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Enayam Port

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Tamil Research Institute<br />

RAPID TECHNO-ECONOMIC FEASIBILITY REPORT FOR<br />

DEVELOPMENT OF COLACHEL PORT AT TAMILNADU<br />

FINAL REPORT<br />

<strong>Port</strong><br />

Development<br />

Central &<br />

State<br />

Government<br />

<strong>Port</strong> Authority<br />

Funds for port<br />

development<br />

EPC + Maintenance<br />

contract<br />

• Potential savings due to better leverage spread and 20% of cost<br />

and time overruns (savings worth Rs. 300-1500 Cr.) through<br />

efficiency of private developer<br />

• EPC + maint. contract could be awarded on Annuity payment basis<br />

• Developer could be given first right to port operations<br />

Private Developer<br />

Develop &<br />

Maintain<br />

<strong>Port</strong> (Breakwater,<br />

dredging, yard etc.)<br />

<strong>Port</strong><br />

Operation<br />

<strong>Port</strong> Authority<br />

Revenue<br />

share<br />

Lease port<br />

infrastructure<br />

Master<br />

Concessionaire<br />

Revenue<br />

share<br />

Develop &<br />

Operate<br />

Only for phase 1<br />

terminals with option to<br />

attract other liner<br />

investors later<br />

Terminal Operators<br />

Terminals<br />

Cargo handling<br />

charges<br />

Figure 155: Landlord Model<br />

14.5. FEASIBILITY OF COLACHEL AS A SATELLITE PORT TO VOCPT<br />

Colachel <strong>Port</strong> can either be, developed and implemented by VOCPT as a satellite port, or by a new authority as<br />

an independent port. It is advisable to implement Colachel <strong>Port</strong> project as an independent port under a new<br />

public authority, in order to mitigate risk of conflict of interest and achieve global productivity levels as a<br />

greenfield port. If VOCPT considers it suitable they may invest equity in the new port authority, along with<br />

Ministry and State Government.<br />

200<br />

www.tamilri.com

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