Slovakia's Transport Ministry plans to sign the public private partnership (PPP) agreement to develop the beltway around Bratislava soon.

The Cabinet has already approved signing of the concession agreement and the the Transport Ministry is expected to sign it during these days, just a few days before the parliamentary elections that will take place on March 5th.

After participants of the tender to design, build, finance, operate and maintain a highway ring road project around Bratislava did not raise any objections and the cabinet approved ,

Spain's Ferrovial, through its subsidiary Cintra, Australian group Macquarie, and Austrian construction company Porr comprise the consortium chosen as preferred bidder for the project.

The project involves the construction of a new 27 km highway (two lanes each way) around Bratislava (D4), creating a beltway to the east of the city and a connection with existing radial roads. The project also involves building the new 32 km R7 radial highway, with two-three lanes each way, running in a south-easterly direction from the city centre. The project will improve traffic conditions and facilitate journeys between countries in the region, which will boost the potential for economic development, job creation and the local supply chain.

The project will be developed on a design, build, finance, operate and maintain (DBFOM) basis. The concession will run for 34 years; construction is expected to take 4 years. 

The total project investment is estimated at €1.01 billion (US$1.1 billion). According to the concession agreement , which is based on availability payments, the government will pay €56.72 million per year to the preferred bidder.

Cintra will develop this project, while design and construction will be carried out by a joint venture headed by Ferrovial Agroman with construction company Porr. Operation and maintenance will be handled by the concession company. 

Financial closure is expected in the second quarter of 2016, once the public information phase has concluded and commercial closure has been reached.