The Kochi Municipal Corporation is considering terminating its agreement with Kerala Shipping & Inland Navigation Corporation Ltd (KSINC), which operates the Ro-Ro ferry service in the Fort Kochi–Vypeen sector, citing sustained financial losses and audit discrepancies.
The move follows a review by the corporation’s finance standing committee, which examined the audit report on Ro-Ro operations and found that the service has become a significant financial burden on the civic body. According to the committee, the corporation is being forced to bridge large financial gaps due to continuous operational losses.
Corporation authorities are now exploring alternative models, including entrusting the Ro-Ro service to the Kochi Water Metro or inviting open tenders to appoint new operators.
MG Aristotle, a member of the finance standing committee, said auditors had flagged discrepancies in the revenue and expenditure statements submitted by KSINC. “The corporation is compelled to pay substantial amounts to cover losses. Maintenance expenses, including the high cost of annual dry docking, are being borne entirely by the civic body,” he said.
Despite the losses, the committee noted that the Fort Kochi–Vypeen Ro-Ro service has the potential to be profitable if managed efficiently and with greater transparency. Aristotle said the committee has recommended that the council take a final call on whether to continue with KSINC or opt for open tenders, after convening an all-party meeting to arrive at a consensus.
Operational challenges are also adding to the pressure. One of the two Ro-Ro vessels operating in the sector is scheduled for dry docking in February, leaving only a single vessel in service for the period. Although the corporation has contracted Cochin Shipyard Limited (CSL) to construct a third Ro-Ro vessel, the delivery timeline remains uncertain. The corporation has allocated ₹18 crore for the project, and the contract signed on November 13, 2024, stipulates an 18-month completion period.
Originally, the corporation had planned to form a special purpose vehicle (SPV) to operate the Ro-Ro service. However, delays in setting up the SPV led to the operational responsibility being handed over to KSINC.
Safety concerns have further intensified scrutiny of the service. One of the Ro-Ro vessels collided with a barge while crossing the navigation channel in Fort Kochi on Friday. Former Fort Kochi councillor Antony Kureethara said no injuries were reported but raised concerns about infrastructure conditions. “The Ro-Ro jetty pavement is in a dilapidated state,” he said.
Kureethara also highlighted commuter inconvenience, noting that while one vessel ceases operations at 8 pm, the second runs only until 10 pm, resulting in overcrowding. “We have requested the corporation to extend the service hours of both vessels until 10 pm to manage the rush,” he added.
With financial strain, operational uncertainty, and safety issues converging, the future of the Fort Kochi–Vypeen Ro-Ro service under KSINC is now under serious review.
