Ro-ro ferry operating in Kochi. | Photo credit: FILE PHOTO
Kochi will assess the legal scope of terminating its contract with Kerala Shipping and Inland Navigation Corporation (KSINC) and consider handing over the roll-on roll-off (ro-ro) operations to Kochi Metro Rail Limited (KMRL) or another agency, either through competitive bidding or by forming a special purpose vehicle (SPV).
Mayor VK Minimol directed the executive engineer of the corporation to submit a report within a month, after which an all-party meeting would decide on the matter. She said KSINC officials should also be invited to the meeting. The intention is to make a decision by the time a third ro-ro joins the fleet and the existing two are dry-docked, Ms Minimol said.
The move comes after councilors across party lines slammed KSINC over mounting losses and urged the corporation to appoint a new operator to ease its financial burden.
United Democratic Front (UDF) councilor Henry Austin argued that recurring operating losses had become a major problem and stressed the need for a break-even model as soon as possible, pointing to the water metro’s profitability from the start. “The SPV without addressing recurring losses through a realistic fare review, especially in the face of rising fuel prices, will be of little use. With even drinking water supplies being privatized, why hesitate with ro-ro services?” he asked.
Councilor PV Chandran recalled that a chartered accountant appointed by the previous council found KSINC’s accounting problematic and urged an early decision to stop further losses.
Left Democratic Front (LDF) parliamentary party leader VA Sreejith questioned whether the said losses were only for ro-ro services or also included shipping which remained non-functional from 2021. He warned that some public services, despite incurring losses, could not be privatised, citing KSRTC and KSEB as examples.
BJP councilor Priya Prashanth demanded not only termination of the agreement but also a case against KSINC for alleged irregularities. She noted that the services proved profitable when the company deployed its officials on board ro-ro ferries for 10 days. “The SPV model is more advantageous because it allows the corporation to retain control while involving technical experts. The first steps in this direction have already been taken during the previous council and we can continue from there,” she said.
UDF councilor MG Aristoteles accused KSINC of “robbing the corporation” while demanding an additional ₹87 crore on top of operating losses. He cited a chartered accountant’s offer to indicate that KSINC was maintaining two sets of accounts related to ro-ro services and called for a Vigilance probe. “The company must also explore legal avenues to recover its ro-ro ferries,” he added.
Published – 13 Mar 2026 01:19 IST
