Value of signed contracts and adopted projects for Istria over HRK 1.5 billion

The government on Thursday adopted a decision for the construction and upgrade to motorway status of the 28-kilometre Pazin-Ucka Tunel trunk road.

On 14 June the European Commission issued approval to Croatia to extend a concession agreement with the  Bina-Istria construction company for the Istrian Y motorway, with the French Bouygues company as the majority owner hence giving the green light for the investment. This creates preconditions for the launch of the project upgrading of the Pazin-Ucka Tunnel section to motorway status.

The Istrian Y connects Istria with the rest of Croatia and is exceptionally important for Istria's residents and represents its main transport connection.

Minister of the Sea, Transportation and Infrastructure Oleg Butkovic said that additional lanes will be constructed in both directions as well as emergency lanes along a stretch of 28 kilometres.

The project will among other things include the construction of 11 viaducts, 14 underpasses, 3 overpasses and the demolition of 3 existing overpasses.

Construction works will last for 3 years with the Rogovici-Ivoli leg of 6 kilometres being opened for traffic two years after the construction starts.

The ministry underlined that 95% of the works will be conducted by Croatian state and local construction companies as sub-contractors and will provide jobs for about one thousand workers.

Once the concession expires that leg of the motorway will be owned by the state and the investment in the 2B1 phase should contribute to a GDP increase by 0.5% while the construction lasts.

"The construction of the 2B1 base and its financing by the concessionaire in the amount of HRK 1.2 billion should increase the state budget's revenue based on taxes amounting to HRK 629 million....overall the financial impact of that tax will be HRK 577.3 million," Butkovic explained and added that he expected the contract to be signed in about 15 days and construction to commence immediately after that.

The government endorsed several other conclusions and contracts for road construction and maintenance around the county.

The government, that convened in Pula on Thursday, adopted a decision for four new tourism projects at various locations around Istria - Veliki Brijun, Muzil, Hidrobaza and Saccorgiana - which are supposed to be rezoned for tourism and thus attract investments of about HRK 3 billion.

The government has decided to establish a task force to prepare and implement tourism development projects on the Veliki Brijun island.

The Andrej Plenkovic cabinet also okayed the conclusion of an agreement to define the conditions, rights and obligations for the Muzil, Hidrobaza and Saccorgiana projects which have for years been waiting for a solution for their revitalisation and rezoning as tourism sites.

State Assets Minister Goran Maric said these localities should be returned to life and will activate more than a million hectares of land.

The land and facilities in all four localities are mainly owned by the state.

The Muzil site will be handed over to the City of Pula and will be rezoned for tourism purposes and it is estimated that the project could attract investments of about HRK 2.5 billion.

The Saccorgiana site, a former army barracks can be transformed into a tourist facility with 1,900 beds including sports, retail and other commercial facilities and could be an investment of about HRK 250 million.

Text: Hina