The European Bank for Reconstruction and Development (EBRD) will allocate 15 million euros to finance the reconstruction of the road from Tivat to Jaz Beach near Budva.
As announced by the head of the EBRD for Montenegro, Jaap Sprey, the road will be expanded from the current two lanes into a four-lane boulevard-type road and will provide easier and faster connectivity on the busiest route in the country, linking two key tourist cities on the Adriatic coast.
“The project will increase the resilience of the road network to climate change through the adoption of climate resilience measures. This includes measures to prevent erosion and landslides, increase drainage capacity, reinforce embankments, change the bridge design, etc.,” said the head of the EBRD.
The reconstruction includes the construction of 16 km of four-lane road with 12 bypasses and the parallel installation of a 15-kilometer second gas pipeline between Jaz and the entrance to Tivat.
The total cost of the road reconstruction work from Tivat to Jaz Beach
In total, five bids were submitted to the Road Traffic Administration tender by domestic and foreign companies for the reconstruction of the main road into a boulevard section from Tivat Airport to Jaz.
The cheapest was offered by the Chinese company China Civil Engineering Construction Corporation (CCECC) from Beijing, which is asking for 35.2 million euros, or 42.59 million euros including VAT.
Another favorable offer is from the Chinese state-owned construction company China State Construction Engineering Corporation (CSCEC), which also has local partners among construction companies in Montenegro. For this work, they are asking 43.67 million euros, or 52.84 million including VAT.
The consortium of Green Line General Trading and Contracting and Salillari Limite d from Kuwait offered a price of 47.06 million 56.94 million euros, including VAT.
The consortium consisting of Austria’s Strabag and Podgorica-based Bemax is asking 48.48 million euros for this work, or 58.66 million including VAT.
The most expensive offer is from a Turkish consortium consisting of ANT and Yuksel Insaat from Ankara, amounting to 67.07, or as much as 81.15 million euros including VAT.