Ministry of Shipping appraises & approves key projects/proposals

As per a Ministry of Shipping communiqué, three projects related to Major Ports were appraised by the Standing Committee of Finance recently. These were (i) Development of Mumbai Marina at Prince’s Dock on Design, Build, Finance, Operate and Transfer (DBFOT) basis on PPP mode at a cost of Rs 359.25 crore, (ii) Selection of a PPP operator for end-to-end execution of JNPT/MbPT Barge/Ship operation to reduce congestion in Mumbai and create value for trade, at a cost of Rs 153 crore, and (iii) Mechanisation of Berth No. 3 on DBFOT basis at Haldia Dock Complex for a concession period of 30 years at a cost of Rs 331.94 crore. While the SFC recommended the proposals relating to projects (ii) and (iii), revised proposals have been called from Mumbai Port in respect of project (i).

The project for mechanisation of Berth No. 14 for handling containers and other cargo at New Mangalore Port Trust, at a cost of Rs 280.71 crore and involving capacity addition of 6.01 million tonnes per annum (in two phases), was awarded.

A proposal regarding settlement of subsidy claims for executed shipbuilding contracts under the shipbuilding subsidy scheme, 2002-2007 was approved by the Cabinet Committee on Economic Affairs (CCEA) during a recent meeting. CCEA has approved this Ministry proposal for extension of timeline and budgetary support beyond March 31, 2014 for release of committed liability of shipbuilding subsidy through budgetary support of approx. Rs 153 crore for a total number of 51 vessels, including retained subsidy for 47 vessels and full subsidy for 4 vessels. This subsidy is to be released in financial year 2019-20, 2020-21 and 2021-22. Guidelines for release of the subsidy are being formulated by the Ministry.