Mormugao Port bets big on future projects

Source: http://www.portwings.in/articlesinterviews/mormugao-port-bets-big-on-future-projects/

Port Wings News Network:

With a view to promote cruise shipping in Goa, Mormugao Port had already constructed berth for cruise ships and a dedicated cruise terminal building will be constructed shortly, Mr Cyril George, Chairman, Mormugao Port Trust, has said.

In an exclusive interview to Port Wings, MPT Chairman said, “A dedicated cruise terminal building will be constructed shortly at a cost of Rs. 8.79 crores for which grants have been obtained from Ministry of Tourism, Govt. of India.”

“Architect for designing the building already appointed and the facility is expected to complete by March 2016,” he added in the interview.

Excerpts…

Q. Tell us about the Mormugao Port Trust (MPT) expansion plans and whether the Centre has provided guidelines or consultation on its implementation?

Mr Cyril George: We have lined up several important projects in the next five years, which include multipurpose cargo handling, mechanized coal handling, offshore liquid bulk handling, and construction of Vasco Bay. All the projects would be taken up under public private partnership (PPP) mode.

MPT has proposed to develop a multipurpose cargo berth (5.74 MTPA Capacity) on design, built, finance, operate, transfer (DBFOT) basis. The project cost is around Rs 950 crore and is expected to get the approval from the central government by February 2015. This development involves construction of two general cargo berths for increasing throughput of the port.

Another important project is conversion of mechanical ore handling plant from handling general cargo (9.50 MTPA Capacity) on PPP base. The total cost of project is around Rs 520 crore and expected to get Union Government approval by March 2016. The project involves conversion of the existing iron ore berth and ore handling plant for general cargo.

MPT has also proposed to develop an offshore liquid bulk handling project (2.00 MTPA Capacity) between Mooring Dolphin 1 and 2. The total cost of project is Rs 100 crore and is expected to receive the government nod by March 2016. Under this project, existing POL Handling Berth No 8 will have to be shifted offshore between Mooring Dolphin 1 & 2. This is about 800m away and liquid cargo will be handled by laying submarine pipelines.

The fourth project is to develop the general cargo berth (2.00 MTPA Capacity) in lieu of the ship repair yard in the harbour area. The project cost is Rs 210 crore and is expected to get the government permission by May 2018. Presently this area has been leased to WISL for ship repair facility on lease agreement. This lease period expires in March 2018.

We have also proposed to develop the Vasco Bay (4.00 MTPA Capacity) at the cost of Rs 250 crore. Union government is likely to give permission by December 2018. Presently, water area is occupied by Fishing Jetty.  The rehabilitation/ shifting of fishing jetty issue shall have to be resolved by Govt. of Goa in order to conceive the project.

Other Port Development Projects like creation of matching facilities to cater the proposed dry port (0.36 MTPA Capacity- i.e. 30,000 TEUs) at Belgaum, Karnataka, is also on the cards. The work, estimated to be Rs 15 crores, to be taken up after obtaining grants from Ministry of Commerce under ASIDE Scheme.

As regards to implementation of above projects, they have to be implemented on approval from Ministry and awarded through PPP mode. Detailed Project Report shall have to be prepared and project shall have to be technically feasible and financially viable. Ministry has issued guidelines on implementation of PPP projects and Model Documents are also available.

Q. What are the plans for dredging of the Port and the estimated cost for it? How would it help the port development?

CG: Besides these development projects, we will also take up dredging of the existing outer channel that is to be deepened from -14.3 mtrs to -19.8 mtrs and the inner turning circle from -14.1 mtrs to -19.5 mtrs. The cost of the project is Rs 300 crore and approval for this project is expected by May 2015. On execution of above projects, throughput of the port will increase.

Q. Road Transport, Highways and Shipping Minister, Mr Nitin Gadkari has recently stated that he has asked MPT to come up with a report on the feasibility of starting satellite ports in Maharashtra and Karnataka.  Whether the study has been completed? If so, kindly share the details with us.

CG: Mormugao Port has requested the Chief Secretary, Government of Karnataka, to look into the feasibility of jointly developing a Port in Karnataka at locations such as in Tadri, Belekeri or any other suitable location.

Q: Tell us about new Road/Rail Connectivity Projects?

CG: For seamless connectivity, we have proposed construction of 4-Lane Road at an estimated cost of Rs 546 crores. This project is taken up jointly by NHAI, Mormugao Port Trust and Government of Goa. Tripartite Agreement was signed in Nov 02, 2014. Project will be executed by PWD, Government of Goa. Construction would commence by April 2015.

Q. Goa is a tourism destination.  Are there any plans to promote cruise shipping by the MPT including plans for separate terminals for such vessels?

CG: Mormugao Port had already constructed berth for cruise ships and a dedicated cruise terminal building will be constructed shortly at a cost of Rs. 8.79 crores for which grants have been obtained from Ministry of Tourism, Govt. of India.  Architect for designing a building already appointed.  Building is expected to complete by March 2016.

Q. Tell us the details of the land with the MPT including the details for its use as per the recent land use plan directions from the Ministry of Shipping?

CG: Mormugao port is having land area of 546.acres. The land use plan is not yet finalized since some clarifications are to be received from Ministry as regards to Land Policy for Major Port, 2014.

Q. Brief us the details of the capacity expansion projects for the Port including the present capacity and the cargo traffic?

CG: I have already detailed about expansion projects for the port. The present capacity of the Port is 43.76 MMTPA. Traffic handled for 2013-14 is 11.74 MT and 2014-15 (till Nov. 2014) 9.04 MT. For the current year, traffic is projected at 15.50 million tons.

Q. How is the port helpful in boosting Goa’s economy?

CG: Ports contribute to the State’s Economic Growth since the direct beneficiaries are the Industries. Considerable gains in terms of employment generation also happens due to port related activities. Cruise Tourism which is promoted by the Port in a big way hugely benefits the Tourism industries with considerable multiplier effects.