2nd December, 2002
Ministry of Shipping  


PRIVATE SECTOR PARTICIPATION IN PORT SECTOR


Rajya Sabha

The Government has identified the following areas for private sector participation in Port Sector:-

Leasing out existing assets of the Port

Construction/creation of additional assets, such as:

Construction and operation of container terminals.

Construction and operation of bulk, Multipurpose and specialized

Cargo berths.

Warehousing, Container Freight Stations, storage facilities and

Tank farms.

Cranage/Handling Equipment.

Setting up of captive power plants.’

Dry docking and ship repair facilities.

Leasing of equipment of port handling and leasing of floating crafts

From the private sector.

Pilotage

Captive facilities for Port based industries.

The above areas are indicative in nature and individual ports can expand the scope of activities after prior consultation with central government.

The Government have issued clear cut guidelines for the major ports in this regard. These guidelines aim at providing bankable documents, uniformity as well as reducing time in finalising bids for private sector port projects by specifying clear-cut bidding procedures, qualification criteria, content and evaluation criteria for technical proposals, selection criteria, financial bid format, revenue sharing, procedure for redeployment of surplus labour, compensation in the event of default, termination procedure, disputes resolution etc. The guidelines also enjoin that private investment does not result in private monopolies and contain safeguards for protection of national security interests.

This was stated by Shri Su. Thirunavukkarasar in a written reply to a question by Dr. A.K. Patel in Rajya Sabha today.