Aacra Beats Revenue Plan for Half of 2014/15

by Zelalem

Tayitu 14th Tayitu 14th

Addis Ababa City Roads Authority (AACRA) has generated income that exceeded the planned 277.8 million Br in the first half of the 2014/2015fiscal year.

The Authority generated around 312.6 million Br between July 8, 2014, and January 8, 2015. The rise in the number of vehicles that enter Addis Abeba,which in turn increase the income from stamp taxation has contributed to the celebrated revenue. The remaining money is collected from annual vehicle inspection, plate rent and sale, drivers’ license renewal, and traffic penalties.

However, ACCRA fell short in some of its road projects due to lack of in-depth planning and collaboration between major government utility providers and AACRA remains the reason behind delay in road projects, said Fekade Haile (Eng.), the Authority’s head.

ACCRA had planned to build a 4,000 meter passengers’road but only built 2,993 meters. Though there is improved collaboration between Addis Ababa Water and Sewerage Authority, ethio telecom and Ethiopian Power Utility, there are still challenges when it comes to electricity, telephone and water pipe clearance, stated Fekade Haile (Eng.), general manager of ACCRA, during a press briefing about the Authority’s six-month report at its premises, located along the Sar Bet-Mekanisa road on January 23, 2015.

Currently, there is a total of 1,176Km passengers’ road in the city. Moreover, problems associated with rights of way, delay in design completion, lack of financial capacity and management of contractors and engineers are other constraints faced by the Authority.

In this fiscal year, ACCRA has plans to increase the city’s road network from 4,671Km to 5,275Km in turn increasing the road coverage from 17.5pc of last year to 19.8pc. The Authority has built 170Km road, out of which 94Km are asphalt, 16Km cobblestone and 60Km gravel roads and 24 bridges in the first half of the fiscal year raising the total road coverage to 18pc. The plan for the half year was to spend 2.4 billion Br from capital budget and 57.4 million Br from regular budget; however, by the end of the period, the spending was up to 2.6 billion Br and 76.5 million Br, respectively.

In the six-month period, 130 single and 56 package projects were planned to start and 120 single projects and 56 package projects are commenced. The project involves new road construction, road maintenance, cobblestone roads and pavements in condominium sites across the city. The Authority has built 15Km new road out of 17Km road it set out to achieve. In addition, around 11Km pavement construction is carried out in condominium sites, accomplishing 84pc of its goal. The Authority has achieved success by exceeding the 18Km of road maintenance it set to carry out and maintaining around 27.4km road. But only 36pc of the work has been carried out regarding cobblestone road construction and this is due to lack of community mobilization, according to Fikade.

When ACCRA was established 16 years ago, Addis Abeba had 591Km of asphalt, 1,303Km of gravel, 102Km of passenger road and 173 bridges amounting to 6pc of total road coverage. Therefore, despite the challenges, the city is achieving tremendous success in the sector, stated Fekade. This fiscal year will see the opening of main roads such as Wingate to Pasteur road, Mexico round about to Africa Union.

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