These sops include land at free of cost for the construction of jetty, development of passenger amenities alongside jetty, sales tax exemption for 15 years on capital goods required for the construction of passenger amenities and the craft and the concession period for the BOOT projects will be for a period of 30 years with a provision of its extension.

Mantralaya sources told The Financial Express that the Maharashtra Maritime Board (MMB), the nodal agency for the development of ports and jetties, has so far received five bids for the development of water transport in MMR on BOOT basis. Maharashtra Maritime Board has set three criteria for this purpose - these services should be all weather, speed of crafts should be 30 knots and seating capacity should be of 200.

In order to facilitate promotion of watertransport, state revenue department will allot the necessary government land for jetties and alongside facilities to MMB on long term lease on a nominal rent of Re 1. MMB will re-allot such land to entrepreneur as and when required on certain terms and conditions. However, the land required for the construction of the jetty will be provided free of cost.

Sources said the entrepreneur will have the option to mortgage such land to raise required funds for the development of infrastructural facilities and this permission will be granted by MMB.

Entrepreneur will be entitled to use this land for passenger amenities like waiting sheds, book stalls, restaurants, STD/ISD booth, traffic control room, security purpose, fire fighting purpose, fuel depot and parking place. The developer will have to obtain necessary permission from environment department.

The land transfer to the MMB for developing all passenger amenities would include certain commercial usage and a special policy in this regard will be preparedin consultation with the state urban development department. "Any area developed in addition to the permissible limit, should be charged separately and 50 per cent of this unearned income should be deposited with the MMB as government contribution," sources added.

The sites finalised for the use of water transport facility will be reserved for this purpose and it will be included in the master plan of the state urban development department. The backup infrastructure required for this purpose will be provided by the concerned municipal corporations, city and Industrial Development Corporation and Mumbai Metropolitan Region Development Authority. The back-up infrastructure includes approach roads, water, power, drainage and parking arrangements at the site.