Deal: Gush Dan congestion charge for Kiryat Shemona railway

Deal: Gush Dan congestion charge for Kiryat Shemona railway

Government ministries continue to reject them, but the sources informed “Krat” that the Minister of Transport Miri Regev and the Ministry of Finance are advancing in the agreements, and that the ministries are preparing to hold a press conference. The essence of the deal is 20 billion NIS for “Connect ISRAEL” in exchange for removal of Regev's objections on charges of congestion on the entry of Gush Dan (Greater Tel Aviv).

“Globes” also revealed, the Ministry of Finance and the Ministry of Transport agreed to the budget for the railway line to Kiryat Shemona, the leading Regev plan, in exchange for removing its objection to reforming the accusation of congestion in the Ministry of Finance. Oral agreements and negotiations on the details were achieved in an advanced stage. The collapse of the negotiations is responsible for the cancellation of the deal, which may explain the rejection of the ministries.

Last month, the public accountant in the Ministry of Finance published a tender to build gates and operate the charge of congestion at the entrances to Gush Dan. The project, which was part of the economic arrangements law approved by the previous government in 2021, was at the heart of the conflict between the Ministry of Finance and the Ministry of Transport. Even before she was appointed, her Regev opposed her, and after her appointment, she issued instructions to Ayalon highways, which is the loss of the Ministry of Transport, to cancel the tender.

Now, the expected revenues of the congestion fees, estimated at 1.3 billion NIS, have been put in place in the numerator, which is the budget plan for three years, since 2027. How can the gap between the general opposition of Regev, spread the tender and insert it to the expected receipts in the number? The Ministry of Finance found a solution: the publication of the tender directly by the ministry instead of the Ministry of Transport and Companies. In this way, Regev can continue to oppose the accusation of crowding, and at the same time benefit from it.

The correct priorities?

Under the law, revenues of congestion will be charged with public transport. 700 million NIS is allocated to the metro project, while the rest can be used for various infrastructure projects, such as the railway link to Kadyat Shemona, which is also supported by BEZALEL Smotrich Finance.

The war with Hezbollah in Lebanon, during which Kiriyat Shimona was bombed and its inhabitants were evacuated, and led to a public debate about the rehabilitation of the region, and that the infrastructure believed that, in this climate, in this climate, it will be reconnected to the north and connected to the north. The rail network as a social and strategic cabin, although it has no economic basis.

The Ministry of Finance sees such a link to the railway as a “bad project”, meaning that investing in it is harmful to the economy, but it is not in the forefront of priorities in allocating billions of shells to public transport, which will be better invested in ties between large cities and enhancing transportation within cities in which most of the population lives.

The cost of building a railway to Kiriyat Shimona is estimated at 18 billion New. Those who attended the Eilaat Real Estate Conference listened to Regev promising railway from Kiryat Shemona to Eilaat during the seven years to the next ten years.

It was published by Globes, Israel Business News – En.globles.co.il – on March 25, 2025.

© Copy Publish Publisher Itonut (1983) Ltd. , 2025.


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