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Federal spending on road construction surges by an additional 15 billion dollars.

escalating construction costs spur on project expansion

Expansion of B5 Highway between Husum and Tönting to include three lanes.
Expansion of B5 Highway between Husum and Tönting to include three lanes.

Federal spending on road construction surges by an additional 15 billion dollars.

The federal administration needs to trim expenses while simultaneously improving the nation's rundown infrastructure, such as highways and federal roads. With escalating construction costs, an additional 2.024 trillion euros will be necessary by 2024. Left and Green party politicians are urging Transport Minister Wissing to alter his strategy.

The financial burden for highway and federal road projects is escalating. The federal government forecasts a collective funding requirement of 179.7 billion euros for federal highway projects in the current federal transportation infrastructure plan. This represents an increase of roughly 15.4 billion euros compared to the previous year's report.

The rise in construction costs is evident in the overall funding requirements. The construction price index for federal highways increased by more than 9% in 2023 compared to the previous year.

"The price surge to 180 billion euros indicates that the extensive construction and expansion of highways are no longer financially sustainable for government budgets," commented Left's budget spokesperson Victor Perli. Federal Transport Minister Volker Wissing should alter course and cancel unnecessary new construction projects. "The funds are desperately needed for the upkeep of existing roads, particularly dilapidated highway bridges. There's plenty of work to be done, but funds are lacking."

Green Party budget spokeswoman Paula Piechotta noted a significant backlog in maintenance on railways, highway bridges, and waterway locks following 16 years of grand coalitions. "Maintenance cannot be avoided. It should not even be considered to postpone maintenance measures once more." Greenpeace mobility expert Lena Donat added: "The construction costs of many highway projects are spiraling out of control. The environmental and climate damage from additional highways was never realistically evaluated." Wissing must re-examine the balance of costs and benefits for the planned roads.

The Commission, comprising ministers and politicians, is discussions around the rising costs and necessary funds for infrastructure projects. Given the financial constraints, The Commission is deliberating on potential projects to cancel or postpone to allocate funds towards the maintenance of existing infrastructure.

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