Latvian Road Fund idea – still alive Vilnis Millers Head of Finance Management Department Warsaw, June 2007

Expenditures for the State budget state road fund programme milj. EUR Structure of expenditures State roads 70 % Local roads 30 %

Road financing models The state special budget “State Road Fund” Sources of road financing: Actual revenues from earmarked taxes annual vehicle tax 100 % excise duty on oil products 80% The state base budget Subsidy from the state budget general revenues, which must not be less than in previous year

Annual financing for the state budget state road fund program must not be less than sum of planed revenues from annual vehicle tax and 80 percents of planned revenues from excise duty on oil products Law “On Roads” 2007 - 65% 2008 - 70% 2009 - 75% 2010 - 80%

Expenditures for the State budget state road fund programme milj. EUR Structure of expenditures State roads 70 % Local roads 30 %

Who could pay Road Users Charge? Local Road Users In 2006 registered and passed technical inspection 60 200 vehicles with gross net weight over 12 tonne

Who could pay Road Users Charge? Foreign Road Users EU outer border crossings in 2006 with Russia (vehicle registration country and number of vehicles) - Russia 38 000 - Lithuania 89 000 - Poland 17 000 - other countries 13 000 (for information - Latvia 54 000) with Belarus (no information) EU inner border crossings in 2006 (no information)

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