Business Standard

KoPT to withdraw petition from SC on port limits extension

Transloading with Paradip port consent, says ministry

BS Reporter Kolkata/ Bhubaneswar
The Odisha government and Kolkata Port Port Trust (KoPT) authorities have buried their differences over coastal waters with KoPT agreeing to withdraw its petition filed in the Supreme Court (SC) on extension of port limits.

KoPT has budged from its stand after a seemingly intractable dispute with the state government that began with the issue of its unilateral notification in November 2010 extending port limits up to Kanika Sands, a small island off Odisha cost. This had jeopardised proposals of establishment of few minor ports in north Odisha.

The contentious issue of allowing KoPT to operate a transloading facility at Kanika Sands has also been resolved with the Union shipping ministry recognising the right of Paradip Port Trust (PPT) to control such operations.
 

“KoPT has agreed to withdraw its petition filed in the SC. Once they withdraw the petition, we will follow suit. Transloading operations on Kanika Sands will be under PPT's control. Transloading will be allowed for five months and any player who applies for such operations will have to take permission from the PPT authorities,” said Subrat Tarai, commerce & transport minister.

Chief secretary, B K Patnaik said, “KoPT has agreed to withdraw its petition from the apex court on extension of its port limits. Regarding transloading operations, our objective is to ensure that no port in Odisha loses out due to such operations.” The Union shipping ministry has prepared a draft notification putting Kanika Sands under the jurisdiction of PPT, he added.

“The central government hereby notifies an area comprising the radius of two nautical miles as part of the port of Paradip limit for the purpose of operation of transloading facilities comprising transloader, daughter vessels, tugs and other crafts and equipments as may be required, during the period from May 1 to September 30 every year subject to the transloaded cargo volume not exceeding 2.5 million tonne,” the draft notification stated.

The tussle between the Odisha government and KoPT authorities had reached the SC with Union shipping ministry being a party.

Both KoPT and the ministry got a setback in November 2011 after the Odisha High Court quashed their notifications that sought to extend Kolkata port’s limits arbitrarily. Besides scrapping the notifications, the high court admitted that the unilateral extension of KoPT’s limits would seal the fate of seven upcoming minor ports proposed in north Odisha by blocking their access.

Before this verdict, KoPT had filed a petition in the apex court, demanding withdrawal of cases from the Odisha and Calcutta High Courts. But then, the apex court had rejected KoPT’s petition.

The apex court had urged the three parties — Odisha government, KoPT and Union shipping ministry to work out an amicable solution through mutual discussions.

The revised limits of KoPT extended more than 200 km south of Haldia into the Bay of Bengal covering an area of 28,646 sq km. The revised limits also effectively blocked the access to Dhamra port which is already developed and the access to locations of all future ports north of Dhamra, including Chudamani, Chandipur, Inchudi, Subarnarekha mouth, Bichitrapur and Bahabalpur.

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First Published: Jun 20 2013 | 8:50 PM IST

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