Jay456watt
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- Aug 23, 2016
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The government of Uganda could join Kenya in the push to terminate Rift Valley Railways (RVR) 25-year concession to run the Kenya-Uganda railway route.
Sources at the ministry of Works and Transport have indicated that Uganda is backing Kenya's position to terminate the concession to operate the meter-gauge railway.
The Kenyan government on March 31, 2017 sent a notice of intention to terminate the concession to Rift Valley Railways (RVR). A source at Works confirmed to URN that the contract in Kenya has not been terminated yet.
The source indicated that RVR was given up to 90 days for the concession to be terminated. However reports in Kenyan media indicate that the concession was terminated last month according to the Business Daily.
Kenya accused RVR of failure to pay over $5.8 million in concession fees for the entire 2016. The Kenyan government also said RVR had failed to turnaround the over 2,350 kilometer railway track linking the Indian Ocean port of Mombasa to Kenya and Uganda.
In Uganda, RVR failed to meet what is termed as the Golden Standards, according to the past two transport sector reviews. RVR has allegedly failed to extend the services beyond it's operations in the central to northern Uganda.
Ministry of Works and Transport permanent secretary, Alex Okello, could not pick his mobile when contacted for comment.
The ministry's director of transport, Kajuna Benon Mwebaze, said Uganda Railways Corporation managing director, Charles Kateeba, was better placed to comment on the matter.
Engineer Kateeba, however, declined to comment saying a detailed statement could be issued before end of this week.
Rift Valley Railways has been running the Kenya-Uganda railway concession since 2010. In Uganda, it has also been operating the Nalukolongo railway workshop.
It was recently involved in a scandal over the purchase of locomotive for the concession. RVR claimed it had bought brand new locomotives. It was later discovered that the locomotives brought in were manufactured in 1977 and had only been refurbished and modified to fit the metre-gauge railway.
Sources at the ministry of Works and Transport have indicated that Uganda is backing Kenya's position to terminate the concession to operate the meter-gauge railway.
The Kenyan government on March 31, 2017 sent a notice of intention to terminate the concession to Rift Valley Railways (RVR). A source at Works confirmed to URN that the contract in Kenya has not been terminated yet.
The source indicated that RVR was given up to 90 days for the concession to be terminated. However reports in Kenyan media indicate that the concession was terminated last month according to the Business Daily.
Kenya accused RVR of failure to pay over $5.8 million in concession fees for the entire 2016. The Kenyan government also said RVR had failed to turnaround the over 2,350 kilometer railway track linking the Indian Ocean port of Mombasa to Kenya and Uganda.
In Uganda, RVR failed to meet what is termed as the Golden Standards, according to the past two transport sector reviews. RVR has allegedly failed to extend the services beyond it's operations in the central to northern Uganda.
Ministry of Works and Transport permanent secretary, Alex Okello, could not pick his mobile when contacted for comment.
The ministry's director of transport, Kajuna Benon Mwebaze, said Uganda Railways Corporation managing director, Charles Kateeba, was better placed to comment on the matter.
Engineer Kateeba, however, declined to comment saying a detailed statement could be issued before end of this week.
Rift Valley Railways has been running the Kenya-Uganda railway concession since 2010. In Uganda, it has also been operating the Nalukolongo railway workshop.
It was recently involved in a scandal over the purchase of locomotive for the concession. RVR claimed it had bought brand new locomotives. It was later discovered that the locomotives brought in were manufactured in 1977 and had only been refurbished and modified to fit the metre-gauge railway.
