Motorway economics are way out of line

ACCORDING to NRA figures, the 60km section of the M3 cost €1 billion.

Toll revenue is expected to be €13 million a year. Subtracting the maintenance cost of €20,000/km/lane/year (obtained from an FOI request), which comes to €7m a year and an estimated cost of €2m for lighting, policing and administration, this leaves a net revenue of just €4m, or 0.4%/year, not to mention a proportionate €50m a year for the cost of accidents borne by the state (RSA figures), or the pollution costs to public health and global warming which run into several hundred million euro each year.

The money for the construction would have had to have been borrowed at 5% to 10% and spent long before revenue from tolls starting accruing

Can some spindoctor from the NRA or the road lobby explain how building motorways is an investment beneficial to the country and how tolls are a “cash cow”?

Michael Job

Rossnagrena

Glengarriff

Co Cork

More in this section