New Delhi: Jawaharlal Nehru Port Authority (JNPA) on Friday said it has signed a concession agreement with a consortium which won the bid for the privatisation of its container terminal.
The consortium of J M Baxi Ports and Logistics and CMA Terminals bagged the contract for the privatisation of the Jawaharlal Nehru Port Container Terminal (JNPCT) at an investment of Rs 872 crore.
"The new name of the container terminal will be Nhava Sheva Freeport Terminal Pvt Ltd," JNPA said in a statement.
The Jawaharlal Nehru Port has five terminals. Of these, JNPCT was the only self-operated terminal. Of the remaining four terminals, two are operated by Dubai government-owned DP World, one by PSA International and another by APM Terminals Management.
For the container terminal tender, the equal joint venture between J M Baxi Ports and Logistics Ltd and CMA Terminals offered a royalty price of Rs 4,520 per TEU (Twenty-foot Equivalent Units) for the concession period.
The concessionaire has to upgrade, operate, maintain and transfer the terminal on PPP basis in two phases.
The first phase of the project will be completed in 18 months, at an investment of Rs 591.99 crore, from the date of award of the concession agreement. The development of the second phase will commence after achieving 1.02 million TEUs or seven years, whichever is earlier, as per JNPA.
The second phase is to be completed within 18 months at an investment of Rs 280.17 crore, it said.
JNPA chairman Sanjay Sethi said the authority will continue to develop and provide new infrastructure.
The container terminal currently handles 9,000 TEUs (Twenty-foot Equivalent Units) capacity vessels, and with the upgradation, it can handle 12200 TEUs capacity vessels.
(With Agency inputs)