MoPSW Nod for New Oil Jetty at Kandla

Pic: The Design Location Plan Oil Jetties

Padmesh Prabhune

Union Minister for Ports, Shipping & Waterways and AYUSH Shri Sarbananda Sonowal has approved the project of Development of Oil Jetty No.09 at Deendayal Port, Kandla to handle all types of Liquid Cargo on BOT basis under PPP mode.

The estimated Project Cost of developing this Oil Jetty is Rs.123.40 Crore, where the project is to be implemented through PPP mode and the Concessionaire shall arrange the financing for the Project.

While the construction period is estimated to be of 24 months the Concession Period will be for 30 years. The project will follow a revenue Share Model of Royalty per Ton.

Expressing his happiness Shri Sonowal said, “Our Hon’ble Prime Minister Shri. Narendra Modiji once said that Kandla Port has the potential to give a new direction to the nation’s economy. Accordingly this project will be another milestone in this journey as this Jetty will further enhance the Port Capacity along with boosting the overall Economic Growth for its entire hinterland”.

Considering the vast hinterland that is dependent on Deendayal Port for seaborne trade and currently prevailing traffic congestion at existing liquid handling facilities of Deendayal Port, capacity additions are of utmost importance for serving the economy of the region and in turn shall contribute to development of the economy of the whole country in the best possible manner.

In FY 2023, Deendayal Port, Kandla handled 137.56 MT of cargo marking a growth of 8.23 percent over the 127.10 MT in the previous year, 70% of the cargo handled at Kandla is evacuated by road, while 10% percent by rail and 20% through pipeline. By 2030, the port is expected to report an annual growth rate of 10 percent, doubling its cargo at 267 MT.

Marex Media