DRC PORT AUTHORITY LOOKING INTO RAILWAY REHABILITATION

UNCLAS KINSHASA 001379 SIPDIS SIPDIS E.O. 12958:N/A TAGS: ECON ELTN EINV PGOV CG SUBJECT: DRC PORT AUTHORITY LOOKING INTO RAILWAY REHABILITATION ¶1. (U) The DRC is continuing to discuss plans to rehabilitate its Matadi-Kinshasa rail line, which currently operates at only about ten percent of capacity. A Chinese company, China Machine Building International Corporation (CMIC) signed a memorandum of understanding April 6 to provide ONATRA (the DRC's port authority) with equipment and repairs for the historic 230-mile Matadi to Kinshasa railway. CMIC representatives visited the DRC twice between January and April to conduct a rail survey and meet with ONATRA officials, and the parties are now exchanging technical data. According to an ONATRA contact, the parties have not yet signed a final contract nor fixed the amount or means of payment. Further, ONATRA has not launched a public tender for this project. ¶2. (U) In addition to restoring the actual rail line, with a transport capacity goal of 5 million tons per year, CMIC proposes to provide communications equipment, signs, electrical power and railroad maintenance, and to buy new equipment and railroad support units. CMIC proposes to replace the 33-40 inch rails with 50-inch rails, and to replace the wooden sleepers with ones made from concrete. The ambitious project plans to construct a telephone switching station, a power generating unit and a transmission center for train monitoring, as well as to supply 16 locomotives, 36 passenger carriages and 215 cargo wagons. ¶3. (U) The renovation proposal includes reducing the number of railway stations from 50 to 20, keeping stations at Matadi, Lukala, Kwilu, Kiasi-Kolo, Kisantu, Lufu, Luila, Kasangulu, Menkao, Tadi-Mosi, Lemba, Matete, Limete, Funa, N'dolo, Kimpese, Kolo, Tombagadio, Sona-Bata and Minkelo. The stations will be located 12 miles apart. (Note: The passenger rail-trips currently takes about seven and a half hours, versus a six-hour trip by car. End note.) ¶4. (U) Comment. Regardless of who undertakes the project, which preferably should be launched via a public tender, the rehabilitation will take a substantial amount of time and cost many millions of dollars. It is unclear how ONATRA can come up with the necessary funds. End comment. MEECE