Dulles Greenway Tolls Likely to Increase Maximum Allowed in January 2013

An article in the November 20, 2012, Loudoun Times reports that filed an application to increase tolls in January by the maximum allowed under their agreement with Virginia--3.54%, squeezing the last hundredth of a percent out of its allowable rate increase.

The increase would put peak period tolls at about $4.97 and base tolls at about $4.14 if Macquarie Infrastructure Group (MIG), 50% owner in the TRIP II Greenway toll road management group, goes for the maximum.   They are likely to drop the toll increases back to the nearest dime--$4.90 and $4.10. 

The Greenway has been losing money for MIG since the TRIP II agreement with Virginia was signed.  Macquarie's 2011 annual report shows that while revenues increased by 2.6% last year on higher tolls, traffic was down by the same percentage.  Nonetheless, its losses are shrinking.  They lost $18 million in 2011 versus $20 million in 2010.  A chart in its mid-1012 investor presentation indicates that quarterly traffic performance has stabilized (see below) and revenues are up 8.6% over the same timeframe last year, suggesting that Dulles Greenway losses this year will be smaller than last.