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India Strives to Improve Efficiency of Ports

Maritime Activity Reports, Inc.

December 25, 2016

 While increasing the capacity of major ports, Ministry of Shipping has been striving to improve the operational efficiencies through mechanization and other measures. As a result key efficiency parameters have improved considerably. 

 
The Average Turnaround Time has registered a significant improvement in 2015-16 and was 3.63 days as against 4.00 days in the corresponding preceding year. This has further improved to 3.49 days in the current year (up to October, 2016). 
 
The Average Output Per Ship Berthday has increased from 12458 Tonnes in 2014-15 to 13151 Tonnes in 2015-16.  This has further increased to 13949 Tonnes during the current year (up to October, 2016). 
 
A study to benchmark the performance of Major Ports to comparable international ports was taken up with a view to improve the operational efficiency and profitability. Out of the 116 initiatives recommended by the consultants 60 have already been implemented and the remaining will be implemented by 2019. 
 
The implementation of these recommendations is expected to lead to further improvement in the operational efficiency and productivity of the Major Ports in the coming years.
 
The tariff guidelines were revised to provide flexibility to port operators to align the tariff closer to market tariff subject to achievement of certain performance standards. 100% FDI is being allowed in PPP Projects in the Port Sector. 
 
The Model Concession Agreement is being amended so as to take care of the contingencies affecting the execution of PPP Projects. A new Major Ports Authority Act to replace existing Major Ports Act, 1963 to provide greater autonomy and modernization of institutional structure is under consideration. A new berthing policy and stevedoring policy has been formulated.
 
With a view to enable Major Ports to handle larger vessels the Ministry has prepared an action plan for increasing the draft in Major Ports. The outer harbour in Visakhapatnam Port has very deep draft of more than 18 mtrs.   It is proposed to create a draft of more than 18 mtrs, in Mormugao Port, Kamarajar Port (Ennore). 
 
As part of promoting Ease of Doing Business to promote and facilitate business at ports, a number of activities which include elimination of manual forms, direct port delivery, installation of container scanners at ports, RFID based automation system etc have been undertaken.
 
Further as part of the Swachh Bharat Abhiyan, Green agenda, new schemes have been formulated for providing financial assistance to Major Ports for green initiatives and also for building their capacity for combating oil pollution.  
 
Major Ports are taking up renewable energy projects to generate more than 150 MW (solar & wind energy) in the next five years.   Focus is being given on setting up of Special Economic Zones (SEZs) and Coastal Economic Zones around major ports.
 
The Ministry of Shipping is keen to promote the use of renewable sources of energy and is in the process of installing solar and wind based power systems at all the Major Ports across the country.
 

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