The recommendation has come at a time when the World Bank is positive on offering loan through International Bank for Reconstruction and Development (IBRD). After nearly five years of efforts to build the road through PPP involving international investor failed in September this year, the government is looking for alternatives to complete the project. A senior official at the Ministry of Physical Infrastructure and Transport (MoPIT) said the panel submitted a report recommending the government to immediately remove the Fast Track road from PPP category listed by National Planning Commission (NPC). “The project implementation through PPP of build, own, operate and transfer (BOOT) model looks impossible now,” the official said.
The removal of the project from PPP category means the project will be undertaken either by government resources or loan support from donors. Earlier, the government had planned to develope the proposed road under the BOOT model with at least 90 percent of the total investment from a capable foreign investor. The road project linking the Capital with Nijgadh of Bara is estimated to cost Rs 100 billion. Of late, the WB is showing interest to lend money to build it under the IBRD mechanism whose interest rate is comparatively higher. The expressway project has remained uncertain after Indian firms shortlisted for the project—Reliance Infrastructure, Infrast-ructure Leasing & Financial Services (IL&FS) and Larsen and Turbo (L&T)—did not submit the request for proposal (RFP) three months ago.
“We have submitted a report regarding the project implementation to Minister of Physical Infrastructure and Transport Chhabi Raj Pant,” said Ananta Acharya, chief of the Kathmandu Tarai Fast Track Project and member secretary of the technical committee. He added that the government was committed to develop the project by any means.
The panel was formed under the coordination of Tulasi Prasad Sitaula, secretary at MoPIT, to study ways to revive the project. Other members of the committee include Indu Dhakal, joint secretary at MoPIT and Director General of the Department of Roads Devendra Karki. Although the government provision allows an expert from the concerned sector into such panels, no expert has yet been invited for the study, a MpPIT official said, dropping a hint that the current government was less likely to reach any decision on the project development.
http://www.ekantipur.com/2013/12/22/fullnews/kathmandu-tarai-fast-track-tech-panel-declares-ppp-model-infeasible/382734.html
No comments:
Post a Comment