Mega Chennai container terminal gets go-ahead

The Cabinet Committee on Infrastructure has approved the proposal for construction of a mega container terminal at Chennai Port involving an investment of US$828.97 million, reported The Hindu.

The new terminal will change the face of the port. The earlier proposal of “dirty’’ cargo (coal and minerals) being shifted to the Ennore port will be taken up again.

With the proposal to begin construction of the elevated highway in process now – connecting the port, touching all national highways and terminating on the outskirts of the city – cargo vehicles will have unhindered access to the port round-the-clock. Both the elevated highway and the new container port would be completed around the same time.

According to Union Minister of Shipping, G.K. Vasan, the project would be developed under the Public Private Partnership mode and implemented on the Design, Build, Finance, Operate and Transfer basis.

The investment by the concessionaire would be $702.8 million and Chennai Port would invest $126.17 million. The terminal would have the capacity to handle four million TEUs per annum.

There has been sharp growth in container volume at Chennai Port in recent years. At present, there are two container terminals with a capacity of two million TEUs.

The mega terminal will be able to handle ultra large container vessels and deep draft vessels. It will enable Chennai Port to compete with international ports and reduce the need for transhipment from Singapore and Colombo. It will boost import and export from the region.

The first phase of the project will be completed by 2013 and the project will be completed by 2017.
(Source:www.cargonewsasia.com)