PSA Sical Terminals moves to exit V O C Port facility
PORTS & SHIPPING

PSA Sical Terminals moves to exit V O C Port facility

PSA Sical Terminals Ltd, the entity that runs India’s second oldest private container terminal in a major port, is nearing a bitter end barely four years before the 30-year concession expire in 2028 with the facility majority owned by a Singapore government enterprise filing an application before an arbitration tribunal to hand over the terminal to V O C Port Authority as years of acrimonious multiple litigations reaches a climax. PSA Sical Terminals’ move to quit the contract prematurely, blaming V O C Port Authority for not providing water depth on par with the adjacent Berth No 8 (draft of 14.2 metres) to run the terminal as a commercially viable asset, triggered a protest from the employees of the facility on Thursday who wore black shirts and arm bands seeking protection of their interests before the terminal is returned to the port authority. PSA Sical Terminals has a water depth of 11.7 metres at Berth No 7, which according to the operator is “discriminatory”. Following the application filed by PSA Sical Terminals before the three-member arbitration tribunal headed by Justice Ajit Prakash Shah (Retired), a joint memo has been submitted by PSA Sical Terminals and V O C Port Authority for handing over and taking over of the terminal without prejudice to the rights of both the parties. As the terminal is being under utilised by PSA Sical, the two parties have urged the arbitration tribunal to hire Indian Register of Shipping to undertake condition survey and ASV Associates to carry out valuation of assets. The request was accepted by the arbitration tribunal in a September 9 order. “Further course of action as per the tribunal order has been sought from the senior counsel based on which the port authority will take necessary actions,” according to the document. Susanta Kumar Purohit, Chairman, V O C Port Authority did not respond to multiple calls made to his mobile phone seeking comment. PSA Sical Terminals could not be reached for comments. PSA Sical Terminals invoked arbitration proceedings on November 23, 2023 for quantifying the alleged “damage” arising from lack of water depth at the facility on par with Berth No 8 per the directions of the final award given by an earlier arbitration tribunal on July 7, 2023.

PSA Sical Terminals Ltd, the entity that runs India’s second oldest private container terminal in a major port, is nearing a bitter end barely four years before the 30-year concession expire in 2028 with the facility majority owned by a Singapore government enterprise filing an application before an arbitration tribunal to hand over the terminal to V O C Port Authority as years of acrimonious multiple litigations reaches a climax. PSA Sical Terminals’ move to quit the contract prematurely, blaming V O C Port Authority for not providing water depth on par with the adjacent Berth No 8 (draft of 14.2 metres) to run the terminal as a commercially viable asset, triggered a protest from the employees of the facility on Thursday who wore black shirts and arm bands seeking protection of their interests before the terminal is returned to the port authority. PSA Sical Terminals has a water depth of 11.7 metres at Berth No 7, which according to the operator is “discriminatory”. Following the application filed by PSA Sical Terminals before the three-member arbitration tribunal headed by Justice Ajit Prakash Shah (Retired), a joint memo has been submitted by PSA Sical Terminals and V O C Port Authority for handing over and taking over of the terminal without prejudice to the rights of both the parties. As the terminal is being under utilised by PSA Sical, the two parties have urged the arbitration tribunal to hire Indian Register of Shipping to undertake condition survey and ASV Associates to carry out valuation of assets. The request was accepted by the arbitration tribunal in a September 9 order. “Further course of action as per the tribunal order has been sought from the senior counsel based on which the port authority will take necessary actions,” according to the document. Susanta Kumar Purohit, Chairman, V O C Port Authority did not respond to multiple calls made to his mobile phone seeking comment. PSA Sical Terminals could not be reached for comments. PSA Sical Terminals invoked arbitration proceedings on November 23, 2023 for quantifying the alleged “damage” arising from lack of water depth at the facility on par with Berth No 8 per the directions of the final award given by an earlier arbitration tribunal on July 7, 2023.

Next Story
Infrastructure Urban

What Industry Wants!

The construction industry is gearing up for Budget 2025 with high expectations. As one of India’s key economic drivers, the sector is eagerly anticipating reforms and policies to address pressing challenges such as high input costs, funding gaps, and sustainability demands. Industry leaders across real estate, infrastructure, construction materials, and logistics have shared their wishlists, urging the government to focus on GST rationalization, increased CAPEX, and green initiatives.This year’s budget presents an opportunity for the government to not only tackle existing bottlenecks but a..

Next Story
Infrastructure Urban

Messe Stuttgart, Startup India Tie-Up to Boost Funding

The logistics market in India is poised for significant growth, with a projected revenue of $357.3 billion by 2030. Despite this huge potential, a recent McKinsey & Company report highlights the decline in logistics funding following the pandemic that remains a significant concern. After receiving unprecedented funding of $25.6 billion in 2021, venture capital investment in logistics startups fell sharply to $2.9 billion in 2023—a nearly 90 per cent decrease, marking the lowest since 2015. This pullback from investors is attributed to several factors, including high interest rates, a glo..

Next Story
Infrastructure Transport

JK Tyre Strengthens Road Safety Commitment

Reinforcing its unwavering commitment to road safety, JK Tyre & Industries, a leader in the tyre manufacturing industry, partnered with the Delhi Traffic Police to organise a comprehensive Road Safety Awareness Week. This initiative, held as part of National Road Safety Month (January 1–31, 2025) spearheaded by the Ministry of Road Transport and Highways (MoRTH), aimed to foster responsible driving habits and reduce road accidents. Under the theme ‘Sadak Suraksha Jeevan Raksha,’ the initiative commenced on January 16, 2025, at the Delhi Police Traffic Training Park, BKS. The program feat..

Hi There!

"Now get regular updates from CW Magazine on WhatsApp!

Join the CW WhatsApp channel for the latest news, industry events, expert insights, and project updates from the construction and infrastructure industry.

Click the link below to join"

+91 81086 03000