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ADB disseminates knowledge report on Toll Road Study

26 September 2013 09:14 (UTC +04:00)

Baku. Vahab Rzayev – APA-Economics. On September 25th, ADB has disseminated a knowledge report on Toll Road Study conducted as a part of ADB loan to Azerbaijan Government in transport sector. The necessity of conducting the study on introduction of toll roads in Azerbaijan evolved from the fact that despite the Government’s investment of AZN 4.6 billion in roads sub-sector in recent years, the process of road upgrade and subsequently the increasing traffic has warranted the road network development, operation and maintenance at an acceptable level requiring adequate fund allocations. Hence, major donors are looking for the possibilities to gain efficiency for provision of services through the involvement of private sector; and to raise revenues directly or indirectly to feed the funds allocated for road maintenance. The toll road study was carried out to (i) prioritize road sections suitable for toll implementation and attractiveness to private sector participation, and (ii) assess how Azerbaijan’s existing regulatory and legal framework could better facilitate sustainable private sector participation in the road sector.

The document was circulated among international and national stakeholders. The final report comprising feedbacks and inputs from stakeholders in transport sector and highlighting international experience on public-private partnership (PPP), evaluated toll and PPP options, prioritization of roads for PPP implementation, assessment of legal framework, and regulation, operational procedure for toll roads, risks appraisal and allocation, and recommendations for the implementation of PPP projects will be available with the Government for future reference.

ADB, based in Manila, is dedicated to reducing poverty in Asia and the Pacific through inclusive economic growth, environmentally sustainable growth and regional integration. Established in 1966, it is owned by 67 members – 48 from the region. In 2012, ADB assistance totalled $21.6 billion, including co-financing of $8.3 billion.