Syama Prasad Mookerjee Port: Adani Ports will win O&M deal
PORTS & SHIPPING

Syama Prasad Mookerjee Port: Adani Ports will win O&M deal

The largest private port operator in India, Adani Ports and Special Economic Zone Ltd. (APSEZ), is about to be awarded a five-year operation and maintenance (O&M) contract to handle containers from five berths at Syama Prasad Mookerjee Port Authority (formerly Kolkata Port Trust)'s Netaji Subhas Dock.

One of the 12 ports owned by the Union government, the eastern coast port is home to APSEZ, the only bidder to submit a price bid for the contract. The bidder offered approximately Rs 2,100 per twenty-foot equivalent unit (TEU), well within the ceiling rate set by the port authority to emerge as the successful bidder, according to multiple sources. The agreement would also help the port operator increase its presence in the port. A ceiling tariff was established by the Syama Prasad Mookerjee Port Authority.

The five-year contract will be awarded to the private company that provided the lowest quote for handling a loaded container under the Rs 2,127 ceiling fee, per the bidding rules. The port authorities will pay the private operator this sum in accordance with the terms of the O&M contract. The private operator will have to pay about Rs 5.69 billion (GST excluded) to build the necessary equipment, which includes 35 tractor trailers (TT), 3 Rubber Tyred Gantry Cranes (RTG), 12 Reach Stackers (RST), 4 Mobile Harbour Cranes (MHCs) that must be available around-the-clock, and two more MHCs that must be kept in reserve.

For the purpose of processing containers from geared boats, the port authorities will supply one non-MHC berth in addition to four berths for MHC operations. Additionally, the private operator might also have to operate geared vessels in MHC berths.

After the existing ten-year contract held by Bharat Kolkata Container Terminals Pvt Ltd, a fully owned subsidiary of Singapore's PSA International Pte Ltd, expires, APSEZ is anticipated to begin operating the five berths in November. The new O&M operator will be granted 1, 2, 3, 4, and 5 berths of NSD for a period of five years, while Bharat Kolkata Container Terminals continues to manage berths 3, 4, 5, 7, and 8. Concurrently, a public-private partnership (PPP) tender has been launched by the Syama Prasad Mookerjee Port Authority to privatise NSD berths 7 and 8, as well as a 25-acre backup area, for a period of 30 years. The PPP model is expected to handle around 5 lakh TEUs. APSEZ's second terminal at Syama Prasad Mookerjee Port will be the subject of the O&M deal. In 2023, APSEZ secured a 30-year contract to mechanise berth No. 2 at Haldia Dock with an investment of Rs 2.98 billion to handle 3.744 million tonnes (mt) of dry bulk cargo.

The 14th RAHSTA Expo, part of the India Construction Festival, will be held on October 9 and 10, 2024, at the Jio Convention Centre in Mumbai. For more details, visit: https://rahstaexpo.com

The largest private port operator in India, Adani Ports and Special Economic Zone Ltd. (APSEZ), is about to be awarded a five-year operation and maintenance (O&M) contract to handle containers from five berths at Syama Prasad Mookerjee Port Authority (formerly Kolkata Port Trust)'s Netaji Subhas Dock. One of the 12 ports owned by the Union government, the eastern coast port is home to APSEZ, the only bidder to submit a price bid for the contract. The bidder offered approximately Rs 2,100 per twenty-foot equivalent unit (TEU), well within the ceiling rate set by the port authority to emerge as the successful bidder, according to multiple sources. The agreement would also help the port operator increase its presence in the port. A ceiling tariff was established by the Syama Prasad Mookerjee Port Authority. The five-year contract will be awarded to the private company that provided the lowest quote for handling a loaded container under the Rs 2,127 ceiling fee, per the bidding rules. The port authorities will pay the private operator this sum in accordance with the terms of the O&M contract. The private operator will have to pay about Rs 5.69 billion (GST excluded) to build the necessary equipment, which includes 35 tractor trailers (TT), 3 Rubber Tyred Gantry Cranes (RTG), 12 Reach Stackers (RST), 4 Mobile Harbour Cranes (MHCs) that must be available around-the-clock, and two more MHCs that must be kept in reserve. For the purpose of processing containers from geared boats, the port authorities will supply one non-MHC berth in addition to four berths for MHC operations. Additionally, the private operator might also have to operate geared vessels in MHC berths. After the existing ten-year contract held by Bharat Kolkata Container Terminals Pvt Ltd, a fully owned subsidiary of Singapore's PSA International Pte Ltd, expires, APSEZ is anticipated to begin operating the five berths in November. The new O&M operator will be granted 1, 2, 3, 4, and 5 berths of NSD for a period of five years, while Bharat Kolkata Container Terminals continues to manage berths 3, 4, 5, 7, and 8. Concurrently, a public-private partnership (PPP) tender has been launched by the Syama Prasad Mookerjee Port Authority to privatise NSD berths 7 and 8, as well as a 25-acre backup area, for a period of 30 years. The PPP model is expected to handle around 5 lakh TEUs. APSEZ's second terminal at Syama Prasad Mookerjee Port will be the subject of the O&M deal. In 2023, APSEZ secured a 30-year contract to mechanise berth No. 2 at Haldia Dock with an investment of Rs 2.98 billion to handle 3.744 million tonnes (mt) of dry bulk cargo.

Next Story
Infrastructure Transport

Government Plans NHAI Bond Buyback

The government is reportedly planning a large-scale bond buyback program worth ?50,000 to ?70,000 crore to help reduce the debt burden of the National Highways Authority of India (NHAI). Over the past few years, NHAI has accumulated a significant amount of debt as it undertook numerous large-scale highway construction projects across the country. This bond buyback plan is intended to improve the organization’s financial health and provide relief from high-interest expenses. The bond buyback would involve repurchasing bonds from investors, allowing NHAI to reduce its outstanding liabilities. ..

Next Story
Infrastructure Transport

Bullet Train Project Receives Critical Supplies

More than 35,000 MT of rails, track construction machinery, and other essential supplies have been delivered for India's ambitious bullet train project, according to the National High-Speed Rail Corporation Limited (NHSRCL). This delivery marks a significant step forward for the Mumbai-Ahmedabad bullet train corridor, a high-priority project designed to introduce India’s first-ever high-speed rail network. The large-scale shipment includes rails from Japan and machinery that will support track laying and construction for the high-speed rail corridor. NHSRCL revealed that these supplies are c..

Next Story
Infrastructure Transport

SC clears Gaggal airport expansion project.

The Supreme Court's decision comes as a significant relief to the state government, which had been pushing for the expansion to enhance connectivity and tourism in the Kangra Valley. The project had been stalled following the Himachal Pradesh High Court’s intervention, primarily due to petitions filed by local farmers and environmental activists. They raised concerns over the acquisition of agricultural land and the potential environmental consequences of the airport’s expansion. The High Court had issued a stay on the project, pending further examination of these issues. However, with the..

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