Estonia, EU – Baltic States, Legislation, Taxation, Transport

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Kallas: Estonia will not escape road tax

BC, Tallinn, 19.03.2015.Print version
Former European Commission Vice-President Siim Kallas said at a roads conference on Wednesday that channelling taxpayers money into road construction in Europe is declining in the future and more options of "user pays" are looked for to finance roads, LETA/Postimees Online reports.

"A strong discussion has emerged in Europe over financing road construction and maintenance," said Kallas at the Roads Cluster and Tallinn Technical University roads conference. "In Europe, there are two countries where no money at all is charged for using roads – they are Finland and Estonia. In other countries, the roads tax exists in one way or another. It would be wise to work on this issue, because the future is moving in that direction."

 

Kallas said that many companies building infrastructure show initiative in developing business options for financing roads: "France is certainly a role model. Also in Estonia, road builders could form a consortium and take over managing some road. How about forming a consortium for building and managing the Tallinn-Tartu four-lane highway?"

 

Kallas noted however that infrastructure development decisions are often politically very sensitive, so it is necessary to ensure long-term infrastructure investment plans against political interference. "The above-mentioned consortium model needs political certainty and a clear regulatory framework from state".






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