The Jawaharlal Nehru Port Authority (JNPA) has approved an ambitious Rs 20,647 crore dredging, offshore reclamation, and shore protection project for Vadhvan Port, set to be completed in two phases under a Hybrid Annuity Model (HAM). The first phase will involve reclaiming 800 hectares of land, with 60% of the contract value paid during the construction period, while the second phase will focus on an additional 400 hectares.

This innovative funding model reduces the port authority's immediate borrowing requirements and aims to make Vadhvan Port India’s largest public port, with a capacity of handling 298 million tonnes of cargo annually. The PPP model, a departure from the traditional EPC approach, is designed to attract private sector participation while maintaining cost-efficiency over the long term.