The Ministry of Infrastructure is moving to a new stage of implementation of the First Public-Private Partnership Program in the road sector http://roadppp.in.ua and expresses commitment to start negotiations with international financial organizations on leveraging a resource for the development of feasibility studies and tender documents for first pilot projects. These are 6 sections of roads with a total length of 1400 km, having been selected for implementation under this Program in the first stage. This was announced by the Minister of Infrastructure Vladyslav Kryklii.
"We are switching to a new stage of implementation of the PPP Program in the road sector. In cooperation with Ukravtodor and a consortium of consultants with the support of IFC and the Global Infrastructure Fund, the Ministry of Infrastructure has already developed pre-feasibility studies and conceptual notes for the first 6 pilot sections of 1,400 km of roads to be rehabilitated in the first phase of the Program. We expect that the first competitions for the selection of private partners for these projects will be announced by the end of this year and we are actively working on it. In the near future, we are ready to start negotiations with IFOs on the allocation of funding for the development of feasibility studies and tender documents," told the Minister.
The list of 6 pilot projects includes:
1 - current and capital repairs of the Kharkiv-Dnipro-Zaporizhzhya road (M-29, M-04, M-18). The estimated amount of initial investment is $ 370 million.
2 - current repair of the Boryspil-Poltava road (M-03). The estimated amount of initial investment is $ 180 million.
3 - reconstruction, overhaul and current repairs and construction of a new bypass of the settlement along the Kherson-Nikolaev road (M-14). The estimated amount of initial investment is $ 310 million.
4 - overhaul and current repairs of the Kyiv-Zhytomyr-Rivne road (M-06). The estimated amount of initial investment is $ 370 million.
5 - reconstruction, overhaul and capital repairs of the road Yagodyn-Kovel-Lutsk (M-07, M-19). The estimated initial investment is $ 240 million.
6 - reconstruction, overhaul and construction of a new bypass of the settlement on the road Dnipro-Kryvyy Rih-Mykolayiv (M-04, H11). The estimated amount of initial investment is $ 290 million.
The above-mentioned projects are also included in the List of priority investment projects approved by the Government for the period up to 2023 and envisage further maintenance by the investor for the next 20-30 years.
It should be noted that on October 29, 2020, the Ministry of Infrastructure, Ukravtodor, the World Bank and the International Finance Corporation in Ukraine presented the First Public-Private Partnership Program in the Road Industry: http://roadppp.in.ua. It is aimed to attract private funding for the construction and maintenance of roads, and its implementation will allow to attract up to $ 10 billion in private investment. At the same time, roads will not be tolled for citizens. The state will pay for the infrastructure, but in installments over 20-30 years. A total of 21 sections of highways with a total length of 4,500 km were included in the Program.