Kerala has given a commitment to the Union Department of Economic Affairs and World Bank (WB) that it will expedite the ongoing works of upgrading 363 km of State Highway under the WB-aided Kerala State Transport Project (KSTP).
The assurance was given by PWD Special Secretary Biju Prabhakar and KSTP Project Director Ajith Patil during a review of the KSTP Phase II works in New Delhi this week.
The review was in the backdrop of the WB move to pull out of the $445- million project or partially cancel the loan extended in the wake of the missed deadlines and dragging of works.
Mr. Prabhakar and Mr. Patil, detailing the steps taken to expedite the works and follow the WB instructions, also sought time as they were recently given the postings. The two officials pointed out the obligation of the government to complete the project as per schedule.
At the review meeting, the WB was represented by Country Director for India Junaid Kamal Ahmed and Country Representative and Lead Transport Specialist Arnab Bandyopadhyay among others.
The WB also carried out a review and assessed the situation in the wake of the commitment and report of the mission led by Satish Sagar Sharma, Highway Engineer and Sony Thomas, Road Safety Expert, that has noted “slow progress” in the eight corridors.
The WB has now decided to leave the “fate of the KSTP Phase II project”’ to the Mission led by Task Team Leader Bernard Aritua, official sources said on Saturday. The team will have seven to eight experts dealing with Highway Engineering, Environment, Finance, Social Safeguard and Road Safety to assist Mr. Aritua.
Soft loan
Although the State is trying to avoid the ‘poor performer’ tag and cancellation of the loan, sources said possibilities of mobilising KIIFB funds were also being explored in case the WB took drastic action. But, the bureaucracy was against it. The WB had extended a soft loan of $210 million for the phase II, kicked off in June 2013 and scheduled to end in November 30, 2018.
