Alternative road financing mechanisms for Malta

Abstract

The aim of this dissertation is to bring forward new ideas where roads are managed in a commercial way. Examples of innovative ways of financing roads include the fee-for-service concept and the introduction of a road fund. The role that the private sector would play in conjunction with the local authorities, in the financing of the infrastructure, would also be studied. These different aspects inevitably lead to an estimation of road use costs and a review of the various taxes related to road use, like vehicle registration tax and fuel sales tax, which have to be considered within a social framework. A road financing plan is to be proposed where the different aspects of road construction, operation and maintenance will be taken into consideration. The road financing mechanisms, which are most suitable for Malta, shall be determined and proposed to the concerned local authorities.