US$466m road PPP tender to be launched in Poland

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US$466m road PPP tender to be launched in Poland

The tender for the S6 Tri-City ring road public-private partnership PPP project in Pomerania, Poland will be launched not later than August this year. The government has already received approval for the project from Eurostat. The EU institution agreed that liabilities under this investment should not be included in public debt.

There are 4 important road projects in Poland that will be implemented on a PPP basis: S6 Bypass of the Tri-City Metropolis, S10 Bydgoszcz - Toruń, S6 Koszalin - Bożepole Wielkie and S6 West Bypass of Szczecin. The S6 Tri-City Metropolitan Bypass will be the first investment to be implemented among these PPP projects. The tender will be probably conducted in the competitive dialogue mode.

Currently, in preparation for the investment, the General Directorate for National Roads and Motorways (GDDKiA) is planning to conduct financial market research in order to obtain information on the possibilities of obtaining financing for the abovementioned project in the PPP formula and the interest of banks and institutions financing this project.

A representative of the Ministry of Infrastructure also informed that GDDKiA organizes meetings with representatives of the construction and financial market, the aim of which is, inter alia, optimization of planned investments and assessment of compliance of both parties regarding the valuation of individual risks, which is key to potential interest in participating in PPP proceedings.

The project involves the construction and financing of a new two-lane expressway with a length of 31.7 km (including the Żukowo ring road with a length of 6.6 km), which will bypass the Tri-City, a metropolitan area consisting of three cities in the Pomerania province of Poland: Gdańsk, Gdynia and Sopot. The road will form part of the S6, a planned 330km expressway linking Szczecin, in the north-west, to Gdańsk.

The estimated value of the investment for the project is PLN 1.9 billion (USD 466 million).

The annual average traffic volume on national roads in the corridor of the planned road according to GPR 2015 ranges from 16,000 to 77,000 a day (the bypass road will have a new location in comparison with the current S6).

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