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Centre seeks 74% stake in Tajpur SPV from Bengal govt

Press Trust of India  |  Kolkata 

The Centre has intimated to the that it wants to pick up 74 per cent stake in the proposed Special Purpose Vehicle (SPV) that will develop the Tajpur deep sea port in the state.

"Centre is in a view that state should adopt landlord port model to develop Tajpur port and clearly pointed they wish to take 74 per cent, the same equity structure used for Sagar deep sea port," Port chairman M T Krishna Babu said in an informal discussion.

But, state had indicated to offer 26 per cent.

Centre had threatened to scrap the Sagar Port project citing viability issue if Tajpur comes without partnering KoPT (Centre) and withdraw the sanctioned Rs 515 crore toward land reclamation.

The matter may come up for discussion during a proposed meeting tomorrow between the chief secretary Basudeb Banerjee and KoPT chairman.

Earlier, Bengal was trying to offer Tajpur port at outright development contract basis to a private developer.

But, Krishna Babu said landlord port model is more remunerative in the long term beside having a control. In the landlord model government builds the critical infrastructure like breakwater, carries out dredging and allows private operators to run the terminals of the port.

Tajpur is better both in technical and accessible infrastructure terms compared to the Sagar port.

Tajpur offers 15-metre draft allowing ships with 60,000 tonnes to dock while Sagar port can offer a 12-metre draft permitting only 45,000 tonnes of cargo.

So far, there are no reports of favourable strong interest from private operators to the state government's proposal, Port officials said.

(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)

First Published: Wed, March 15 2017. 19:44 IST