Cabinet okays setting up of JV firm for Iran port project

The Union cabinet today paved the way for setting up a $85.21-million joint venture firm for equipping two fully-constructed berths in Iran's Chabahar port. It also approved the framework of an inter-government memorandum of understanding for this.

The cabinet gave a nod to constitute a joint venture or other appropriate Special Purpose Vehicle, comprising the Jawaharlal Nehru Port Trust and the Kandla Port Trust, to participate in the development of Chabahar port. If required, a local Iranian partner or an Indian private sector partner will serve as the vehicle for India's participation in the development of the port, an official statement said.

Located on the border of Indian Ocean and the Sea of Oman in southeastern Iran, the Chahbahar Port is India's first foreign port project. While it's located outside the Persian Gulf, its strategic significance is in its proximity to Afghanistan.

According to the framework, approved in the cabinet on Saturday, an Indian joint venture company would lease two fully constructed berths in Chabahar port's Phase-I project for a period of ten years, which could be renewed by "mutual agreement".

Monetisation

The Cabinet Committee On Economic Affairs (CCEA) approved a proposal on policy framework for early monetisation of hydrocarbon discoveries.

Memorials

The cabinet decided that no government bungalow in Delhi will henceforth be converted into any memorial, following a row over RLD chief Ajit Singh's demand for making his official residence a memorial of his father and former Prime Minister Charan Singh.

Ahmedabad Metro

The cabinet approved Rs 10,773 crore for the phase-1 of Ahmedabad metro 1 covering 35.96 km.

The CCEA approved a DoT proposal to provide a one-time financial support to state-run telecom company MTNL for meeting liabilities arising from levy of minimum alternate tax.

The cabinet gave its ex-post facto approval for payment of Productivity Linked Bonus (PLB) equivalent to 78 days' wages for 2013-14 to all eligible non-gazetted railway employees.

The railways has given a bonus to its 12.6 lakh employees without obtaining the mandatory sanction as Railway Minister Sadananda Gowda could not obtain the cabinet clearance earlier.

The CCEA approved the fertiliser ministry's proposal to provide Rs 14,500 crore as subsidy to the cash-starved fertiliser industry through a special banking arrangement route.

Odisha highway

The CCEA approved widening of 133-km national highway in Odisha at an estimated cost of Rs 1,476.56 crore.