Asfinag Allocates Over Half of Its Budget for Infrastructure Repairs

The ongoing economic recession is increasingly reflected on Austria's roadways. In 2024, there was a noted increase in the number of passenger vehicles on the roads, while truck traffic experienced a decline of 1.4%, contrasted by a 1.6% rise in passenger cars. This downturn in truck traffic is indicative of the current weak economic climate in Austria, as explained by the Chief Financial Officer of Asfinag during the recent financial report.

Despite these challenges, toll revenues rose slightly by 0.4% to approximately EUR2.5 billion, continuing to represent the bulk of Asfinag's income streams. The company reported a profit of EUR734 million, down from EUR844 million in the previous year, a decline anticipated by management due to the suspension of toll increases. Of this revenue, EUR474 million will be returned to the state in the form of corporate taxes and dividends, with EUR219 million allocated to taxes and around EUR255 million designated for dividends, pending the owner's final decision-- the state, which wholly owns Asfinag.

In 2024, over EUR1.5 billion of revenues were invested in the maintenance and repair of the nation's roads and bridges, which accounts for just over half of the year's total revenue. This investment is expected to increase in the coming years, as much of the country's infrastructure dates back to the 1970s and 1980s, necessitating significant upkeep.

Asfinag manages approximately 18,000 infrastructure assets, including roads, bridges, and tunnels. An internal monitoring report indicates that over half to three-quarters of these structures are in good to excellent condition, while the remainder is earmarked for renovation.

The average age of the transport infrastructure in Austria is relatively youthful, with bridges averaging 41.1 years, tunnels 27.2 years, and roadways 19.1 years.

Looking ahead, Asfinag plans to invest EUR11.8 billion in infrastructure improvements by 2030, with nearly 60% of this budget allocated for the maintenance of the roadway network. Additionally, the rollout of electric vehicle charging stations is set to expand, aiming for a charging station every 25 kilometers by 2030. Furthermore, EUR656 million will be dedicated to noise protection measures, and an additional EUR233 million is designated for water protection facilities within the same timeframe.

Significant progress has been made with the tunnel renovations on the A10 in Salzburg, with the completion of the Ofenauer and Hiefler tunnels, along with the Werfen tunnel chain, slated for June 26.

Regarding the future of the Lobau Tunnel project, the Asfinag CEO noted that the project is currently listed under federal road legislation and has been on hold in recent years, pending an environmental report that is yet to be finalized. The timeline for receiving this report remains uncertain. In the autumn, the financing company is expected to unveil its construction program for the years 2026 to 2031.