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Hungarian Motorways to be Operated by Private Companies

Hungarian Motorways to be Operated by Private Companies

Hungary
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As a result of the concession procedure previously launched by the Hungarian Government, the Hungarian State handed over the operation and maintenance of 1,237 kilometers of motorway to five different private companies from 1 September 2022 for 35 years.

Over the next 11 years, the concession companies have undertaken to renovate 538 kilometers of existing motorways, build 272 kilometers of motorways and add 273 kilometers of new lanes to the existing motorway network. All the sections of the motorways covered by the concession will remain in public ownership. For operation, maintenance and development, the Hungarian state pays a kilometer-based so-called availability fee to the concessionaire companies.

The Hungarian State will continue to operate 237 kilometers of motorway, and in addition, maintains 31,000 kilometers of other roads connecting and passing through municipalities. Most of the roads within municipalities, more than 140,000 kilometers in total, will continue to be maintained by local municipalities.

By Krisztian Kiralyvolgyi, Attorney at Law, KCG Partners Law Firm

Hungary Knowledge Partner

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