New Shipping Secretary visits Chennai Port

Source:http://www.sagarsandesh.com/news/new-shipping-secretary-visits-chennai-port/

Mr Atulya Misra, Chairman, Chennai Port Trust, explaining about the projects in the port to Mr Vishwapati Trivedi, Union Secretary for Shipping during a visit on Aug 4. Also seen Mr M C Jauhari, Joint Secretary (Shipping) (extremeright) and Mr Ashwani Kumar Director (Admn, Parl & MP) in Shipping Ministry (left to Shipping Secretary).

Vishwapati Trivedi on Aug. 4 visited the Chennai Port to get first-hand experience of the Major Port which rules the container segment in the eastern region.
Mr. Atulya Misra, Chairman, Chennai Port Trust, along with all the top officials of the port management including Mr. P. C. Parida, Deputy Chairman, ChPT, gave a warm welcome to the visiting dignitary. The battalion of Central Industrial Security Force (CISF) gave a traditional guard of honour to the Shipping Secretary.
Since it was the first visit to the Chennai Port for Mr. Trivedi after assuming the office of Secretary in the Ministry of Shipping, he planted a sapling inside the port premises to mark the occasion.

Accompanied by Mr. M. C. Jauhari, Joint Secretary (Shipping), and Mr. Ashwani Kumar, Director (Administration, Parl & MP) in the Shipping Ministry, Mr. Trivedi inspected the different facilities inside the port for the EXIM trade. In his first leg, he visited the Zero Gate, the main entrance and exit point for all commercial vehicles and container-laden trailer lorries entering the port premises and enquired about the developmental activities.
At the Zero Gate, Mr. Atulya Misra explained the status of different ongoing developmental works including the modification of the gate for hassle-free movement of vehicles and road improvement near the entrance of the port.

After the gate inspection, Mr. Trivedi visited the Chennai Container Terminal Limited (CCTL) – managed by DP World and met Mr. Ennarasu Karunesan, Director and CEO, DP World Chennai. 
In a presentation, Mr. Ennarasu explained the activities of CCTL and its role in making Chennai Port as one of the best East Coast ports for moving containerized cargo to numerous ports across the globe.
Mr. Trivedi also witnessed the handling of containers from the terminal and was impressed with the performance of the facility. Before completing his port inspection visit, he also visited Chennai International Terminals Private Limited (CITPL), the second container terminal of the Chennai Port managed by PSA Singapore.

With a view to prevailing upon the State Government on the delay in completing two important port connectivity projects, Mr. Trivedi on Aug. 5 met State Chief Secretary Sheela Balakrishnan and discussed with her the Ennore Manali Road Improvement Project (EMRIP) and the Port-Maduravoyal Elevated road projects.
he Rs. 600-crore EMRIP, commissioned in 1997, has been pending for long due to various reasons, including problems relating to land acquisition. After several failed deadlines, the new date of completion is now December 2013. 
“We have requested the State Government to speed up the process,” Mr Trivedi replied when reporters asked about what transpired between the officials during the meeting.
On the Rs. 1,800-crore Chennai Port-Maduravoyal Elevated Express Road project, which has been affected for the past 15 months due to the State Government order that the National Highways Authority of India (NHAI) had deviated from the approved plan, 
Mr. Trivedi expressed hope that things would soon change and the project would move ahead.

‘Flawed recruitment process’: Shipping Ministry targets former IMU V-C

Source:http://www.sagarsandesh.com/news/flawed-recruitment-process/

Prof. Raghuram

The ongoing controversy over recruitment of more than 31 teaching staff and subsequent cancellation in Indian Maritime University (IMU) took a curious turn on Aug. 5, when the Union Secretary for Shipping, Mr. Vishwapati Trivedi, announced that the Ministry is not ruling out strict action on the then Vice-Chancellor of the maritime university, Prof. Raghuram, for his flawed recruitment process.
Speaking to reporters in Chennai just before his planned visit to IMU headquarters located 20 km from City in the wake of raging recruitment controversy, Mr Trivedi said: “I am not ruling out action on the Selection Committee (SC) as well as on former V-C Prof. Raghuram for following a recruitment process that was declared later as a flawed one by vigilance report.”

