|
|
 |
|
| |
Top e-government news, updated daily, and regular features from the top people in the public sector.
|
|
|
|
|
 |
|
| PFI could be needed to fund city bypass |
|
Transport chiefs are to consider whether the government's controversial private finance initiative is the right route to bridge a £40m funding gap for the Norwich northern bypass.
Norfolk County Council hopes to secure £61m of funding from the government after gaining the support of the East of England Regional Assembly for the project.
That leaves £40m to meet the overall £100m cost and the council has highlighted a further four sources of finance including developer contributions, borrowing, and other measures such as road charging or a workplace car park levy.
The council is also supporting a bid to tap into a slice of a £40m "growth point" funding pot which is being sought for Norwich to help fund the infrastructure needed to cope with more than 30,000 new homes.
But officers are seeking a meeting with the Department for Transport to see if PFI could be used to 'top up' those pots or to pay for the whole scheme.
A report to the council's cabinet by David Pearson, from the planning and transportation department, said that it was unlikely that PFI credits would be given just to build the road, but ministers were keen on more joint procurement of transport projects.
Money from the other sources could then be used on other schemes for the city set out in the Norwich Area Transport Strategy (Nats).
He said the council was also looking to set aside £9.5m for "contingencies" but added that he was confident that "value engineering" would help control the cost of the project.
"A PFI package could also include funding other elements of Nats, such as public transport improvements, possibly adding in such things as the maintenance and operation of park and ride and the bus station," said Mr Pearson.
"It would not be unreasonable to assume developer contributions could raise £15m-£20m, although there is no precedent to securing this level of contribution for a road scheme."
The council is also considering a bid to the Department for Transport's transport innovation fund to look at "demand management" schemes including a workplace parking levy and road-user charging.
Construction could start in the summer of 2010 after clearing the planning permission and public inquiry hurdles.
Regional support would cover the costs between 2011 and 2013 - but the other sources would be needed in the years before that.
"This represents a significant step forward for the project and while the scheme still needs to go through the usual government scheme approvals process, this prioritisation improves the viability of the scheme in financial terms," said Mr Pearson.
The council selected a three-quarter route last September running from the A47 at Postwick to the A1067 Fakenham Road.
Since then, officers have contacted 53 landowners and held meetings with eight of the 11 parish councils immediately affected.
Issues raised included the impact of closing Fir Covett Road at Taverham, whether to bridge or tunnel over the Rackheath railway crossing and Buxton Road, air quality and the visual intrusion of a road.
"Generally speaking, the reaction of the parishes and landowners has been helpful and constructive in establishing the issues that have to be addressed," said Mr Pearson.
The cabinet will consider the report on Monday. |
|
|
|
