Friday Nov 15, 2024
Friday Nov 15, 2024
Saturday, 5 January 2019 00:01 - - {{hitsCtrl.values.hits}}
The delayed $ 1.85 billion loan from the Japan International Cooperation Agency (JICA) to fund Colombo’s Light Rail Transit (LRT) system is back on track with disbursements expected to begin soon, the Finance Ministry said yesterday.
Cabinet approval for the loan was given this week to Finance Minister Mangala Samaraweera and the project, which is expected to be rolled out till 2024 in six phases, will begin this year. The 16-kilometre line from Colombo Fort to Malabe is expected to be built with funding and technical support from JICA. The loan has an interest rate of 0.1% with a 40-year repayment period and 12-year relief period.
Once the agreement is signed, the first tranche of $ 260 million is expected to be released. The LRT system is a key project under the Megapolis and Western Development Ministry.
In mid-2018, it was announced that the loan would be given in November 2018, but with the political turmoil that was triggered on 26 October when President Maithripala Sirisena removed Prime Minister Ranil Wickremesinghe and appointed Opposition Leader Mahinda Rajapaksa to the post, it was postponed.
Phase one will begin from Fort Station and have stations near the Western Province Transport Centre, St. Joseph’s College, National Hospital, Borella, Cotta Road, Welikada, Rajagiriya, Sethsiripaya, Battaramulla, Palan Thuna, Robert Gunawardana Mawatha, Lumbini Temple, Talahena, Malabe, and the IT park; a total of 15.3 km with 16 stops along the route. The remaining six phases would see the Light Rail system extending further within Colombo and into the Colombo District as far as Kottawa, Kadawatha and Peliyagoda. The proposed Light Rail system will be powered solely by electricity and will initially consist of four compartments, allowing a single train to carry up to 165 passengers at once. Once completed in 2023, the rail system would be further extended to reach the towns of Homagama, Horana and Mirigama.
The Colombo Light Rail project is a public-private partnership, and the first phase of the project will be funded by a low interest Japanese loan.
The procurement process will be twofold; selection of international organisations for feasibility and project planning reports while tenders will also be called to select foreign investors for maintenance depot for the Light Rail system.
In November 2018, the Megapolis and Western Development Ministry signed an agreement with South Korean company Sen Young Engineering to conduct the feasibility study, which is expected to be concluded this year.
