Question : PRIVATE PARTICIPATION IN PORT SECTOR



(a) the details of the action plan for the current year for development and restructuring of port management/Corporatisation and privatising a number of operations for efficient working in a highly competitive global scenario;

(b) whether the Government have released model documents on private role in Ports;

(c) if so, the salient features of the proposed model documents; and

(d) the time by which it is likely to be implemented?

Answer given by the minister


MINISTER OF SURFACE TRANSPORT

(SHRI RAJNATH SINGH)

(a) to (d): A statement is laid on the Table of the House.

STATEMENT REFERRED TO IN REPLY TO PART (a) TO (d) OF THE LOK SABHA STARRED QUESTION NO. 590 DUE FOR ANSWER ON 8TH MAY, 2000 ASKED BY SHRI ANNASAHEB M.K. PATIL AND SHRIMATI SHYAMA SINGH REGARDING PRIVATE PARTICIPATION IN PORT SECTOR

(a) Action Plan for the current year in regard to Port management, corporatisation and privatisation includes the following;

o Construction and Equipping New Berths o Acquisition of state-of-the-art Equipment to match the emerging cargo mix o Establishment of Electronic Data Interchange (EDI) o Setting up Vessel Traffic Management System (VTMS) o Labour Training & Welfare o Increased Role of Private Sector in the existing facilities as well as addition of capacity in the Ports. o Corporatisation of Major Ports in a phased manner.

A plan outlay of Rs. 1589.99 crores has been earmarked for development of major ports during the current year. With regard to restructuring of port management/Corporatisation, a decision has been taken to corporatise Major Ports in a phased manner starting with the new port at Ennore and followed by Jawaharlal Nehru and Haldia Ports. A company for management of Ennore Port called Ennore Port Company has been incorporated. A calendar of activities for corporatisation of Jawaharlal Nehru Port has been prescribed. Regarding private sector participation, so far 13 private sector/captive port projects of 52.80 million tonnes capacity with investment of Rs. 3926 crores have been approved. Eight projects of 34.4 million tonnes capacity involving investment of Rs. 3500 crores are under bidding process. Three projects aggregating to 5 million tonnes capacity and investment of Rs. 450.00 crores have been identified for which bids are yet to be invited.

(b) to (d): The Ministry has finalised model documents for private sector port projects, laying down transparent bidding procedure, qualification and selection criteria, bid evaluation procedure, termination payments, dispute resolution process etc. and detailed terms and conditions of the License Agreement, inter-alia, aiming at bankability, uniformity and reduction in time taken to select private parties. The documents have been circulated to all major ports for adoption.