Ironically, Mr. Trivedi’s strong words for action on former V-C and Selection Committee comes after four months, when the then Shipping Secretary, Mr. P. K. Sinha, had categorically said that there were only procedural errors in the (recruitment) process followed by former V-C Raghuram  and eventually gave a clean chit to the whole process before the media.

Coming down heavily on Prof. Raghuram for “abandoning” the institution midway, Mr. Trivedi said that he visits the IMU headquarters with a hope to bring everything back to perfection so that the varsity becomes a centre of excellence in maritime education in our country. He also assured that he would like to visit again the institution in another 45 days to take stock of the situation.

 Union Secretary for Shipping, Mr. Vishwapati Trivedi

When questioned about the contradictory statements by top Shipping Ministry officials within a span of just four months, he replied: “The vigilance report that termed the whole process a flawed one came much later.”
Without revealing much about the reported flaws in the process, Mr. Trivedi stated: “No proper roster system was followed in the appointment of the staff done by former V-C Raghuram.”

According to Government of India strictures, roster registers are to be maintained both for permanent and temporary appointments, likely to become permanent or to continue indefinitely.
Mr. James Joseph, former Accountant-General of Tamil Nadu, who resigned as IMU Executive Council member recently, was emphatic that the selection of faculty at the university was based on post-based roster system as prescribed by a revised rule of Department of Personnel Training (DoPT) in 1997. The department had revised the rules from a vacancy-based system to a post-based system to help ensure reservation when the sanctioned strength was fulfilled.
However, official documents show that a report submitted by senior IMU Executive Council members had ruled out allegations of violations of the roster system in May 2013.
The Section 3 (a) of the report said: “It is observed that the post-based roster system as prescribed by DoPT in 1997 has been correctly followed.”
When posed a query on what forced former Shipping Secretary to give a clean chit to the recruitments, Mr. Trivedi answered that Mr. Sinha was impressed by the faculty recruited by Prof. Raghuram.
Meanwhile, it has emerged in crystal clear terms that the Shipping Ministry, which runs the affairs of the IMU, has decided go for a fresh recruitment of teaching staff.
When asked about the fate of the students, who are now left in the lurch, the Shipping Secretary stated that temporary staff may be roped in by IMU for the time being until the university gets new faculties, which is now stuck in a legal battle, as a section of the affected staff got stay orders against IMU in Madras High Court.

Maritime Education, Training Summit: Quality (Maritime) education & independent regulatory body need of the hour

Source:http://www.sagarsandesh.com/news/maritime-education-training-summit/

The Maritime Education & Training and Multimodal Logistics Summit 2013 has adopted 16 important resolutions which included formulation of All India Council for Maritime Education (AICME) for studies in nautical and marine engineering subjects in order to effectively control maritime education; inclusion of a collegium of stakeholders in the inspection regime for maritime training institutions; assigning of at least two inspection agencies for unbiased inspection of maritime institutions; composition of a regulatory authority or inspecting agency for maritime training institutions with domain expertise; consideration of port charge waiver for cargo ships equipped with training decks and maintaining a proper and healthy ratio between 
education and training.
These resolutions, proposed and adopted by experts, would be presented in detail to the official concerned in due course.
The main objective of the summit was to showcase the importance of quality education and appropriate training to bring efficiency in shipping, port-related and allied maritime sectors.
Addressing the gathering after inaugurating the summit, an initiative of Kerala Sea & Trade in Kochi on Aug. 1, Mr. K. Babu, Minister of Fisheries, Ports & Excise, Government of Kerala, has said that there is wide scope for maritime sector and hence there would be immense demand for qualified and experienced seafarers within the State as well for our nation.
He added: “Understanding the potential, the Kerala Government is pursuing dialogue with the Centre for setting up a Maritime University in the State.”

Mr. Babu stated: “The Government is working towards an integrated multimodal system linking various modes of transport (road, rail and seaport) for cargo and passenger movement in the State. Measures are also being adopted for revamping port infrastructure facilities by setting up dedicated new cargo terminals. To make cargo movement commercially viable through inland waterways, the Government is planning to shift 20 % of current road cargo movement to waterways by 2020.”

