Malaga road projects in limbo as Madrid blocks 393m-euro infrastructure plan

Funding row: Who pays for the La Araña bypass?

The most significant point of friction involves the La Araña bypass and the eastern ring road interchange. The city council expected the central government to fund the 7.5-million-euro remodel, which would provide access to new southern residential zones.

However, Madrid has flatly refused. Citing a 2015 decree, the Ministry argues that if a road project is only necessary because of a new private development, the developers must pay for it, not the taxpayer.

Impact on Malaga’s real estate and development

The "harsh" tone of the report serves as a warning to the construction sector. The Ministry has made it clear that:

• No funding from Madrid: The government will not finance projects assigned to it by the council.

• Developer responsibility: Future developments will receive an "unfavourable report" unless developers pay for the necessary road upgrades upfront.

• Viability risks: Some sectors of the city may become unbuildable if the cost of the required road infrastructure is too high for developers to absorb.

This state ruling is binding, so if the city council wants to proceed with the approval of the infrastructure plan, it will have to prepare the new traffic study. However, the urban planning department has begun drafting a new general plan adapted to the current Andalusian urban planning law, which will analyse issues related to the city's infrastructure needs.

The Ministry of Transport's message

The ministry's report on the infrastructure plan in Malaga contains some harsh messages, serving as a warning to the city council. The government states that if the new traffic study detects "significant impacts on the level of service" of state motorways, the project causing these impacts "will receive an unfavourable report until it includes the necessary measures to guarantee the maintenance of the level of service and the safety conditions".

Key projects under fire

Beyond general capacity concerns, the Ministry raised specific objections to:

• The Guadalhorce Bridge: Plans for a new bridge over the river mouth between the two existing structures.

• The Western Ring Road: A proposed connection at San Alberto to serve the expansion north of Avenida Lope de Vega.

While the City Council is currently drafting a new General Plan adapted to the latest Andalusian urban planning laws (LISTA), this central government decision creates a significant hurdle for Malaga’s immediate growth and the 620-million-euro total investment planned for the city’s future.

The Ministry of Transport also warns that these measures "must be implemented by the developers or those interested in the change of use, at their own expense", reiterating that it is not prepared to finance them.