PPP – Key for holistic development of ports [Mar 2012]

Addressing the Invest Port Conclave organised by the Confederation of Indian Industry (CII), GK Vasan, Minister for Shipping, Government of India re-emphasised his ministry’s focus on fostering strong Public Private Partnership (PPP) not only to infuse funds in the sector and expand port capacity but also to improve management practices and seek modern and state-of the-art technologies.
Consequently the Government has taken numerous measures to boost private sector investment besides permitting 100 per cent FDI in the sector through automatic approval route and 100 per cent tax-exemption for a period of 10 years. Further, extensive guidelines have been laid down for private sector participation, including setting up of fair and transparent RFQ, RFP and MCA documents to create level playing field. In the same way, Tariff Authority for Major Ports (TAMP) guidelines have also been modified.
Mr. Vasan also called for the need to have a holistic perspective for port development, with due emphasis placed on berth-side development alongside maritime development, besides also placing due emphasis on roads and rail infrastructure development.
Carrying forward their growth plans, K Mohandas, Secretary, Shipping conveyed that major and non-major ports have accepted PPP as the guiding principle and module for growth, with efficient delivery and customer satisfaction being the ultimate objectives. Consequently, the concept of landlord ports is the founding stone of development.

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