In Port News 12/05/2015
With minor ports coming up in the private sector in a big way, BOT operators investing huge amounts in major ports are batting for a level playing field by either ending the Tariff Authority for Major Ports (TAMP) regime or relaxing tariff regulations.
Major ports are continuing to record downward trajectory, with 57.17 per cent share in the total throughput handled in 2013-14, which came down from 74.92 per cent in 2001-02 due to significant increase in number of minor ports with private investments.
‘Unrealistic projections’
Visakhapatnam Port, one among the top five major ports, is going on a grand scale for corporatisation as per the Centre’s decision to convert all major ports into landlord ports in the next few years.
“The restriction that new guidelines will be applicable for new projects is unfair. We want that they should be made applicable from retrospective effect,” Vizag General Cargo Berth Private Ltd (Vedanta berth) CEO D.K. Manral told The Hindu .
He said ease of doing business is missing due to absence of equal playing field. He said tariffs in most cases were being calculated on unrealistic projections.
While there is a regulator for major ports, for private port operators there is no provision of regulator in tariff fixation, causing heartburn among investors under BOT projects in major ports.
TAMP regime
A prominent BOT operator went on record at the East Coast Maritime Business Summit held here sometime ago saying that the TAMP regime was “old, redundant, and Draconian.”
The Ministry of Shipping, on several occasions, while admitting that they were facing complaints on tariff regime, had promised take timely action.
“So far, nothing concrete has materialised – be it TAMP regime, on demand for relaxation of Cabotage law – allowing foreign flag vessels to carry cargo from one Indian port to another or ending route rationalisation policy – ending circuitous transport of goods on railway lines,” said an official of container liner.
