October 07, 2008

Guidelines for PPP projects at major ports

Mr TR Baalu union minister of shipping, road transport & highways said that government has issued guidelines for upfront tariff setting for public private partnership projects at Major Port Trusts 2008.

He said that “Tariff Authority for Major Ports shall fix tariff caps for handling various commodities or providing various services by private operators licensed by Major Ports under the provisions of the Major Port Trusts Act.”

He added that “Once tariff caps are set for handling different commodities or providing various services for a port, they would apply to all terminals that are bid out subsequently in the same port during the next 5 years for handling identical commodity or for providing similar services.”

For fixing up upfront tariff, TAMP shall follow normative cost based approach and tariff caps are indexed to the variation in wholesale price index in the manner provided in the guidelines.