Laying stress on the importance of exploring new avenues, he observed: “The cargo movement through waterways would be cheaper, along with advantages like decreased road congestion and air pollution. In the first phase, a coastal container ship will be operated from Kollam to Kochi and in the second phase, other smaller ports will be included for coastal cargo movement.”
Capt. S. Bhardwaj, Professor Emeritus & former Vice-Chancellor, AMET University, pointed out: “In order to attract young people to a life-long career in maritime sector in general, efforts should be directed towards what shipping delivers and how shipping works.”

Prof. G. Raghuram, Professor, IIM-Ahmedabad, and former Vice-Chancellor, Indian Maritime University, noted: “The current MET system has not fully oriented itself to providing a holistic education, keeping in view the long term career and changing profile of aspirants.”
Efforts are required, firstly, in sourcing and training quality faculty; secondly in a broader and deeper curriculum design and thirdly in selection of aspirants, especially in the criteria of appropriate attitude, he remarked.
Talking on the challenges faced by seafarers and Ship Manager, Capt. Dinesh Gautama, Advisor, Narottam Morarjee Institute of Shipping, said: “The real challenges for seafarers is to adapt to rampant piracy areas at sea and then the stringent statutory requirements that keep arising every day in different parts of the world despite the fact that IMO does its best to act as an umbrella organization for uniformity of global regulations.”
With regard to piracy, which is a major issue today, Mr. Chirag Bahri, Regional Director – South Asia, Maritime Piracy Humanitarian Response Programme, stated: “As per Ocean beyond Piracy’s economic report of 2012, the cost of maritime piracy to the global economy fell by 12.6 % from around $7 billion in 2011 to between $5.7 and $6.1 billion in 2012.”

ASSOCHAM suggests ways to develop minor ports in TN

Source:http://www.sagarsandesh.com/news/assocham-suggests-ways-to-develop-minor-ports-in-tn/

The Tamil Nadu Government should adopt a full-fledged development process for minor ports and connect these ports to industrial corridors of the State, a latest study undertaken by the Associated Chambers of Commerce and Industry of India (ASSOCHAM) has suggested.

According to the report/strategy paper titled “Realising double digit growth in Tamil Nadu,” jointly released by Mr. Ravindra Sannareddy, the Chamber’s Southern Region Council chairperson; Mr. Ravi Wig, Chairman, India-SAARC Business Promotion Council; Mr. D. S. Rawat, National Secretary General, ASSOCHAM; and Mr. N. Raghunathan, Trade Secretary, Builders Association of India; at a Press conference in Chennai on Aug. 1, the (TN) State Maritime Board should form joint ventures with private investors to develop ports and special economic zones (SEZs) in port areas.
Besides, the report suggested that Special Purpose Vehicles (SPVs) also need to be formed to create road and rail connectivity with hinterland.
The report, apart from congratulating the State Government for having a proper framework in place for development of minor ports, stated that the State encourages private investment for the development of captive ports and infrastructure facilities like jetties and promotion of tourist activities like water sports.
The report further revealed that India has attracted over 16,000 investment commitments worth over Rs. 143 lakh crores and Tamil Nadu has acquired a share of over seven per cent in total investment commitments in monetary terms thereby successfully attracting proposed investments worth of over Rs. 10 lakh crores as of June. The total number of investment projects attracted by Tamil Nadu is over 1,500.

DG Shipping tightens noose on unscrupulous Maritime Training Institutes (MTIs)

Source: http://www.sagarsandesh.com/news/dgs-tightens-noose-on-unscrupulous-mtis/

A new system of rating termed as Comprehensive Inspection Programme (CIP) for Maritime Training Institutes (MTIs) was launched by DG Shipping at the Indian Register of Shipping (IRS) Office in Mumbai on July 31.
CIP is the merger of 3 separate audit process on MTIs comprising scheduled inspection by Academic Council, Quality Management System (QMS) audit by a certifying body and rating assessment by credit and debit rating agencies like CRISIL and ICRA.

CIP background
Almost two decades after maritime training in India was opened up for private participation, there are around 130 maritime institutes in the country offering pre-sea and post-sea training in varying streams. Though all of them are functioning under the centralised control and monitoring regime of the DG Shipping, it is a well-known fact that there exists a wide variance in the quality of training imparted in these institutes.

