Orissa to have new port

Bhubaneswar: The Orissa State Government has decided to build deep water all weather port in the private sector at Kirtania near Subarnarekha river mouth in Balasore district. It has entered into an agreement with the Chennai based, Creative Port Development Private Ltd, to develop the port on Build, Own, Operate, Share and Transfer basis.



In the first phase, the port will handle 10-million tonnes per annum 9mtpa) of cargo. It will be expanded after 10th year of its operations in a phased manner to attain its fullest capacity of 50-mtpa. The Phase-I is estimated to cost the developer Rs. 20,000-million and is scheduled for commissioning by 2010.



Creative Port will bring in the funds required for the project. The company will share the revenue with the Government to the tune of 5 percent from the first to fifth year, 8, 10 and 12 percent from the sixth to tenth, 11th to 15th and since then remaining period respectively.



Creative Port Joint Managing Director Mr. Ramani Ramaswamy, and the Principal Secretary in the State Government's Commerce and Transport Department, Mr. Priyabrata Patnaikhas signed the Memorandum of Understanding.



The MoU facilitates extension of additional 20 years after the expiry of the original 30 years concession period.



It may be mentioned that the total cargo throughput of the State is expected to reach 2,000-mtpa by 2015.