While the total outlay during the Eighth Plan period was Rs 2984 crore, the expenditure was only Rs 1,800 crore. There has been a steady increase in the outlay for the port sector. So far, the government has approved Rs 3,300 crore during the Ninth Plan. Almost an equal amount of Rs 3,076 crore worth projects have been approved in the private sector.

Incidentally, private participation in this sector has begun only from the Ninth Plan onwards which has set a target of $2-billion projects to go on stream.

Around 30 private and captive port projects are in various stages of consideration and execution. Out of this, nine projects have already been approved. These projects will generate an additional 42 mt capacity. Bids have been invited for projects expected to add another 57mt capacity. The total investment in them will be to the tune of Rs 5,350 crore.

Privatisation policy for major ports envisages leasing out existing assets, equipment for port handling, floating crafts from the private sector.However, this will be considered only if the proposal leads to an augmentation of facilities or investment resulting in productivity increase. Private participation has also been invited in construction of additional assets such as container terminals, cargo berths, warehousing facilities, cranage and handling equipment, captive power plants, dry docking and ship repair facilities. The working group for the Ninth Plan has projected the port traffic of 424 mt by 2002. This means that the traffic will nearly double in the five-year period. By 2015, it is expected to rise to 815 mt.

Marmugao port contract goes to ABG

ABG Ltd has signed the contract for 5 mt multi-purpose cargo berth project at Marmugao port in Goa. The total cost of the project is Rs 250 crore.

The signingof the contract has come almost four years after bids for the projects were invited way back in May 1995. The project was finally signed in February. The 1.5 mt project for coal and general cargo berth at Pir Pau, Mumbai is hanging fire. Tata Electric was awarded the Rs 250 crore project around one year back. But the contract for it is yet to signed since the company is demanding some changes in the original project document.