Private highway

This allows governments to fulfill immediate transportation needs despite their own budget constraints, while still retaining public ownership of the roads in the long term.

An obstacle to private highways is that government regulation can stifle price flexibility and introduce negotiation and paperwork requirements that increase operational expenses, while having to compete against free public roads.

Boarnet and DiMento believe that private highways will become more important as the rise of gasoline-efficient hybrids causes a decline in gas tax revenues.

A vast number of the country's road projects have been upgraded under a public-private partnership, thus operating similar to private highways.

[6] In Canada, the 108 km Highway 407 ETR through the Greater Toronto Area is operated privately under a 99-year lease agreement with the provincial government.