Toll Revenue from I-495 in Virginia up 64.6%

Toll revenue from the I-495 express lanes in Northern Virginia increased 64.6% from the first to second quarters of this year, according to Transurban Group, the Australian infrastructure firm that operates the lanes.

Revenue from the tolls rose from a daily average of $27,499 in the first three months to an average of $45,270 in the second quarter. The primary driver of revenue growth from the tolls was an increased demand for express lane use resulting from growing customer familiarity with the lanes, Transurban said in a release to the Australian Securities Exchange.

From the first to second quarters, the average toll charged increased from $1.43 to $1.71, and the maximum toll to travel the full length of the express lane increased from $6.35 to $7.55, the company said.

Recent initiatives will also make the express lanes more valuable for drivers, according to Transurban. The posted speed limit for the express lanes was increased to 65 from 55 miles per hour on June 24, while the speed limit remained at 55 miles per hour for the general purpose lanes.

The express lanes opened in November 2012. The project is financed by a contribution from the Virginia government, private equity, private activity bonds and a loan from the federal Transportation Infrastructure Finance And Innovation Act program.

The Virginia Office of Transportation Public-Private Partnerships listed an extension of the express lanes as a candidate project that could move forward as a public-private partnership in its draft of its 2013 P3 project pipeline.

Transurban also announced that toll revenue on the Pocahontas 895 near Richmond, Va. increased by 3.9% in the second quarter and by 4.3% in fiscal year 2013.

In June 2012, Transurban wrote off the equity investment for Pocahontas because it decided the toll road wasn't going to make a return for its investors. Last month, its board approved the transfer of the road to its lenders. Transurban is in discussions with the lenders about the final structure of the transfer.

For reprint and licensing requests for this article, click here.
Transportation industry Infrastructure Virginia
MORE FROM BOND BUYER