October 15th, 2012

Polish Roads Projects Financing

National Transport Policy for 2006 – 2025, approved by the Council of Ministers in June 2005

Programme for National Roads Construction in 2011 – 2015, approved by the Council of Ministers January 2011

The framework for roads projects

Main goals:

To integrate Polish road system with European

To improve Polish economic and social competiveness

Budget – 20,7 billion EURO (82,8 billion zł)

Source of Financing – National Road Fund

Programme for National Roads Construction

National Roads Fund financially supports the Programme for National Roads Construction

Covers expenditures for construction, reconstruction and modernisation of national roads

The Fund uses the financial resources according to the yearly plan

The incomes of NRF are:

• Fuel fee

• European Union funds

• European Investment Bank loans

• Bonds

• Revenues from Electronic Toll Collection

National Road Fund

Programme for National Roads Construction

,00

5000,00

10000,00

15000,00

20000,00

25000,00

2006 2007 2008 2009 2010 2011 2012

848,7563 1248,0206 1064,5116 585,0033 740,7347

562,4501 459,800

4232,0588 5847,2949

9163,7697

14248,8265

16851,5585

23283,6164

18962,200

Construction

Projects Preparation

2006 – 2012 GDDKiA expenditures

National Road Fund

14%

54%

10%

16%

6%

0%

fuel fee

EU funds

EIB loans

Bonds

ETC

other sources

National Road Fund incomes in 2012

GDDKiA is the biggest individual beneficiary of European Funds

2000-2006

• Cohesion Fund – 1,652 billion of euro EU contribution

• Sectoral Operational Programme Transport – 0,34 billion of euro EU contribution

2007-2013

• Operational Programme Infrastructure and Environment – 10,0 billion of euro EU contribution

• Operational Programme for Eastern Poland Development – 0,21 billion of euro EU contribution

European Union Funds

With EU contribution from 2002 to 2012 GDDKiA delivered:

• 375 km of motorways

• 494 km of expressways

• 575 km of city ring roads and other roads upgrades

By the end of 2015 GDDKiA will deliver:

• 754 km of motorways

• 1.029 km of espressways

• 747 km of city ring roads and other roads upgrades

European Union Funds

Bank Gospodarstwa Krajowego (BGK) handles the underwriting of government guaranteed National Road Fund (NRF) bonds.

The capital obtained by issuing bonds is used to fund NRF operations.

These bonds may have various maturities - 5, 10 years or more.

The volume and schedule of issuance in different years are based on cash flow needs of NRF, and analysis of market conditions, supply and demand for

government securities in a given time period.

In 2012 PLN 3,7 million worth of 10 year bonds were sold in auctions conducted in June. In 2012 cash inflows from sale of obligations amount to

16% of the NRF budget.

Bonds

12 EIB finance contracts signed

Value – 4,6 billion euro

1 contract of 0,9 billion euro to be signed by the end of 2012

European Investment Bank

Current PPP projects in Poland

Public Private Partnership

A1 Motorway, section Gdańsk – Toruń

Stage I Gdańsk – Grudziądz

• Construction period: XI 2005 – X 2008

• Total Cost: 0,66 billion zł (cost of construction 0,5 billion euro)

• Length: 89 km

Stage II Grudziądz - Toruń

• Construction period: VIII 2008 – XI 2011

• Total Cost: 1,1 billion zł (cost of construction 0,92 billion euro)

• Length: 62 km

Public Private Partnership

A2 Motorway, section Konin - Nowy Tomyśl

Construction period: 2000 - 2004

Total Cost: 0,87 billion zł (cost of construction 0,63 billion euro)

Length: 149 km

Public Private Partnership

A2 Motorway, section Nowy Tomyśl – German border

Construction period: VII 2009 – V 2012

Total Cost: 6,5 billion zł (cost of construction 1,29 billion euro)

Length: 105 km

Public Private Partnership

A4 Motorway, section Kraków - Katowice

30 year contract granted in 1997 by the Minister of Transport to STALEXPORT

Length: 61 km

Remuneration based on collected toll

Public Private Partnership

The viaTOLL system is obligatory for all motor vehicles and combination of

vehicles with a maximum permissible weight of over 3,5 tones and for buses

regardless of their maximum permissible weight.

According to the Act of 7 November 2008 on amending the Act on public

roads and certain other acts, Electronic Toll Collection (ETC) applies in Poland

on toll motorways, expressways and selected national roads.

All viaTOLL system incomes will be forwarded to the National Road Fund.

They will be spent on further investments in the development of the road

network in Poland and the modernization of the existing road infrastructure.

Electronic Toll Collection

Electronic Toll Collection

Thank you for your attention

www.gddkia.gov.pl