Chennai's mega box terminal sets berth tariff based on rival's

THE Tariff Authority for Major Ports (TAMP) in India has cleared an upfront tariff of INR2.25 (US$0.05) per gross registered tonnage for an hour as the berth hire charge for the proposed four million TEU Mega Container Terminal at Chennai Port.

The tariff is higher than the present charge of INR2.03 at DP World Chennai, however, it was based on the various activities carried out by terminal operator, DP World Chennai.

In the Jawaharlal Nehru Port Trust upfront tariff was set using a standard terminal configuration for a 1,000 metre quay length. Consultants of Chennai Port Trust have suggested both options - a standard configuration of 1,000 metres and the project specific parameters, reports The Hindu newspaper.

It said the port chose the second option to base the tariff proposal, adding that the upfront tariff is to be port-specific and not project-specific and is to be valid for a period of five years, according to TAMP guidelines.

At present the two private container terminals in Chennai are operated by DP World and Port of Singapore Authority, with a combined annual box handling capacity of 2.2 million TEU. It is forecast that container throughput demand will surpass the existing capacity by 2016-17.

The proposed Mega Container Terminal at Chennai, which is still in the request for qualification (RFQ) stage, is designed to handle vessels with a capacity of up to 18,000 TEU with a depth alongside of 22 metres, a two-kilometre long basin, and 90 hectares of reclaimed land behind the berth area. The MCT has been envisaged to meet demand for the next 30 years.

The Chennai Port Trust chairman Captain Subhash Kumar said: "On completion of the mega container terminal, Chennai will be one of the few ports in the region that can handle container ships of that size."
(source:www.schednet.com)