Business Standard

IWAI, Indian Oil ink pact on fuel needs of national waterways


Press Trust of India New Delhi
To address issues regarding fuel requirement of National Waterways, Inland Waterways Authority of India (IWAI) and Indian Oil Corporation Ltd (IOCL) have inked a pact, the government said Tuesday.
The Memorandum of Understanding (MoU) will provide for an understanding over general modalities of mutual cooperation leading to addressing futuristic demand of any form of energy for Inland Waterways and associated services.
"IWAI and IOCL signed an MoU today for jointly developing infrastructure for fuels, lubricating oil, LPG, Natural Gas and any other related fuel and gas for meeting the requirement of National Waterways," the Ministry of Shipping said in a statement.
The MoU covers development of infrastructure for receipt, storage, dispensing and supply of fuels, lubricating oils, Liquefied Petroleum Gas (LPG) (for domestic & commercial use), Natural Gas (NG) and any other related fuel and gas.
In addition, the MoU will also cover infrastructure development for setting up Consumer Pump (for supplying fuels to vehicles, locomotives, machinery and equipment etc) and Retail Outlets (for fuel & gas) at Terminals/ Multimodal terminals, the statement said adding, this will further lead to development of business activities along the National Waterways.
"IWAI and IOCL have agreed to conduct techno-economic feasibility studies for preparation of detailed land requirement, storage facilities and other supporting infrastructure with details of the cost," the statement said.
These studies will be based on the traffic potential, proximity to the local industries and waterways and its connectivity to rail heads.
IWAI will extend all necessary assistance in sharing information, providing necessary inputs and available data / information relating to National Waterways and its terminals with IOCL for implementing projects, it said.
IWAI will also provide land to IOCL on long term lease basis for developing facilities at existing terminals within the approved guidelines of land lease policy of the government, it added.
As per National Waterways Act 2016, 106 new National waterways have been declared in addition to existing 5 National Waterways.
The development of new National Waterways is being taken up in a phased manner based on the feasibility reports and detailed project reports.
Also, the capacity augmentation of NW-1 has been taken up under Jal Marg Vikas Project (JMVP) with the technical and financial assistance of the World Bank.
Under the JMVP, multimodal terminals are being developed at Haldia, Sahibganj, Varanasi and Intermodal terminals are being developed at Ghazipur and Kalughat. Also, Least Assured Depth (LAD) will be provided between Haldia and Varanasi for safe navigation of vessels.

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First Published: Feb 26 2019 | 8:00 PM IST

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