The signing of the concession agreement for the JNPT's fourth terminal is likely to take place within a month or two with the Adani Group having withdrawn recently the petition challenging the denial of security clearance for the terminal, according to informed sources. The price bids for the terminal have been opened, the sources point out.
It might be noted that the award of the contracts for the construction of the new terminal as well as capacity expansion of an existing berth of the port have been delayed due to court cases which are believed to have reached the final stage for settlement. The 4.8 million-TEU capacity fourth terminal is to be implemented in two phases – 2.4 million-TEU capacity in each phase.
Phase I
In the first phase, targeted to be completed in three years, a 1,000-metre berth is to be constructed in addition to undertaking land reclamation, dredging and rail and road connectivity and installation of handling gantries and other equipment, all at an estimated cost of around Rs 3,800 crore.
The second phase, estimated to cost Rs 2,800 crore, is supposed to be completed within eight years from the signing of the concession agreement. Meanwhile, the capacity constraint at the JNPT port has helped other west coast ports, particularly Mundra and Pipavav in Gujarat, to flourish.
According to an analysis by Prabhudas Lilladhar, the research firm, container throughput at Mundra and Pipavav ports grew 24 per cent and 38 per cent CAGR respectively between 2007-2011 against 11 per cent CAGR in all west coast ports taken together during the same period. Since the new capacity creation at the JNPT will take at least another three years or so, the Gujarat ports could hope to have a continued growth for the next few years, it is observed.