Traditionally, the monitoring mechanisms of the DG largely depended on the physical inspection of the institutes by the inspection teams from the respective Academic Councils (ACs), predominantly comprising the technical officers of the Mercantile Marine Departments (MMDs). However, the growing number of maritime institutes and voluminous increase in the responsibility of the maritime administration for the implementation of new international convention requirements, aggravated by the shortage of technical officers in the MMDs, affected the inspection regime, warranting the Directorate to evolve alternate monitoring mechanisms to ensure the quality and uniformity required in the maritime training sector.
The introduction of the process of quality certification by certifying bodies and grading of institutes by the rating agencies too have not met the desired objective due to lack of domain expertise of agencies in the maritime field. 
Therefore it was intended by the DG Shipping to go in for CIP to integrate all the three existing inspection processes a maritime training institute is currently required to undergo on regular basis.

Inspecting agencies

Any Classification Society (CS) authorized by the Government of India as Recognised Organization (RO) may offer its services for the inspection, gradation and certification of institutes. The inspection team shall essentially consist of qualified auditors with appropriate marine background and not less than 50% of the members shall have suitable seafaring experience. The assessment of the maritime courses leading to the Certificates of Competency (CoC) shall be undertaken by a team headed by an auditor holding the CoC issued or recognised by the GoI as Master (Foreign Going) or Chief Engineer (unlimited power). The institute shall have the option of approaching any of the above mentioned ROs for the inspection/audit and certification.
The audit frequency and the certification validity shall be largely governed by the concept of 5-year cycle employed for the audit survey services. The methodology for grading includes assessment of infrastructure set-up and maintenance, faculty and Human Resource Development, student development programmes (Academics & Personality), recruitment and placement records as well as overall performance and long-term prospects.

Re-assessment

In case the institute is still not satisfied with the grading, the head of the institute may make a formal appeal to the Chairman of the respective Academic Council along with a fee as prescribed by the Directorate from time to time. The Chairman may depute an audit team comprising the members of the Academic Council with equal participation of external and internal members to re-assess the grading assigned by the RO. The decision of the Academic Council on the grading shall be final and binding on the institute as well as on the RO, says a DG note.

New tariff guidelines strike a level playing field between all ports

Source: http://www.sagarsandesh.com/news/new-tariff-guidelines-strike-a-level-playing-field-between-all-ports/

It was widely felt that there was no level playing field between the Major Ports and the non-major ports due to dispensation of tariff only to Major Ports, and the new tariff guidelines set in motion would promote fair terms of business between major and non-major ports, said Union Minister for Shipping G. K. Vasan in Mumbai at the Media briefing on unveiling of new tariff guidelines. The new simplified guidelines are expected to pave way for increased investment flows into the port sector, he added.

Mr. Vasan added: “The new guidelines allow the competitive market forces to play a greater role in tariff determination and impart flexibility. This is a major step forward”. The Shipping Ministry has been contemplating on coming up with new tariff guidelines in response to feedback received from various stakeholders, who felt the existing tariff authority for Major Ports regulations is detrimental to the growth of the sector.
The Minister informed newsmen that an inter-ministerial task force, headed by Member, Planning Commission, B. K. Chaturvedi looked into the issue in a holistic manner and gave its recommendations.
He further stated: “The new guidelines are being issued after extensive consultations with all the stakeholders and I hope that they will encourage more private investment in port projects”.

The Shipping Ministry has set an ambitious target to award 30 port projects during 2013-14, which would add 288 million tons per annum, with an investment of approximately Rs. 25,000 crores. This includes a Rs. 8000-crore big ticket project of the fourth container terminal at the Jawaharlal Nehru Port, JNPT, in Navi Mumbai. 
During 2012-2013 the Ministry awarded 32 projects at an estimated cost of Rs. 6,765 crores, entailing a capacity addition of 136 MTPA.
The new guidelines for determination of tariff for projects and Major Ports would come into force with immediate effect. 
Besides providing for tariffs to be indexed to inflation, they also set out performance standards for port projects to improve accountability and ensure improved quality of service. The TAMP focus will now gradually shift to performance monitoring and redressing grievances.

