Friday, November 20, 2009

Japan to provide KCR Loan After Encroachers' Resettlement

ISLAMABAD (November 21 2009): Japan will provide $1.457 billion soft loan for Karachi Circular Railway project (KCR) only after completion of the Resettlement Action Plan (RAP) of affectees/encroachers. Sources said that officials of the KCR have told the National Assembly standing committee planning and development that Japan would not provide the loan for KCR without completion of RAP survey.

The study for the settlement of encroachers. in consultation with the Jica, is currently underway and is scheduled to be completed by the end of November 2009. About 300 acres land of Board of Revenue of Sindh at Jumma Goth has been identified for the resettlement project for affectees/encroachers.

The resettlement plan study would be displayed at Jica website for World Bank and Jica review ahead of WB appraisal mission. The loan agreement would take place in July-August 2010 while the study/design loan might be treated separately by Jica for completion of preliminary work.

The meeting was told that final study to revive KCR--constructed and opened for traffic by Pakistan Railway in1964--was conducted by the donor agency, Jica, and the estimated cost of the revival project is $1558.8 million. Jica will contribute 93.5 percent funding, while remaining 6.5 percent will be borne by the implementing agency, Karachi Urban Transport Corporation (KUTC).

Giving details on implementation status, the meeting was apprised that Environmental Impact Assessment (EIA) study has been approved, while the RAP study would be completed on November 30, 2009. The KUTC has invited Expressions of Interest (EoI) for validation of final report prepared by Saprof and fixed December 2009 as the last date for submission of proposals. The Satellite Imagery of KCR route has been completed by Suparco, while route preliminary alignment work, in progress, would be completed by December 30, 2009.

The allocation of 300 acres of land at Jumma Goth by Board of Revenue, Government of Sindh for Resettlement of Project Affected Persons is being awaited as well as release of funds of Rs 817 million for the year 2009-10 against the allocation of Rs 750 million in Public Sector Development Projects (PSDP) and Rs 60 million in annual development plan of Sindh government. The implementing agency has requested the federal government for duty waiver on imported equipments as well as in relending mark up. The KUC has proposed the same relending rate as the mark-up of lending agency to KUC

No comments:

Free Blog Counter