Date:23/11/2005 URL: http://www.thehindubusinessline.com/2005/11/23/stories/2005112301600700.htm

Back Paradip port may invite fresh bids for constructing 3 berths

Our Bureau

Kolkata , Nov. 22

PARADIP Port Trust (PPT) is mulling inviting fresh bids for constructing three berths - two clean cargo berths and one deep draft berth.

The earlier tenders, floated nearly a year ago, might be cancelled. Alternatively, the port might opt for modifications of the earlier tenders, it is learnt.

In fact, the port authorities had shortlisted two bidders, Adani Port and Sical, from among those who had earlier bid for the clean cargo berths. For the deep draft, there were several bidders, including BHP Billiton, Nobel, L&T, Essar and Gammon.

The reason being given for the re-tendering of the clean cargo berths is the need for shifting the location of the berths. The location earlier identified for the construction of the berths, it is now felt, will be unsuitable in view of the massive expansion of the port in future.

The re-tendering (or modification of the earlier tender) of the deep draft berth has become necessary because the port authorities now feel that any deep draft berth, which will handle Panamax or super Panamax vessels, should not be reserved for handling only one type of cargo, namely iron ore (and that too for exports).

Instead, there should be provisions in the berth also for handling coal, which is a major revenue-earning item for the port. The port handles large quantities of coal, both for coastal shipment and by way of imports. In such a situation, it is felt that investing a huge sum of money with an eye on the export of one item (which is subject to uncertain international conditions) might not be the wisest thing to do.

Channel deepening: Meanwhile, PPT authorities are awaiting the formal Government order approving the scheme for deepening the channel of the port. As soon as the order is received, the port authorities will have to invite bids for the appointment of the consultant.

"If everything goes as per schedule, it should be possible to select the contractor by the end of this fiscal," observe port sources.

However, the immediate beneficiaries of the deepening of the channel will be three existing berths of the port - two coal berths and the oil jetty.

The average draft, to be available to these berths, is expected to rise to 15 metres from the present 12.5 metres as a sequel to the deepening of the channel.