The income from new construction reaches its highest peak — Which are the Albanian municipalities that doubled the revenue from the infrastructure tax?

New construction is the main supplier of local budgets in our country, and the first half of this year is considered to have achieved its peak regarding this topic. In the first 6 months of 2022, revenues from the infrastructure impact tax and new construction represented about 57% of total local tax revenues and about 34% of total local own-source revenues.

In other words, the municipalities collected nearly 6.4 billion lek, or 54.3 million euros, an increase calculated at 48%, or 2.1 billion lek more compared to the same period a year ago.

If we exclude the income from the municipality of Tirana, the other 60 municipalities in the country collected about 1.4 billion lek from this tax, increasing by about 50% in annual terms. In the analysis made by CO Plan, according to the municipalities, the income from the infrastructure impact tax has increased in 35/61 municipalities.

The Municipality of Tirana collected about 5 billion Lek (with an increase of 47% in annual terms). In the municipality of Durrës, the income from the infrastructure impact tax from new construction has increased from 59.8 million to about 151 million lek in the first six months of 2022. In the municipality of Vlorë, the income from this tax increased from 105 million to about 244 million lek for the same 6 month period, which is about 4% of the total revenue generated by this tax.

But in some of the municipalities, the income from this tax has decreased (e.g. in the municipalities of Berat, Gjirokastër, Dimal, Tropoja, Elbasan, Lezhë, Roskovec, etc.). Based on the data of construction permits according to INSTAT, the construction sector seems to have accelerated the pace of growth since 2017.

In the first six months of 2022, about 736 construction permits were issued by the 61 municipalities in the country, an increase of 23% in annual terms, or about 138 permits more compared to the same period a year ago (which coincides with an increase of 48% in the construction area approved for new buildings).

According to the number of construction permits granted, the development pressure is mainly concentrated in the municipalities of Tirana (123 permits), Durrës (108 permits), Shijak (62 permits), Korçë (53 permits), etc.

Elisabeta Dosku / SCAN

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