Monday 18 February 2013

Asia World gets green light for toll ways

The Myanmar Investment Commission has given Asia World Group permission to start charging tolls on its newly built road in Yangon.

The 8km-long road parallel to Strand Road along the Yangon River opened last month. It is also called New Strand Road and is intended to make the port area more accessible for containers and heavy trucks.


Asia World Group will begin charging the toll next month, and is expected to be 2,000 kyats for a truck and 1,500 for a car.

Previously, the company had requested that the Yangon City Development Committee allow it to charge 4,000 kyats per truck but this request was shot down.

"The new toll road will be opened in March. The toll fee is not yet confirmed officially," a member of the Container Association said.

"Scales are installed at the toll gates. Extra fees and penalty will be charged besides toll fees at weighing stations. Originally, the toll system supposed to start last month," a truck owner said.

Asia World Group, which is owned by tycoon Tun Myint Naing, a close associate of the former military junta, will collect tolls under the name Virtue Land Co. Ltd.

Currently, at least 4,000 trucks use the new road each day, according to association estimates. Experts project that Virtue Land will earn about eight million kyats a day from trucks. The estimate does not include fees for additional weight. 

Business analysts said charging extra fees on transportation will be passed on to consumers through higher costs at shops. Toll fees should be reasonable and fair, they said.

source: Eleven Myanmar
http://elevenmyanmar.com/business/2512-asia-world-gets-green-light-for-toll-ways

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