 percent previously.

Transport and Communications Minister Rokas Masiulis said last week that public funding for roads would be raised by nearly 60 million euros in 2019 compared with 2018 to 578 million euros, for the first time exceeding the pre-crisis 2009 level of 524 million euros.

BNS
It is prohibited to copy and republish the text of this publication without a written permission from UAB „BNS“.
|Populiariausi straipsniai ir video

Five cities may get another EUR 30 mln to buy electric buses

Lithuania's authorities are considering providing another 30 million euros in EU money to Vilnius,...

Top court finds restrictions on waste-to-energy plants unconstitutional

The 2018 amendments to Lithuania's Law on Waste Management that imposed a ban on building...

Lidl gives up plastic bags in Lithuania (1)

The German retail chan Lidl has given up plastic bags in Lithuania. Other major retailers say they...

Ukrainians coming to Lithuania to work should be better informed about working conditions

Ukrainians coming to Lithuania to work should be better informed about working conditions after...

Leading Swiss engineering consultancy plans to double its Vilnius team

Engineering consultancy CSD Engineers has announced plans to double the size of its team in Vilnius...

Top news

Vilnius district municipality backs further asphalt-paving of PM's street

Vilnius District politicians on Friday decided to endorse a strategic activity plan for 2020–2022...

People returning to Lithuania from China advised to avoid contact

People who have returned from China where the new COVID-19 coronavirus is spreading are advised to...

EU leaders fail to agree on new budget: Nausėda hopes for decision over month

EU leaders on Friday failed to agree on the Community's 2021-2027 budget amid disagreements over its...

Macron's envoy for dialog with Russia to visit Lithuania

French President Emmanuel Macron 's envoy for strategic dialogue with Russia is expected to come to...

Vilnius resident suspected of forging ID and other documents of various countries

Criminalists from Vilnius police have busted a man who is suspected of forging ID and other...

|Maža didelių žinių kaina