Public-private partnership projects have heralded the growth of major ports in the country as it has helped create new infrastructure, improve utilisation of assets, and enabled national ports to compete with international ones, said Union Minister of State for Ports, Shipping and Waterways Shripad Y. Naik.
In his virtual address at the regional PPP conclave at New Mangalore Port on Thursday, Mr. Naik said the PPP model helped to get investment to the tune of ₹5,287 crore for container and LNG terminals at Kochi.
Investment of ₹1,126.69 crore has been made for the development of mechanised coal and container handling terminals at New Mangalore Port. As much as ₹654.97 crore has been invested for development of coal terminal and berth work at Mormugao port.
The PPP model has helped improve capacity and productivity of the major ports which, in turn, impacts the entire supply chain, the Minister said.
Chairman of New Mangalore Port Authority A.V. Ramana said it was in 1997 that the PPP model was introduced in the Indian port sector.
The Jawaharlal Nehru Ports Authority entered into the first agreement with a private player, Nhava Sheva International Container Terminal. This was the first port terminal to be developed on PPP basis.
PPP has become preferred mode of infrastructure development in major ports accounting for nearly 90% of the new investment in berth and terminal infrastructure.
Mr. Ramana called upon participants in the conclave to discuss on the gaps in the PPP operations and the solutions to address them.
Chairman of Cochin Port Authority M. Beena said investment by the private sector has helped double the growth capacity of major ports. From 800 million tonnes in 2013-14, the capacity of major ports has increased to 1,600 million tonnes this year.
“This has been made possible only because we partnered with private sector through various models and channelise private sector investment and involvement,” she said.
Constant engagement of the ports with the private players has helped understand issues of private players. The model concession agreement has been repeatedly modified and changed to take into consideration the requirement of the industry, she said.
NMPA Deputy Chairman K. G. Nath, CPA Deputy Chairman Vikas Narwal and Mormugao Port Deputy Chairman Guruprasad Rai also spoke.
