“Platon” truck tax system increases construction cost

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“Platon” truck tax system increases construction cost
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Since the “Platon” truck tax system started operating, the construction cost for 1 m2 of housing has risen by 7% in Russia.

This data was provided in an interview with the director general of Urban Group, Andrey Puchkov, published in “Vedomosti”.

According to Mr Puchkov, the appreciation has come about, first of all, due to the rise in cost of construction materials transportation. In this regard, he called on the introduction of benefits for transporters of construction materials.

For several years now, housing prices have remained stable for consumers, whereas the construction cost has grown steadily. At present, builders have to content themselves with a profitability rate of 10-12%, lamented Mr Puchkov.

It should be mentioned that the “Platon” truck tax system was launched on the 15th of November, 2015. It costs 1.53 roubles per kilometer for heavy truck drivers for the reconstruction of roads, to which they cause considerable damage.

The tariff is expected to increase twofold.