New Delhi: The Indian government awarded 10 port projects worth INR93.76bn ($1.47bn) under the public private partnership (PPP) model during fiscal 2014-15, the Rajya Sabha (Upper House of Parliament) has been informed.
The 2014-15 performance paled in comparison with the previous fiscal, when port projects worth INR132.1bn were awarded under the PPP mode, for a capacity enhancement of 137.65m tonnes.
“The 10 projects will, between them, add a capacity of 95.11m tonnes,” said Minister of State for Shipping, Pon Radhakrishnan, adding that the private sector did not have complete flexibility in designing the scheme or programme for any of the PPP projects.
“The broad contours of the port projects are formulated by the major port authorities, and the selected PPP operator has to implement and operate the project within those parameters.”
To facilitate investments in port projects, the government has allowed 100% foreign direct investment under the automatic route for port development projects. Apart from bidding documents such as RFQ, the RFP and Concession Agreement have been standardised and the port sector has been granted infrastructure status.