Friday, 23 November 2012

Global recession has telling effect on deep draught coal berth

Global recession has cast its shadow over Paradip Port Trust’s Rs. 479-crore worth deep draught all-weather coal berth. The ambitious project, expected to enhance cargo-handling capacity of Odisha’s lone major port, has failed to take off notwithstanding the Ministry of Environment and forest (MOEF)’s go-ahead signal.

On July last, the Ministry of Environment and forest (MOEF) had accorded forest clearance to the seaport’s ambitious project that is coming up under build, operate and transfer (BOT) basis. The PPT was in receipt of environment and Coastal Regulation Zone clearance accorded to it on Jan. 4, 2011. With the accordance of forest clearance, work for the all-weather coal berth was expected to resume shortly. However, there has been little activity with regard to the resumption of project work.

If port officials are to be believed, the economic slowdown has led to further delay for the project work. There has been slump in cargo handling in the major port. The port is witnessing downslide in traffic revenue. Thus, time is not opportune for the launch of the ambitious project. Port authorities patiently wait for the situation to improve for the commissioning of the deep draught all-weather coal berth, said an official of PPT.

“The all-weather deep coal berth project had been awarded to Essar Paradip terminal on build, operate and transfer (BOT) basis, on a 30-year concession. PPT had signed the concession agreement with Essar in November 2009. As the MOEF had issued forest clearance, the project work is expected to commence in the near future. It is scheduled to get completed by June 2014”, Executive Engineer (Design) R. D. Mahapatra said.

As desired by the MOEF, land for compensatory afforestation programme has been identified. Side by side with the deep draught coal berth project, the afforestation scheme is also being launched, said PPT officials.

“Several port infrastructure development projects are lined up for getting a kick-start. The deepening of existing entrance and approach channel to handle large panamax size vessels, development of deep draught Iron Ore berth of 10 MTPA capacity and development of multi-purpose berth to handle clean cargo including containers are some of the pending ambitious projects of the port. Apart from the harbour development projects, others have also got stuck as final clearance from MOEF is awaited. Besides, PPT has 10% equity share in the Paradip-Haridaspur rail link project. The PPT has also generously funded Paradip-Cuttack State Highway-17 widening project. The work for both the rail line and State Highway is in full swing at present”, Mr. Ananth Kumar Bose, Chairman, pointed out.

As per agreement, PPT would provide all supporting facilities like dredging of channel and berth, railway connectivity and back-up area. The completion of the coal berth project would lead to the mechanization of coal imports. The mechanized berth would be of 370 metres length which would provide advanced port facilities. The concessionaire would hand over a revenue share of 31 per cent to the port during the concession period of 30 years, Mr. Mahapatra added.




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