Don’t miss the latest developments in business and finance.

MbPT, JNPT join hands for Rs 800cr project

Image
P R Sanjai Mumbai
Last Updated : Feb 25 2013 | 11:50 PM IST
Mumbai Port Trust (MbPT) will join hands with Jawaharlal Nehru Port Trust (JNPT) for deepening and widening Mumbai Harbour channel and JNPT channel. The Rs 800 crore project aims to accommodate bigger vessels at both the ports.
 
"The channel dredging cost will be shared in the proportion of handling container traffic at both the ports. MbPT will give Rs 100 crore to JNPT for the project in the ratio of 1: 8," said Rani Jadhav, chairperson, MbPT.
 
JNPT Chairman Ravi B Budhiraja confirmed MbPT's contribution to the much- awaited channel dredging project. The channel dredging would enable JNPT to accommodate container vessel of 6,000 twenty foot equivalent units (TEUs) capacity and 14 metre draught by making use of tidal window.
 
The vessels calling at MbPT and JNPT use Mumbai Harbour channel for their access to the berths. At present, large size vessel of 12.5 metre navigate through Mumbai Harbour channel, making use of tidal window.
 
According to industry analysts, availability of sufficient draught in the port is very necessary for optimum utilisation of capacity and faster turnaround of larger vessels.
 
"With increasing trend towards larger size container vessels, draught will become an important factor in the choice of port by the shipping lines which are thinking of deploying larger size vessels to achieve economies of scale," they pointed out.
 
They, however, felt that the total cost of the dredging project would touch Rs 900 crore from the current estimate of Rs 800 crore owing to escalation.
 
Commenting on the escalated cost estimates, Jadhav said the port would look into the revised estimates of the project and would contribute one-eighth of the project cost.
 
"We are awaiting a detailed proposal from JNPT. We are firm on sharing the cost with JNPT," Jadhav added.
 
Meanwhile, JNPT has invited the applications from all national and international dredging companies to participate in the pre-qualification process of dredging project.
 
Earlier, JNPT had appointed New Delhi-based consultants Scott Wilson Kirkpatric India as engineers in the project.
 
JNPT, country's one of major port handling over 56 per cent of container traffic, was formed to ease the congestion at MbPT.

 

Also Read

First Published: Feb 01 2006 | 12:00 AM IST

Next Story