"ISTRIAN Y" ROAD CONCESSIONARY HOLD PRESS CONFERENCE

( Editorial: --> 5928 ) KANFANAR, July 6 (Hina) - The building of the "Istrian Y" road will not be possible without the charging of a road toll or compensation from the Croatian government, representatives of Bina Istra, the concessionary for the road building, reported on Monday. The toll charged for passage through Ucka Tunnel ensures only one third of the concessionary's loan, the representatives said. The ownership of Bina Istra is equally divided between Croatia and Buoygues, a French firm. As the Croatian government on behalf of Istra County requested the concessionary not to raise the tunnel toll nor introduce a road toll, we will determine new conditions, since the concession agreement envisages the possibility of Croatian participation, said Michel Cote, managing director of Buoygues' civil engineering. It is practice in Europe that the road toll be paid by the user and not the tax-payer, he said, adding this is also recommended by European directives. The Istra County Assembly said a road toll should not be charged on the "Istrian Y" as it is a highway. The Assembly also believes the concessionary should not raise the toll for passage through a tunnel it did not build. According to Cote, a road toll is at this moment an exclusively political decision, which has to be made by the government. European governments pay the road toll from the budget, as in Germany and Austria, or by charging, as is the practice in Italy, France or Spain. The leaders of Buoygues and Bina Istra reported that the building of the 1A phase of the "Istrian Y" from Vodnjan to Rogovici was progressing according to plan and should be opened in late 1999. Croatia benefits the most from the concession agreement, Cote said, adding the agreement was not a colonial one as some would portray in public. It is the only way to build that road, he emphasised, adding that at a bid for tenders, Buoygues' price for the building of DM170 million was more bargain than the prices set by domestic firms. The representatives of the French firm pointed out that besides the highway Croatia and Istra County have more benefits from the project, including the employment of Istrian construction workers, who make up 85 per cent of the current staff. Buoygues earmarks about US$187,000 a month for salaries and contributions, they said. Th firm is in business with more than 80 countries from all over the world. It employs 91,000 workers and has an annual turnover of US14.8 billion. (hina) ha jn 061807 MET jul 98