The Cabinet today approved policy guidelines for land management by major ports, a move that would help them monetise excess holdings.
"These guidelines aim at optimum utilisation and optimum realisation of the value of land reserves by linking it with prevailing market rates available with major ports of the country," Finance Minister P Chidambaram told reporters here.
The policy seeks to minimise discretionary powers of port authorities in the process of allotment, by putting in place a mechanism of leasing or licensing of port land through a transparent tender-cum-auction methodology.
Land policy is one of the most significant frameworks guiding the overall functioning and development of the port sector, he said.
The main objective of the policy is to ensure that land resources are put to their optimum use as per the approved land use plan.
This will also bring in more accountability and transparency into the process of land leasing and licensing. Additionally, the element of discretion and arbitrariness at port level would be minimised.
The policy will be made applicable to all the major port trusts and Ennore Port Limited, except for land relating to the township areas of Kandla, Mumbai and Kolkata ports.
