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Rediff.com  » Business » Cabinet panel to focus on ports

Cabinet panel to focus on ports

By BS Economy Bureau in New Delhi
February 03, 2005 10:36 IST
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The Cabinet Committee on Infrastructure would look at issues like extension of regulatory functions of the Tariff Authority for Major Ports and what ports would be taken up for development next and granting capital subsidies for some port projects, in its presentation on the ports sector to the prime minister.

"The government could also consider giving capital subsidies like those given in road sector to attract private participation," Anwarul Hoda, Member, Planning Commission said at the sidelines of the Transport Infrastructure and Logistics network seminar.

Private companies bidding for road project get a subsidy up to 40 per cent of the project cost, which could be considered for certain port projects like capital dredging, he said.

Hoda, however, added that various options were being considered and the views of the committee would be firmed up only when it makes the final presentation to the prime minister.

Speaking on the occasion, D T Joseph, Shipping Secretary said that the though TAMP was regulating tariffs at the ports, but there were other areas that need to regulated in ports and shipping sector.

The TAMP's scope, hence needed to be widened, he said.

"We are getting several suggestions from the shipping ministry like ports be allowed to develop rail links themselves or dedicated freight corridors be developed with some ports, which would be looked at," he said.

On the issue of a single transport regulator, he said that the opinion at present was divided over the issue, with some quarters opposing the concept and a final view was yet to be taken on the issue.

Hoda said that there was a need for integrated development of the transport sector as a whole, where development of airports, rail links, roads and ports should be taken up in a coordinated manner.

He added that special economic regions should be developed. These regions should be pockets around ports where world class infrastructure in terms of connectivity is given to facilitate exports, he said.

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BS Economy Bureau in New Delhi
Source: source
 

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