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Govt set a target of ₹6,700 Cr from monetisation in Port and Shipping sector for FY24
NEW DELHI: The Central Government has set a target of ₹6,700 crore from asset monetisation in the port and shipping sector for FY24. Key projects on the block include ₹2,000croreberthattheDeendayalPort (Kandla,Gujarat), ₹980crorecontainer terminal at Haldia Dock Complex of Shyama Prasad Mookerjee Port (Kolkata,WestBengal),anda ₹360crore drydockinVadinar(Gujarat).
“Next financial year’s monetisation plan would include around 20 assets,” a senior government official said. He said the list could also include some spill overprojectsfromFY23.
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The Government has managed to raise around ₹5000 crore so far from assetmonetisationinthecurrentfiscal.
India has prepared a national monetisationpipelinewithassetsworth ₹6 lakh crore to be monetised between FY22andFy25.
As per the National Monetisation Pipeline(NMP),thereare31projectsin nine major ports that would be offered forprivatesectorparticipation.
“Operationsofberthsandterminals will be extended to the private sector so that ports have an assured revenue stream while minimising the burden of managing day-to-day functions,” the officialsaid.
Land Policy Revamp
The government is also looking to ironoutissuesinthelandleasingpolicy ofportstobetterutilisevacantlandwith Indianports.
The present land policy of the ports (formulated in 2014-15 and updated in 2019-20) is perceived as being complicated and a hindrance to monetisation. The Government is overhauling the policy to bring about transparency and ease for investors.
“The land with ports should not be viewed as a source of income, but as an avenue for improving operations while maximising revenue,” the official said, adding that the new policy would ease the transfer of such assets and minimise discretionary elements in the processincludingpricing.
The focus is to aid ports to use land to supplement their role as goods transit hubs. “This will include developing cargo holding facilities to better port operations with public privatepartnership,”theofficialsaid.
