The cost of road construction projects rose 12.9% in 2021, the largest increase since the Norwegian government launched its Construction Cost Index in 2004.
Prices of material rose by 26.3%, with concrete bridges in particular becoming more expensive – a hike of just over 30 per cent, mainly because of higher steel prices.
The material costs associated with construction of mountain tunnels jumped 19.6 per cent.
Asphalting costs are rising particularly sharply as a result of the increase in the price of bitumen.
Earlier this year, an official report from the Norwegian Road Directorate (Vegdirektoratet) noted that 342 bridges on national roads and county roads have suffered serious damage presenting a potential threat to the safety of users. Meanwhile, a total of 5,300 bridges feature issues that are sufficient to present concern for the safety of users.
This month construction started on the E8 access road lining with Tromsø and is expected to cost €210 million. Also this year, financing was secured for Norway’s €2 billion Sotra Connection PPP Project, the largest contract in Norwegian history.