The Prime Minister's Office (PMO) has stepped in to fast track the development and use of inland water transport (IWT) which opens the water route for movement of bulk cargo such as coal, foodgrains, fertilizers and opens new port entry points into Bangladesh with major involvement of private sector.
In a recent meeting convened by the Principal Secretary to the Prime Minister, Pulok Chatterjee, it was decided to give a major impetus to develop the National Waterways IV from Kakinada-Puducherry stretch of canals with Godavari and Krishna rivers and National Waterways V from East Coast Canal with Erahmani river and Mahanadi delta. The PMO stressed on the need to involve the private sector actively as had been done in the case of the coal movement project of NTPC Farakka power plant by the Inland Waterways Authority of India (IWAI).
The PMO directed the Food Corporation of India to expeditiously provide long-term cargo commitment for transportation of foodgrains to Tripura and Assam from Kolkata and within Assam. Similarly, the Ministry of External Affairs was asked to work for renewal of the Trade and Transit Protocol for five years to provide certainty to vessel operators. The present trade and transit protocol expires this month. Efforts would also be made for early completion of Ashuganj multi-modal port by Bangladesh and its regular use as a transit point. The Petroleum and Natural Gas Ministry was asked to ask ONGC for a firm commitment of cargo through IWT from Kolkata to Dibrugarh in two weeks. The Department of Fertilizers was directed to include IWT mode for providing transport subsidy on the same lines as that provided for rail and road movement and the fertilizer companies were asked to consider providing long-term cargo commitment for transportation. The Department of Industrial Policy and Promotion (DIPP) was asked to take necessary steps to include IWT under transport subsidy scheme. Mr. Chatterjee said the Planning Commission would be requested to constitute a committee under the chairmanship of member concerned to ascertain the requirements of budgetary support to develop National Waterways.