Public-Private Partnership (PPP) projects in the port sector are of great significance in making Indian ports more competitive and strengthening the country’s position in international trade, minister of state for ports, shipping and waterways Shripad Yesso Naik said on Tuesday.
The minister said that roping in private players has helped in improving the efficiency of the port sector and increase earnings.
Naik was addressing the Maritime Public-Private Partnership Enclave 2022 here, organised jointly by the Jawaharlal Nehru Port Authority (JNPA) and Mumbai Port Authority (MbPA) on 25 years of PPP investments in major ports.
“PPP mode has become the perfect mode of infrastructure development. While we celebrate these fruitful 25 years, we need to further strengthen the existing and future PPPs by providing a supportive environment,” he said.
When the port privatisation programme was flagged off in 1997, the minister said, the port sector witnessed new investments including those from overseas.
“PPP projects in the ports sector are of great significance in making Indian ports more competitive and thereby strengthening India’s position in international trade,” he said.
To drive the economic transformation through the modernisation of port infrastructure requires expansion and upgradation of berths, construction of new berths and terminals, automation of port operations, among others, the minister said.
“As we embark on a new era of economic resurgence, bolstered by port-led development, we look forward to streamlining initiatives to promote private participation,” Naik said.
He said the government is working on providing a conducive ecosystem by implementing policies to enhance the legal and political environment, improving the efficiency of the public sector, preparing a robust institutional framework, expediting the clearance processes and providing funding assistance.
Private players with their capabilities and experience are augmenting the management of infrastructure resources and assuring quality service by inducting the latest technology and improved management practices, he said, adding that the investment driven through the PPP model will offer greater training and employment opportunities for workers, create job opportunities and enhance Indian companies’ share in the global market.
“To further benefit private players, the government grants concessions to promote transshipment and coastal shipping and allow the concessionaires at major ports to set tariffs as per market dynamics providing a level-playing field,” he said.
JNPA chairman Sanjay Sethi, in his address, said that PPPs bring in the benefits of private sector expertise and cost-effective technologies with efficiencies in operation.