GASABO - Hotel La Palisse at Nyandungu will turn into Rwanda’s main railway station after the construction of the regional railway line, The Sunday Times can reliably report.

When contacted, the proprietor of Hotel la Palisse Augustin Mukenzangabo, did not give any details on the compensation he will get when expropriated.

"Unless I checked my books of accounts, I am not at the Hotel now,” he told Sunday Times on his cell phone yesterday.

Landlocked Burundi and Rwanda will start work mid this year to build a 691 km (430 mile) railway line connecting both countries to Tanzania. Work on the line, which will cost an estimated USD4 billion, will take five years.

The main objective of this project is to reduce the cost of imported merchandise and is part of the Central Development corridor.

”We still have time to carry out a detailed study so when we finish it, we will compensate all people affected according to the law. And we are following those concerns closely. People should not panic,” assured Linda Bihire the Minister of Infrastructure, .

Philip Munyaruyenzi, the Project coordinator told Sunday Times on phone that the railway deviation will start from Keza in Tanzania via Rusumo Bridge, to Sake in Bugesera distict where Rwanda’s future airport will be built and turn to Kigali at Nyandungu which is to be the main stage for loading and assembling wagons.

The deviation to Burundi will start from Keza to Burundi border about 75 Km to Cyankuzo-Gitega via Musongati in the capital. The proposal of the route is based on the financial and other studies carried out by DB International, a famous Dutch railway consulting company which has an office in Kigali.

”DB International finished the feasibility study. We are working on the detailed study. It will take short time…by mid February or March, we shall call all stakeholders for a roundtable discussion to begin the construction phase,” Munyaruyenzi added.

Economic studies showed that the railway will lower the cost of transporting merchandise from 40 per cent (of total costs) to five per cent. Construction will be funded by Burundi, Rwanda and donors.

The railways will accommodate both electric and locomotive trains  as the Dar-es-salaam to Isaka will be upgraded to meet all requirements. Last month, Infrastructure Minister Linda Bihire said that construction will probably kick-off by the end 2009. 

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