Bids for 50 per cent of port projects await security nod

Having set a target to award 23 major port development projects through the public private partnership (PPP) route in 2011-12,the ministry of shipping has decided to take up the issue of security clearances with the ministries of home affairs,external affairs and defence besides the Cabinet Secretariat and the Intelligence Bureau on an urgent basis.

According to officials,10 major port development projects involving an investment of about Rs 6,000 crore are awaiting security clearance from various agencies of the government. “We have entered the third quarter of this fiscal,but awarded just one project. We have circulated a note calling for a meeting of representatives of all concerned ministries and departments to expedite security clearances for these projects,” a shipping ministry official told The Indian Express. The lone project awarded is the fourth container terminal at Jawaharlal Nehru Port Trust at an estimated investment of Rs 6,700 crore,which has been bagged by ABG Ports. The shipping ministry needs to meet an investment target of Rs 20,000 crore this year as far as award of major port development projects are concerned. “It is imperative the committee of secretaries (CoS) meets soon to resolve all pending issues related to security so that we can go ahead with the bidding process,” the official said.

In projects where the security nod is pending,the ministry of home affairs has not given any comments so far,say officials. While the Cabinet Secretariat has been pro-active in giving its consent,some other ministries too have sought additional information and given comments on certain projects. Two large capital intensive projects awaiting consent are the dry bulk terminal at Kandla and the deepening and widening of the Mumbai Harbour Channel at JNPT. The estimated total project cost for the two projects is Rs 1,060 crore and Rs 1,360 crore,respectively. The shipping ministry had sought security clearance for both the projects in early August this year. Other projects awaiting nod include development of north cargo berths III and IV at Tuticorin Port,a multipurpose cargo berth at Kandla,a single-point mooring terminal at Kandla and conversion of eighth berth as container terminal at Tuticorin.