Projects already awarded will not be covered under the new guidelines:

The highlights of the tariff revision includes barring of projects that are already awarded as tariff guidelines will have prospective effect. The 2005 and 2008 guidelines shall continue to apply to projects bid under them. TAMP will first set the reference tariff for particular commodity at a Major Port and such reference tariff will typically be the highest prevailing rate that was set on the basis of the guidelines framed in 2008 for handling a particular commodity in a port.
If the commodity is not handled at the port, the highest tariff in the nearest Major Port shall be taken as reference tariff. Reference tariff so set shall be applicable for 5 years. It will be indexed to inflation up to 60 of wholesale price index. TAMP will also notify performance standards of facilities and services offered at the port project.

Both the reference tariff and performance standards shall be mentioned in the bid document and the bids will be evaluated on the basis of reference tariff and indexed reference tariff would be ceiling tariff in the first year of operation.
Operator shall be free to propose tariff higher than indexed reference tariff from the second year subject to tariff cap of 15% over and above the indexed reference tariff. Upward revision will be allowed only once in a financial year. 
The proposal for increase in tariff should be sent to TAMP, stating achievements in performance standards in the previous year, to be certified by an independent engineer drawn from an approved panel.
If performance standards as per the concessionaire agreement are not achieved, TAMP shall not consider any hike in traffic. 
Revenue sharing will be as per the concession agreement and Major Port trusts shall draw performance standards for the new berths, comparable to similar PPP berths. TAMP will hold an inquiry and give its findings to the Major Port trust and the port trust will be bound to take action on the findings as per the concession agreement.

Will Shipping Secretary’s visit save IMU’s dubious distinction?

Source: http://www.sagarsandesh.com/news/will-shipping-secretarys-visit-save-imus-dubious-distinction/

With the continuing trend of top-level resignations in the Indian Maritime University (IMU) giving worrisome time for thousands of students studying in the institution, the Ministry of Shipping, which runs the affairs of the country’s only maritime university, has deputed its Secretary to visit the campus, look into the facility and report the ground reality.

While replying to a specific query on the developments in IMU recently, Union Shipping Minister G. K. Vasan said that the Ministry is aware of the developments and announced that Mr. Vishwapati Trivedi, who took over as the new Shipping Secretary succeeding Mr. Pradeep Kumar Sinha, would visit the Chennai-based headquarters of IMU in a fortnight and suggest steps to be taken by the Ministry to revive the institute.

According to sources, Mr. Vishwapati’s trip to IMU headquarters, possibly by Aug. 15, could clear the air on the Shipping Ministry’s intentions to rebuild the sullied reputation of the country’s only maritime university.

It all began in March this year, when the then Vice-Chancellor of the university, Prof. Raghuram, suddenly resigned from the post citing differences of opinion with the Shipping Ministry on recruitment of teaching faculties for the institution.

During his short tenure as V-C, Prof Raghuram prioritized his main task as recruitment of more faculties to the under-staffed maritime institution. However, his vigorous mode of interviewing (given the huge shortage of trained faculties in the facility) and the method of appointments (on permanent basis) of staff for IMU created a flutter in the Shipping Ministry circles, as the recruitment were deemed by the top officials in the Shipping Ministry as inconsistent with the financial status of the institute.

As the difference with the Ministry started to grow every passing day, Prof. Raghuram put in his paper to record his discontent in the process.

Within a few days, Commander M. Anand (retd), who had joined IMU as Registrar (after 26 years of Commissioned Service in the Education Branch of Indian Navy), resigned after Prof. Raghuram’s exit.

When the controversy over irregularities in faculty recruitment and other issues at IMU were raging, in April last, the then Shipping Secretary, Mr. Pradeep Kumar Sinha, visited IMU headquarters and clarified to the Media that all the faculty recruitment done during Prof. Raghuram’s tenure were as per norms.

Mr. Sinha also went on to say that the faculties’ jobs are safe in the university.

Meanwhile, the issue was lingering on for some time and during last week, two members of the IMU Executive Council, had resigned suddenly citing difference of opinions with the Ministry over the recruitment of faculties.

It remains to be seen that whether the Shipping Secretary’s visit to IMU headquarters would bring the much needed relief to those existing faculties (recruited by Prof. Raghuram) who are in a confused state due to discrepancies in the prevailing IMU statute.