The National Budget 2016. (Norway)

This is an extract from the Norwegian Government’s 2016 National Budget, as it applies to transport, and in particular, the railways.

Note the highlighted comments below, particularly the reference that ” large ongoing projects will be reduced somewhat in 2016 to facilitate rational progress”. Note also the mention of “maintenance lag” and “more competition” being introduced.

“The Government will strengthen infrastructure. Efficient communications reduce costs and travel times for businesses and individuals. The Government’s budget proposal increases appropriations for road purposes under the Ministry of Transport and Communications by NOK 4.9 billion. The Government is proposing a NOK 1 billion start-up appropriation for the road development enterprise and is planning to increase the annual contribution to the enterprise to NOK 5 billion in 2018. In addition, it is proposing a NOK 30 billion capital contribution to the infrastructure fund. This will bring the fund capital to NOK 100 billion. The National Transport Plan 2014-2023 (NTP) outlines an ambitious expansion of road and public transport investment. The Government’s budget proposal entails a real increase in appropriations for NTP purposes in the amount of NOK 3.8 billion, compared to 2015. The budget proposal implies that the financial requirements under the first part of the NTP will be exceeded in 2017, even without further increases and without continuation of the package of measures for 2016. The level of railway investment activity has been very high thus far in the NTP period. Expenditure on the large ongoing projects will be reduced somewhat in 2016 to facilitate rational progress. It is proposed, at the same time, to increase appropriations for railway maintenance and renewal. The appropriation proposal implies a significant reduction of the maintenance lag for both roads and railways in 2016. The Government is also reforming the transport sector in important ways. The railway sector is being reorganised and more competition is being introduced. The new road development enterprise is to focus on integrated development, enhanced efficiency and improved economic profitability. “

The full summary can be read HERE