Deendayal Port Authority to float tender to build three oil jetties
PORTS & SHIPPING

Deendayal Port Authority to float tender to build three oil jetties

Deendayal Port Authority, the state-owned operator of the port at Kandla in Gujarat, is preparing to issue a tender to construct three new oil jetties under a public-private partnership (PPP) model, with an investment of Rs 6.32 billion, a senior official has indicated. Deputy Chairman Nandeesh Shukla stated that the government had approved the construction of oil jetties 9, 10, and 11 via PPP and that the tender process would begin soon.

The new jetties are to be located in an area designated for future green hydrogen plant development. Shukla expressed hope that companies involved in the green hydrogen projects may be interested in using these jetties for bunkering green fuels, although he clarified that this was speculative and not guaranteed. He pointed out that these companies are investing heavily, so it would be reasonable to expect some interest in the jetties.

In August, the Ministry of Ports, Shipping and Waterways approved Deendayal Port Authority's proposal to develop the jetties at Old Kandla on a build-operate-transfer (BOT) basis, with the project aimed at enhancing India's liquid cargo handling capacity. Currently, the port has seven operational oil jetties, five of which are managed by the port authority, while the remaining two are run by Indian Oil Corporation and IFFCO. The completion of Oil Jetty 8 is anticipated shortly, increasing the port's combined capacity to 16.32 million tonnes (mt) and 23.49 mt by FY35.

To meet growing demand, the authority plans to develop three additional oil/liquid jetties, each capable of handling 3.2 mt of liquid cargo, excluding crude oil. A port official noted that developing oil jetties through private investment is an attractive PPP option, although this approach is uncommon, as ports typically prefer to manage oil jetties independently.

The under-construction Oil Jetty 8, which is being developed at a revised cost of Rs 225.85 crore, is critical for the future construction of jetties 9, 10, and 11. Shukla mentioned that the most challenging tasks, including building the pipeline trestle and other essential infrastructure, were being handled by the port authority, leaving the private investors to focus on the construction of the jetties themselves.

The port authority has already received environmental clearance for the project, and the necessary land is in the port's possession. The dredging and construction of the common trestle from Oil Jetty 8 to the landfall point will be funded by the port authority. Jetties 9 and 10 will not include storage, while Jetty 11 will feature a storage capacity of 1,30,132 kilolitres.

"Join industry leaders at RAHSTA Expo, India's premier platform for roads, highways and traffic infrastructure. Register now to explore innovations, network with experts and shape the future of mobility."

Deendayal Port Authority, the state-owned operator of the port at Kandla in Gujarat, is preparing to issue a tender to construct three new oil jetties under a public-private partnership (PPP) model, with an investment of Rs 6.32 billion, a senior official has indicated. Deputy Chairman Nandeesh Shukla stated that the government had approved the construction of oil jetties 9, 10, and 11 via PPP and that the tender process would begin soon. The new jetties are to be located in an area designated for future green hydrogen plant development. Shukla expressed hope that companies involved in the green hydrogen projects may be interested in using these jetties for bunkering green fuels, although he clarified that this was speculative and not guaranteed. He pointed out that these companies are investing heavily, so it would be reasonable to expect some interest in the jetties. In August, the Ministry of Ports, Shipping and Waterways approved Deendayal Port Authority's proposal to develop the jetties at Old Kandla on a build-operate-transfer (BOT) basis, with the project aimed at enhancing India's liquid cargo handling capacity. Currently, the port has seven operational oil jetties, five of which are managed by the port authority, while the remaining two are run by Indian Oil Corporation and IFFCO. The completion of Oil Jetty 8 is anticipated shortly, increasing the port's combined capacity to 16.32 million tonnes (mt) and 23.49 mt by FY35. To meet growing demand, the authority plans to develop three additional oil/liquid jetties, each capable of handling 3.2 mt of liquid cargo, excluding crude oil. A port official noted that developing oil jetties through private investment is an attractive PPP option, although this approach is uncommon, as ports typically prefer to manage oil jetties independently. The under-construction Oil Jetty 8, which is being developed at a revised cost of Rs 225.85 crore, is critical for the future construction of jetties 9, 10, and 11. Shukla mentioned that the most challenging tasks, including building the pipeline trestle and other essential infrastructure, were being handled by the port authority, leaving the private investors to focus on the construction of the jetties themselves. The port authority has already received environmental clearance for the project, and the necessary land is in the port's possession. The dredging and construction of the common trestle from Oil Jetty 8 to the landfall point will be funded by the port authority. Jetties 9 and 10 will not include storage, while Jetty 11 will feature a storage capacity of 1,30,132 kilolitres.

Next Story
Real Estate

Pecan Realty Completes Rs 1.5 Billion Transactions

Pecan Realty has recently completed four institutional transactions worth over Rs 1.5 billion over the past two years, strengthening its position as an execution-led real estate platform. The deals include resolution-led acquisitions, structured finance transactions and capital partnerships across its development portfolio.The transactions covered acquisitions through the National Company Law Tribunal process and helped provide repayment or exits to both private and public sector lenders. The company said the deals demonstrate its ability to resolve complex project situations, work with instit..

Next Story
Real Estate

SNN Estates Expands North Bengaluru Housing Project

SNN Estates has announced an expansion of its SNN Estates Felicity residential project in North Bengaluru following strong buyer demand, with 75 per cent of the first-phase inventory sold within three days of launch.The developer will add 76 apartments in the new phase, taking the project's estimated revenue potential to around Rs 1,000 crore upon completion of Phase 2.Spread across 6.5 acres in Rachenahalli, near Manyata Tech Park, the project comprises 604 apartments in 1.5, 2, 2.5, 3 and 4 BHK configurations. The development includes a 50,000-sq-ft clubhouse with amenities such as sports co..

Next Story
Infrastructure Urban

SCG Drives ASEAN Industrial Transformation Strategy

SCG is strengthening its focus on ASEAN as a key growth region by advancing industrial transformation, enhancing competitiveness and building resilient regional value chains. Thammasak Sethaudom, President and Chief Executive Officer, SCG, highlighted the need for industries to continuously develop capabilities, strengthen resilience and deepen regional cooperation to achieve sustainable long-term growth.SCG views ASEAN as an important growth engine alongside China, supported by favourable demographics, trade connectivity and investment flows. With ASEAN’s GDP projected to grow by around 4.7..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement