The Rift Valley Railways (RVR) has embarked on a multibillion shilling investment to renovate its dilapidated infrastructure in the face of expected stiff competition once the Standard Gauge Railway is completed in 2017.
The Rift Valley Railways (RVR) has embarked on a multibillion shilling investment to renovate its dilapidated infrastructure in the face of expected stiff competition once the Standard Gauge Railway is completed in 2017.
Group chief executive officer Carlos Andrade said the company has commenced a five-year improvement and expansion plan that would see adoption of a 24-hour working system.
"We want to reduce the time taken between Mombasa and Kampala from 17-18 days currently to only 4-5 days.
"We are also introducing a door-to-door service package to clients”, he said.
Andrade was speaking at the Kenya Ports Authority when he received 120 wagons imported from China on Saturday. They are part of a 480 heavy duty railway wagons purchased by the company in the revival programme.
Each of the wagons has the capacity to transport 60 tonnes per trip. The wagons are expected to increase the haulage capacity by 50 per cent.
RVR is also expected to cut its charges by between 10 and 20 per cent, said Andrade, adding that the current price is 40 to 50 per cent lower than road transport.
"Most importantly, the new wagons are more cost-effective per trip, meaning, we will be able to reduce our freight charges considerably and become more competitive than the roads”, he said.
The company, said Andrade, has completed the rehabilitation of the most damaged sections of the railway track between Mombasa and Nairobi and reopened the 500km line between Tororo and Gulu in northern Uganda, which had remained disused for 20 years.
Mitchell Cotts Freight Kenya boss Daniel Tanui said all logistics for importation and transfer of the RVR cargo were in place.
"We will support it and facilitate faster imports logistics so that RVR remains competitive in the market”, said Tanui.