Signatures have been finalized, marking the start of construction on a major highway that has been an unfulfilled dream for Crete for half a century – In the last decade alone, over 110 people have died in traffic accidents.

The unlawful use or appropriation of this project in any way is prohibited by property law, with severe civil and criminal penalties for violators.

Northern Road Axis of Crete: A 50-Year Nightmare Reaching Its End – The Massive Project in Numbers
The signing of the concession agreement of €1.75 billion for the Heraklion – Chania section marks the beginning of the construction of a complex and intricate project. This will require operation on the main road axis of the island for drivers, finally turning this long-standing vision into reality.

The Northern Road Axis of Crete (BOAK) has been a persistent demand of Cretans, with discussions dating back to the 1970s. However, differing priorities of successive governments, the project’s difficulties, and the large budget kept construction sites closed for decades. As Kyriakos Mitsotakis emphasized recently from Crete, this has been a “paranoid blood tax,” with 38 fatal traffic accidents in just the last three years.

The Prime Minister’s contribution in including the project in the Recovery Fund, along with overcoming numerous technical and financial obstacles, is considered crucial in bringing this gigantic project to the point of signing with the contractor and moving into implementation.

Heraklion – Chania
The BOAK contract, awarded to the GEK Terna group, is expected to radically change the island’s road map, improving safety and connectivity between the two major Cretan cities. As announced during the signing ceremony in Heraklion last Friday by the Prime Minister himself, the State will fund studies from Pahia Ammos to Siteia (the Lasithi region), enabling the eastern part of Crete, outside the concession agreement, to mature and, if funding is secured, be implemented in a second phase.

“Today is a great day for Crete. After many difficulties and obstacles, we are finally signing the Heraklion – Chania concession agreement, with an option up to Kissamos — a commitment I personally undertook, and I am pleased to fulfill,” said the Prime Minister during the signing. Addressing GEK Terna’s CEO, Giorgos Peristeris, he expressed hope to soon see active construction sites on the large Heraklion – Chania section.

“We know this is a complex project with an outlook of about five years. That’s why I call for cooperation among local authorities. It is very important to recognize its huge significance for Crete as a whole, beyond local issues. Let’s all do our best to complete the project according to the timetable included in the concession. It involves major technical difficulties, and the road must also be operational,” stressed Mitsotakis.

Road Safety Works
Enhancing road safety is a primary concern of the Ministry of Infrastructure and Transport, as well as the Prime Minister. Therefore, before work begins, immediate interventions will be implemented on road sections near Heraklion and Chania, similar to those successfully carried out on the Patras – Pyrgos route, which significantly reduced traffic accidents.

According to recent data from the “SOS Traffic Crimes” association, 64 people lost their lives on Crete two years ago due to traffic accidents, with about one-third of these fatalities occurring on the Northern Road Axis of Crete.

The road, which has remained essentially unmodified since the 1970s, has claimed over 110 lives in the last decade alone. The situation worsens when considering that in 2023, traffic fatalities increased by 64% compared to 2022 on Crete.

Northern Road Axis of Crete: A 50-Year Nightmare Reaching Its End – The Massive Project in Numbers
Under Development Projects of the Northern Road Axis of Crete

Help Needed from All
“For years, the phrase ‘BOAK concession’ was just a distant dream, and today it is being signed, despite seeming impossible,” said GEK Terna’s CEO, Giorgos Peristeris, during the May 9 signing ceremony. He highlighted that the need to accelerate progress is also reflected in the quick signing of the contract after just two months of preparation, with the assistance of GEK Terna’s executives, banks, and the State. Reflecting on past obstacles, he noted that even before the tender, while GEK Terna was among the pre-selected companies, it seemed impossible for the Chania – Kissamos section to be included in the overall concession. “We helped find a legal solution that allowed the Chania – Kissamos option to be included in the announced tender without needing to delay or re-tender the project,” he said.

Peristeris described the construction of BOAK as “a long and difficult journey requiring close cooperation from everyone — primarily the society of Crete, local government, the State, and all authorities — so that this very challenging project can be built and completed.”

Northern Road Axis of Crete: A 50-Year Nightmare Reaching Its End – The Massive Project in Numbers
Event for the signing of the concession agreement in Heraklion, with Prime Minister Kyriakos Mitsotakis and GEK Terna’s president Giorgos Peristeris present (bottom row, left)

In Three Sections
The concession period for BOAK is 35 years, with five years allocated for studies and construction. The total length of the Heraklion – Chania section is 187 km, including 30 km of the optional Kissamos – Chania section.

Construction has already begun, as BOAK, for operational and financial reasons, has been divided into three sections, each with separate contracts and different contractors. Currently, work is in full swing on these sections.

One section is the Neapoli – Agios Nikolaos part in Lasithi, constructed as a public project and fully included in the Recovery Fund, involving the improvement and widening of the existing road to two lanes in each direction plus an emergency lane, approximately 14.5 km long.

The second section is the Hersonissos – Neapoli, in Heraklion and Lasithi, implemented as a PPP (Public-Private Partnership), with co-financing from the Recovery Fund. This contract covers the study, construction, financing, operation, and maintenance of the 22.5 km road section.

The last and most difficult part is the Chania – Heraklion segment, constructed under a concession agreement, funded with €200 million from the Recovery Fund and €592 million from the National Development Plan (excluding the €99 million optional right for the Kissamos – Chania section). Its goal is to include it in the 2021-2027 NSRF (National Strategic Reference Framework).

To leverage Recovery Fund resources, Greece must accelerate progress to complete about 15% of the main axis within roughly one year. Priority will be given to project sections capable of meeting this goal.

The €692 million total cost is financed by the Greek State’s contribution. The remaining funds will come from equity and loans secured by the contractor.

The project’s complexity is evident from its features: the contract foresees the construction of at least 43 junctions, 23 tunnels, and 89 bridges.

Legal Challenges at the Council of State (Supreme Administrative Court)
Furthermore, the concession section faces significant opposition from local municipal authorities, which have appealed to the Council of State, demanding modifications to the route.

The Prime Minister recently stated that if their demands are justified, they will be considered. Deputy Minister of Infrastructure Nikos Tachiaos noted that local discussions are ongoing with the municipalities, implying that their proposals are being discussed realistically and in good dialogue. He emphasized that the projects’ benefits include opening the way for implementing large-scale complementary works and enabling their expansion.

Crete is Greece’s largest island, with a permanent population of about 700,000 and the highest number of international airline arrivals (excluding Athens). Notably, in 2024, the two Crete airports recorded 5.4 million arrivals. The 300 km-long BOAK is considered the largest highway under construction in Europe and a massive project financially, as its three sections are expected to push costs above €2.5 billion.

For the operation of BOAK, shadow tolls are planned, subsidized at 64.62% of the tolls. The government has declared that local travel will be exempt from tolls.

GEK Terna has already established two new companies for project implementation: Diktaios Parochoriseis for managing the concession contract, and Diktaios Leitourgia, which will handle road operation and maintenance after completion.

Numbers at a Glance:

• 300 km: total length of the highway (largest under construction in Europe)
• €2.5+ billion: estimated total construction cost
• 35 years: concession duration
• 187 km: total length of Heraklion – Chania, including 30 km of Kissamos – Chania
• 23 tunnels
• 89 bridges
• 43 junctions to be constructed