Revival of KCR: Proposal Sent to CDWP

KARACHI (May 27 2009): PC-1 for the $1.57 billion Karachi Circular Railway (KCR) has finally been submitted to the Central Development Working Party (CDWP) for approval.

According to sources in Karachi Urban Transport System (KUTS) the new PC-1 is based on the fresh study conducted by a survey team of Japan International Co-operation Agency (JICA) for the revival of KCR.The current study, conducted by a team from the ministry of economy, trade and industry, government of Japan, adds some new developments like the alleviation of stops, tunnel, cuttings and covering of tracks etc, thus increasing the cost of the project.

To mitigate traffic problems in the country's most congested cities Japan had commissioned 100 percent funding for the project under a loan at 0.2 percent mark-up rate for a 40-year payback time, including a 10-year grace period.Ejaz Khilji, the Managing Director of KCR, told Business Recorder that at least 11 stations of the project have been alleviated for checking and security purposes which also would create enough space for public movement at the stations.The team, he said, has also proposed in the study to make a tunnel near Alladin Park in Gulistan-e-Johar and cover the track of at least 3.5 km between Johar Mor and Alladin Park to protect the track as it was to be built beneath the topsoil.

Some members of the team were still in Karachi for further study and more officials were also likely to visit the city soon, he added.The study on the project was going on since it first commenced in October 2005 and the report was furnished in March 2006 for the revival of KCR. During this time different survey teams of Japan had come to Pakistan and made PC-1, but as the cost of the project had increased in the two years the foreign teams had made the new study with modified cost.The previous PC-I of the project had also been cleared in principle, at the CDWP meeting, held on September 16, 2008.

The government of Japan had earlier promised to release $872.316 million loan to be used for the KCR project and it had commissioned a study under the aegis of Japan External Trade Organisation (JETRO).According to sources, Japan, as a first parameter, would dualize KCR's 30-km loop with modern signalling and telecommunication system. Further, the sources said, at least two tracks along with the main line from City (Railway) Station to Drigh Road Station 14.5 km, would later be linked to the airport with a distance of 6-km, at a cost of $179.464 million.

They said Karachi Urban Transport Corporation (KUTC) would be the vehicle for the implementation of the project having on its board of Directors senior officials of Pakistan Railway, Government of Sindh and City District Government Karachi (CDGK).

It will be recalled that the Sindh government had stopped the local train service in January 2000 and had gain decided to revive the system after realising its importance in 2004.