The Cabinet Committee on Economic Affairs, which is chaired by Prime Minister Narendra Modi, approved a Rs 3004.63 crore project to develop Odisha’s Paradip Port.
Mansukh Laxmanbhai Mandaviya, Union Minister of State for Ports, Shipping and Waterways, stated that the Cabinet has approved for development and optimization of inner harbor facilities, including the construction of western dock on build, manage, and transfer (BOT) basis under PPP mode to handle cape size vessels at Paradip Port.
He further informed that the project’s total approximated cost also includes improving the new western dock on a BOT basis, capital dredging by the selected concessionaire for Rs 2,040 crore and Rs 352.13 crore, each. The Paradip Port’s investment will be to the tune of Rs 612.50 crore towards providing Common Supporting Project Infrastructure.
As per reports, the proposed project visualizes Western Dock Basin structure with equipment to handle cape size vessels by the selected BOT concessionaire with an ultimate capacity of 25 MTPA in two phases of 12.50 MTPA each.
The authorization period shall be 30 years from the date of award of the concession. Paradip Port Trust (Concessioning Authority) shall implement the Common Supporting Project Infrastructure works like breakwater extension and ancillary works to facilitate cape-sized vessels.
The commissioning of the project shall provide the necessity of coal and limestone imports besides the export of granulated slag and finished steel products pending the large number of steel plants discovered in Paradip Port’s hinterland. The project shall also facilitate like – de-congestion of the port, decrease sea freight, make coal imports cheaper, and boost the port’s hinterland’s industrial economy, leading to job opportunities.
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