Great Nicobar: Rs 410 Bn port project being finalised
PORTS & SHIPPING

Great Nicobar: Rs 410 Bn port project being finalised

A senior official has indicated that the government is in the process of finalising the detailed project report (DPR) for the Rs 410 billion international transhipment port project at Great Nicobar Island in the Bay of Bengal, and the implementation of the project is expected to commence in the next few months. The Great Nicobar Transhipment Port project has faced scrutiny over environmental concerns. However, the project has received the necessary environmental clearances and approval from the National Green Tribunal (NGT), removing any obstacles to its implementation.

Ports, Shipping, and Waterways Secretary T.K. Ramachandran confirmed that the DPR has been finalised and that the project will proceed with its further implementation in the coming months. Last year, the Ministry of Ports, Shipping, and Waterways had stated that the project is anticipated to be completed with an investment of Rs 410 billion, incorporating both government funding and contributions from public-private partnership (PPP) concessionaires.

The ministry added that 11 players have expressed interest in the international transhipment port project at Great Nicobar Island. Among the companies that have submitted expressions of interest are Larsen & Toubro Ltd, Afcons Infrastructure Ltd, and JSW Infrastructure Ltd. The proposed port in the Andaman and Nicobar Islands is designed to handle up to 16 million containers annually, with the first phase, scheduled for commissioning by 2028 at a cost of Rs 180 billion, set to manage more than 4 million containers. Additional developments planned around the transhipment port include an airport, a township, and a power plant.

Situated on an international trade route and close to existing transhipment terminals like Singapore, Klang, and Colombo, the project is focused on three key drivers that could position it as a leading container transhipment port. These drivers include its strategic location (40 nautical miles from the international shipping trade route), the natural water depth of over 20 metres, and the capacity to handle transhipment cargo from nearby ports, including those in India. The facility is planned to be developed in four phases.

The estimated cost for Phase 1 of the project is around Rs 180 billion and will cover the construction of breakwaters, dredging, reclamation, berths, storage areas, buildings, utilities, equipment procurement, and the development of the port colony, with core infrastructure being developed with government support.

The project will encourage public-private partnerships (PPP) under a landlord model. The PPP concessionaire will have the flexibility to develop storage areas, container handling equipment, and other infrastructure based on market and business assessments, subject to guaranteed traffic minimums. The concessionaire will be awarded a long-term PPP concession of 30 to 50 years, depending on requirements, and will be responsible for port services, including the rights to levy, collect, and retain charges from port users. Currently, about 75% of India's transhipped cargo is handled at ports outside India, with Colombo, Singapore, and Klang managing over 85% of this cargo, and more than half of it at Colombo port.

A senior official has indicated that the government is in the process of finalising the detailed project report (DPR) for the Rs 410 billion international transhipment port project at Great Nicobar Island in the Bay of Bengal, and the implementation of the project is expected to commence in the next few months. The Great Nicobar Transhipment Port project has faced scrutiny over environmental concerns. However, the project has received the necessary environmental clearances and approval from the National Green Tribunal (NGT), removing any obstacles to its implementation. Ports, Shipping, and Waterways Secretary T.K. Ramachandran confirmed that the DPR has been finalised and that the project will proceed with its further implementation in the coming months. Last year, the Ministry of Ports, Shipping, and Waterways had stated that the project is anticipated to be completed with an investment of Rs 410 billion, incorporating both government funding and contributions from public-private partnership (PPP) concessionaires. The ministry added that 11 players have expressed interest in the international transhipment port project at Great Nicobar Island. Among the companies that have submitted expressions of interest are Larsen & Toubro Ltd, Afcons Infrastructure Ltd, and JSW Infrastructure Ltd. The proposed port in the Andaman and Nicobar Islands is designed to handle up to 16 million containers annually, with the first phase, scheduled for commissioning by 2028 at a cost of Rs 180 billion, set to manage more than 4 million containers. Additional developments planned around the transhipment port include an airport, a township, and a power plant. Situated on an international trade route and close to existing transhipment terminals like Singapore, Klang, and Colombo, the project is focused on three key drivers that could position it as a leading container transhipment port. These drivers include its strategic location (40 nautical miles from the international shipping trade route), the natural water depth of over 20 metres, and the capacity to handle transhipment cargo from nearby ports, including those in India. The facility is planned to be developed in four phases. The estimated cost for Phase 1 of the project is around Rs 180 billion and will cover the construction of breakwaters, dredging, reclamation, berths, storage areas, buildings, utilities, equipment procurement, and the development of the port colony, with core infrastructure being developed with government support. The project will encourage public-private partnerships (PPP) under a landlord model. The PPP concessionaire will have the flexibility to develop storage areas, container handling equipment, and other infrastructure based on market and business assessments, subject to guaranteed traffic minimums. The concessionaire will be awarded a long-term PPP concession of 30 to 50 years, depending on requirements, and will be responsible for port services, including the rights to levy, collect, and retain charges from port users. Currently, about 75% of India's transhipped cargo is handled at ports outside India, with Colombo, Singapore, and Klang managing over 85% of this cargo, and more than half of it at Colombo port.

Next Story
Infrastructure Energy

South West Pinnacle Wins Rs 30 Cr Oman Mining Contract

South West Pinnacle Exploration Ltd has secured a Rs 30 crore contract from Minerals Development Oman (MDO) for mining exploration in concession areas 12B and 13.The two-year project will be carried out via Alara Resources LLC, a JV in Oman. MDO, backed by Oman’s investment authorities, focuses on monetising mineral wealth.The contract covers copper, gold, and chromite and highlights South West Pinnacle’s growing footprint in international exploration and mining services. ..

Next Story
Equipment

Godrej GEG Boosts Intralogistics with AI and Green Tech

Godrej Enterprises Group (GEG) is revolutionising warehouse and factory logistics through its Material Handling Equipment and Storage Solutions arms by integrating AI, IoT, and automation.With 20–25% market share and 85% local sourcing, GEG champions Atmanirbhar Bharat and sustainability. The Chennai plant, a green manufacturing leader, uses RoHS-compliant materials and has slashed energy consumption by 60%.GEG serves e-commerce, FMCG, retail, and cold chains with high-performance racking and electric forklifts. Upcoming IoT-enabled forklifts and telematics solutions aim to improve speed, sa..

Next Story
Infrastructure Urban

Amit Shah Inaugurates Key Projects Across Gujarat

Union Home Minister Amit Shah inaugurated and laid the foundation stone for various projects in Gujarat’s Panchmahal district and Ahmedabad.In Godhra, he inaugurated the Center of Excellence building, sports complex, reservoir, and Miyawaki plantation. In Ahmedabad, he unveiled a new cooperative complex in Adaroda village and a primary school in Juwal.These projects, under the Model Co-op Village scheme, aim to boost education, sustainability, and rural development across the state. ..

Advertisement

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement

Advertisement

Talk to us?