Kochi Corporation to introduce new financial management system for ro-ro services

A sub-committee of the Kochi Corporation has been given 15 days to examine the bank account of the ro-ro services currently managed by Kerala Shipping and Inland Navigation Corporation Ltd. (KSINC) and to draft revised terms and conditions for a new agreement with an agency that will eventually replace KSINC.

The sub-committee was constituted at an all-party meeting convened to review the Corporation’s ro-ro operations, following widespread complaints across political affiliations about KSINC’s alleged inefficiency, which has left the civic body burdened with mounting liabilities. Mayor V.K. Minimol issued directions to the sub-committee after KSINC, in its latest three-month report, submitted fresh bills and claimed profits following successive years of losses.

“We are planning to introduce a new financial management system under which a joint account will be opened in the name of the Corporation and whichever agency replaces KSINC, to ensure better accountability. All transactions will be fully digitised. At present, the Corporation has little control over the account, which is entirely managed by KSINC,” the Mayor said.

The Corporation is keen to bring Kochi Metro Rail Limited (KMRL) on board as the new operator of the ro-ro services. All three vessels will be handed over to the new agency within three months.

Dry docking of the existing two vessels will be carried out as soon as the newly inducted third vessel begins commercial operations.

If KMRL declines, the Corporation proposes to form a special purpose vehicle to run the services. This option, mentioned in the Corporation’s Budget, has drawn criticism from the Opposition, which viewed it as a move towards privatisation.

Ms. Minimol noted that KSINC authorities maintained that the ro-ro services were profitable but had been dragged down by losses from the passenger ferry Fort Queen, which they claim to have operated until 2023. “Whatever the reason, we have decided to replace KSINC,” she said.

The Corporation has also resolved to prepare a list of priority users who will be given preference in ro-ro services, with the list displayed prominently at the jetty.

“It will be restricted to essential services, defence, Corporation councillors, and judicial officers. Passes have been issued indiscriminately, leading to frequent disputes at the jetty. We want to streamline the process,” Ms. Minimol said.

Meanwhile, the Corporation has christened the free ride scheme for women passengers, excluding motorists, on ro-ro services as Indira Ride. The council approved the resolution at its meeting on Monday (June 29).