Land policy approved for major port projects

The Shipping Ministry has approved land policy guidelines for major ports to speed up the port development projects that involve leasing or licensing of land.

The policy is aimed at optimising value of land through a tender-cum-auction mechanism. The 12 major ports have a bank of about 2.65 lakh acres, which is used to promote port-related activities and business, a Shipping Ministry statement said.

“With this policy, port trusts can lease or licence land of up to 30 years at their own level. Moreover, the Shipping Ministry can now approve projects that involve leasing of land beyond 30 years, instead of having to go to the Cabinet,” an official source said.

Housing scam It may be recalled that port development projects involving leasing or licensing of land had become cumbersome since two years when in the backdrop of the Adarsh housing scam, the Government had mandated a Cabinet nod for all projects involving land leasing and licensing.

The approved policy provides for regular revision of rates of port land, in line with market rates. “The rates can be reviewed once every five years. In less than five years, the rates can be revised only if they are over 2 per cent,” the official said.

The port tariff regulator — Tariff Authority of Major Ports — will do a market valuation of land, after following due process of consultation with all stakeholders. This would provide the necessary regulatory oversight while valuing the port land.

The policy provides for meeting the specific requirements of the port sector. The residential area of ports of Mumbai, Kolkata and Kandla will be out of the purview of the land policy.

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