DP World, Lanco & L&T vie for Chennai Port terminal project

Nine international and domestic players are in the race to build the proposed Rs 3,686-crore mega container terminal for the Chennai Port Trust.

The firms include, DP World- a leader in international marine terminal operations and development, logistics and related services; IL&FS Maritime Infrastructure Company ; Lanco Infratech; Mundra Port & SEZ, Navayuga Engineering Company; Vadinar Oil Terminal; L&T Transport Private Development Project ; FGI International Sdn Bhd and a consortium led by infrastructure major GVK.

?The port has completed the initial request for qualification (RFQ) process and once it obtains the necessary security clearance from the ministries concerned, it would proceed with the RFP (request for proposal). Within a month, the works would be awarded,? Subhash Kumar, chairman, Chennai Port Trust, told FE.

He said the mega container terminal would be the single largest terminal ever built not only in India but in the neighbouring region. It would be developed on a private-public-partnership model with a capacity to handle 5 million TEUs (twenty equivalent units). The terminal would be constructed north of existing Bharathi Dock with continuous quay length of 2 km with 22 m alongside depth.

Initially, the terminal would be designed with 18 m depth and then would be scaled up further to meet the growing requirement.

?The terminal would be the deepest inner harbour box terminal and no container ship requires this depth. But say 10-20 years down the line, if ever they build a ship anywhere in the world bigger the largest ship of the present days, then, the Chennai Port would be the one of the ports which would be able to handle the ship,? he said.

The project is expected to be commissioned by 2013 and would be fully operational by 2017.

With the commissioning of this project, the overall capacity of Chennai Port would move up to 8 million TEUs, the biggest-ever for containers. ?We have been waiting for the security clearance from the ministry for the past 4-5 months. We hope to get the clearance anytime soon and latest by August, the project would be awarded to the BOT operator,? he said.

?The project development cost proposed on a BOT basis with cost of dredging, floating crafts and navigational aids, working out to Rs 561 crore, would be borne by Chennai Port. The BOT operator will invest on berth and breakwater construction, reclamation of backup area, handling equipment and other landside infrastructure which works out to Rs 3,125 crore,? he concluded.