IWAI to lease out waterway assets on long-term basis

Posted by Daily Shipping Times on 09-08-2017        Tweet

NEW DELHI: The GR Jetty and the Kalighat terminal in Kolkata were recently given to Bangladesh’s Summit Alliance after the firm quoted revenue share of 38.3% for these facilities.

IWAI plans to raise Rs. 660 crore in the fiscal year ending March 2018 to part-fund projects along National Waterway 1 between Varanasi and Haldia.

IWAI is expected to spend Rs. 1,700 crores this fiscal to develop facilities such as Multi-Modal Terminals and dredging of waterways to help 1,500-2,000-tonne ships to ply along the route carrying cargo.

The National Waterway 1 is being developed at a cost of Rs. 5,369 crore, with the World Bank funding half of the project cost.

The project includes a dredging component of as much as Rs. 2,000 crore, split into three packages, with the aim of giving a least assured depth (LAD) of three metres. IWAI will also issue a tender shortly to procure 20 vessels with designs given by Germany’s DST to carry cargo such as cars, bulk carriers and liquids. These ships will be leased to private firms on a bare boat charter basis.