The fate of the Rs.819-crore project to modernise waterway transport in the greater Kochi region is uncertain since the State government has not accorded sanction to it.
The project aims to procure 78 fast, air-conditioned ferries over a four-year period to lessen congestion on roads and to augment water connectivity between densely populated areas and islands.
“Prompt government clearance for the project is crucial to obtain Rs.590-crore loan promised by German development assistance bank, KfW,” said sources associated with the initiative.
The Chairman of Unified Metropolitan Transportation Authority (UMTA) Elias George, who is also the managing director of Kochi Metro Rail Limited (KMRL), is trying to expeditiously get the government’s sanction, since the cleared project is expected to be placed before German Chancellor Angela Merkel during her visit to India in the first week of October.
A number of agreements are likely to be signed during Ms. Merkel’s visit.
The KfW’s director board will sanction the loan only if the State government approves the waterway project. The project had been expected to be cleared at a high-level meeting held on September 9 chaired by Chief Minister Oommen Chandy. “But the waterway proposal and need to speed up constitution of UMTA did not figure in the discussion. Two meetings promised by the government in the subsequent weeks were not held either,” the sources said.
The undue delay has been attributed to “trivial” and “meaningless” queries posed by middle-ranking officials of the Planning Department and Planning Board. “We have replied to all queries and cleared doubts posed by the two agencies and the Finance Department. The issue is being pursued almost on a daily basis with the State government.”
The German loan that works out to 80 per cent of the project cost has a repayment period of 20 years. It is difficult to get a better loan, sources associated with the waterway project said.
