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A third extension, this time for October 18, was given by the Ministry of Infrastructure and Transport, regarding the double auction for the construction and operation of Crete’s Northern Motorway Axis (aka VOAK) and more particularly for the section Chania – Heraklion – Neapolis. According to information, the reason will be, once again, the demands of the interested parties to participate in the 2 projects.

The long awaited road project for the construction of a safe, covered motorway in Crete has been a dream for the island’s residents and bodies for decades. Today, VOAK holds a negative record with dozens of casualties every year. The launch of the bidding process with 2 separate contracts, one with concession and one as a PPP project, was finallly proved to be the Solomonic solution, which resulted in its disentanglement and (prospective) implementation.

The first and main part of VOAK (from Chania to Hersonissos, approximately 200 km long) will be auctioned with a concession contract, , while it is considered to be of strategic importance, in terms of upgrading its safety characteristics and importance and other planned infrastructure upgrades (new airport in Kastelli, upgrading of Chania airport).

For this section, the concessionaire willl have to cover most part from the required funds, while the Greek State will contribute in the project’s financing. The cost is estimated at around 1.1bn euros. Phase A’ concerns an Expression of Interest, as is the case in projects of this size.

The second section, planned to be auctioned as a PPP project, is a 20 km-long extension of the road to the East (Hersonissos – Neapolis). The cost of the project is estimated at, approximately, 250m euros.

In this case, as stated in the decision of the Ministry of Infrastructure, it will be implemented with funds secured by the private party that will undertake the project. The repayment of the required capital will be completed through availability payments, i.e. a prefixed sumto be paid by the State to the contractor, on a monthly basis, during the concession period. The tender will be carried out with the process of competitive dialogue, which means that it will take some time for its completion.

The plans include a covered motorway with 2 lanes per direction (and emergency lanes) on Chania – Hersonissos section.

 

Nikos Karagiannis-ypodomes.com

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