Techno-economic reasons block KoPT’s new projects

9 April 2012

biswabrata goswami
HALDIA, 9 APRIL: The Kolkata Port Trust (KoPT) has failed to implement any major project planned in the past few years, allegedly for techno-economic reasons.
This has come at a time when the UPA government is all set to chart a road map to ensure the timely implementation of existing projects and enhance investments in the languishing port sector.
In the past few years, the KoPT had envisaged several major projects, including setting up Haldia dock-II at Shalukkhali, a deep-drafted port at Sagar Island and a container terminal at Diamond Harbour. It also wanted the  initiation of trans-loading facilities connecting cargo handling at Konika Sands in Odisha with outer terminal-I at Haldia. But none of these projects have been implemented.
In February 2011, Miss Mamata Banerjee, the then Union railways minister, laid a foundation stone for Haldia dock-II at Shalukkhali at an estimated investment of several thousand crores. It was then said there was a draft of 9 to 9.5 metres at Shalukkhali and the water-level would be consistent throughout the year, which was ideal for setting up a new port with a better draft.  The contract for a feasibility study for the port at Shalukkhali  was given to Rites Ltd. Proposals were also invited to construct the port on a private partnership model. But, in reality the water level at Shalukkhali is much lower than what was announced before the Assembly elections. The maximum draft at Shalukkhali is 8.2 metres, against the initially declared draft of 9 to 9.5 metres. The project, accordingly, may not see the light of the day. According to port officials, at about the same time, Miss Banerjee had laid the foundation stone for a deep-drafted port at Sagar Island at an estimated investment of several thousand crores. Construction of a container terminal at Diamond Harbour was also envisaged. The contract for the feasibility study for the deep-drafted port at Sagar Island and container terminal at Diamond harbour was also given to Rites. But, RITES in its report has clearly indicated that a deep-drafted port at the identified location is not possible for technical and economic reasons. Finally, this project was put on hold by the board members of KoPT.  The KoPT had planned to extend its port limits up to Konika Sands in Odisha, to set up trans-loading facilities, connecting cargo handling at Kanika Sands in Odisha with Outer Terminal-1 at Haldia. But, extension of KoPT limits up to Konika Sands has been scrapped by the Odisha High Court. The KoPT then moved the Supreme Court for stay of the Odisha High Court order and it has decided not to proceed with the mid-stream trans-loading project tendering process, despite receiving a breather from the Supreme Court. Thus, transloading of cargo at Konika Sands is also in doldrums.
All major port development projects envisaged at a total investment of Rs 6,000-Rs 7,000 crore are either not possible because of techno-economic reasons or entangled in legal battles with neighbouring Odisha, according to a senior port official.