The government will abolish the Tariff Authority for Major Ports or TAMP and introduce a new Act that will govern the sector, Union Minister for Road Transport, Highways and Shipping, Nitin Gadkari said on Monday.
“This Act will be simple to understand, transparent and business friendly. Under this itself, we are proposing to abolish TAMP., which will be tabled in the next Parliament session,” Gadkari said.
Gadkari said that the Centre is working on a proposal to form subsidiaries under the 12 major ports in India which will invest in developing inland waterways across the country. According to the plan, the ministry will unveil a policy which will enable all government run ports to form companies under their umbrella with a focus on such development. To begin with, decision has been taken to form two waterways under Goa port, a draft proposal for which has already been prepared.
“Suppose in JNPT, there are 7 to 8 rivers in Maharashtra connecting to say Madhya Pradesh and the rivers coming from there. The JNPT will form a subsidiary company and on their financial credentials we will raise the loans and then inland water traffic will be useful to increase their traffic of the port,” said Gadkari. Elaborating on the plan, Gadkari said that the ministry will need at least Rs 70,000- 80,000 crore for development of 20,000 kilometres of waterways.
“Our budget for the shipping ministry is only Rs 1,800 crore, and as Inland Waterways is a government corporation it does not have the necessary financial credentials to raise that much money,” Gadkari said.
As of now, the ministry is working with international consultants on 48 draft project reports and 18 project economic viability reports for ascertaining the fund requirements of inland waterways and the means to raise it. Gadkari said, a comprehensive policy for all major ports in the works and will be finalised soon. Gadkari also said the government is planning to develop automobile clusters near port areas to reduce the cost of automobile parts and be more competitive globally. “One of the interesting project I am working on is a policy on scrapping of cars. The annual sector turnover is Rs4 lakh crore but in the next nine months we can take it up to Rs 17 lakh crore because from April 1, 2020, we are accepting the emission norms Euro 6,” said Gadkari.