Sagarmala is a good concept: Baalu

The ambitious Sagarmala project, conceived by the erstwhile National Democratic Alliance government, has found favour with the new government at the Centre with Shipping Minister T R Baalu vowed to go ahead with the Rs 100,000 crore project.

"The project has not been shelved. I know that it has not taken off. But we are still pursuing it. It is a good concept," Baalu said at a press meet in Kolkata today.

The minister informed that the shipping ministry would seek Cabinet nod for the project "as soon as possible and definitely by this fiscal".

Given the magnitude of the project and the huge fund required for it, the minister favoured execution in different stages. "I am interested to take the project. It can happen in phased manner," he said.

Baalu clarified the private sector would play an important role in executing Sagarmala which was announced by former Prime Minister Atal Bihari Vajpayee on the last Independence Day.

"The entire amount need not come from the government. But we want the public sector companies to benefit from it. They should play important role in executing it," he noted.

The Sagarmala project will cover total gamut of maritime transport including ports, shipping, inland waterways and coastal movement to fully realise the potential of sea-borne trade and inland water transport systems.

As part of the project, existing ports will be upgraded to meet the emerging demands of maritime trade. This will include deepening of channels, creation of additional capacity and modernisation of cargo handling equipment.

The minister, however, clarified that port modernisation and development need not depend on Sagarmala only. All the ports were free to take up developmental work on joint venture, if they require it, Baalu pointed out.

Meanwhile, the decks have been cleared for the Rs 3,000 crore dock complex at Saugor Island near Kolkata with the ministry of shipping deciding to get the detailed feasibility report prepared by Japanese agencies. The issue has now been referred to the Department of Economic Affairs for the final approval. Japan International Co-operation Agency was expected to sponsor the study.

Once completed, Saugor will be the third full-fledged dock complex of Kolkata Port Trust (KoPT) after Kolkata and Haldia. The port is hoping to get 85 per cent of the entire project cost as soft loan from the Japanese government.

Baalu said the Saugor dock complex featured in his conversation with West Bengal Chief Minister Buddhadeb Bhattacharya.

It will take at least three years from zero date to build the complex at Saugor, which offered deeper draft than both Kolkata and Haldia, capable of handling of bigger vessels which could not call at the port now.