Phase-II of Gopalpur port expansion by March 2013

Following the recent green signal for the development of the minor, seasonal port at Gopalpur into an all-weather port by the Union ministry of environment & forests (MoEF), the Orissa government has asked the port promoters to commission second phase of the port operations by March 2013.

"The Chief Minister has directed the authorities of Gopalpur Port Ltd (GPL) to commission the second phase of port operations by March 2013. The state government will also expedite the process of handing over of around 1200 acres of land to GPL for undertaking Phase-II work”, said Gagan Dhal, principal secretary (commerce & transport).

The MoEF had given the green nod for the project in March this year. The port project, entailing an investment of Rs 3500 crore, would be developed in phases, and would handle 54 million tonnes of cargo.

The state government had requested the MoEF to clear the project following the recommendation of the Orissa State Coastal Zone Management Authority (OSCZMA) in 2009.

GPL, which was originally a consortium of three companies, had signed MoU (Memorandum of Understanding) with the Orissa government in 2006 to develop the Gopalpur port into an all-weather port. The defunct port had started operations within three months of signing of the pact.

The port expansion, however, hit a roadblock when several environmentalists and wildlife activists opposed the port project, alleging that it would endanger the mass nesting of Olive Ridley turtles at the mouth of Rushikulya river. They had also raised serious concern when oil leaked from a foreign vessel which had anchored near the port two years back.

The port project was also mired in uncertainty for a while when Hong Kong based Noble Group, one of the consortium partners, pulled out of the project. Following the exit of the Noble Group, two companies- Orissa Stevedores Limited (OSL) and Sara International Limited (SIL) would develop the port.

GPL has already claimed to have achieved financial closure of Rs 1400 crore for the first stage of Phase-II of the deep sea port with the signing of loan agreement with a consortium of 11 banks.