LAHORE, Feb 25: The Punjab government has started seeking loan from international financial institutions for introducing a multi-billion rupees light rail transit system which is the main part of a mass rapid transport system for the city.

“We have started seeking loan from our development partners and if all’s going well, we can start work on the project by next year, making operational the light rail on the first route from Shahdara to Kot Lakhpat by 2012,” senior government officials said on Saturday.

The plan to introduce a light rail transport system in the city was made in view of a study by JAICA (Japan International Cooperation Agency) in the 1980s.

According to the study, the rail service was to be provided from Ravi Road to Kot Lakhpat covering an area of 22 kilometres. The number of stations was 13 and the rail was to be run over an overhead track.

Officials said the service could not be introduced because of problems emerged with regard to its route within the main city which was congested.

The project was again taken up when Chief Minister Pervaiz Elahi expressed his desire to launch it last year. The planning and development department called international tenders for a fresh study on the project.