Mulapeta Port to be developed at Rs 3,885 cr
Andhra Pradesh Government issued orders standing guarantee for loan to be borrowed by AP Maritime Board from PFC
image for illustrative purpose
Visakhapatnam As part of its decision to give a boost to port-led development, Andhra Pradesh Government issued orders standing guarantee for loan to be borrowed by AP Maritime Board (APMB) for development of Mulapeta Port in Srikakulam district in the North Coastal AP.
Power Finance Corporation Ltd (PFC), a Government of India Undertaking, has agreed, in-principle, to give a loan of Rs 3,885 crore after RITES conducted the detailed feasibility report. The permission for the loan was issued on Tuesday by Special Chief Secretary, Industries and Commerce R Karikal Valaven vide GO Ms Number 9.
The port for which Chief Minister Y S Jagan Mohan Reddy laid the foundation stone in April in Nuapada area of Santhabommali mandal, will have three general cargo berths and a bulk cargo terminal. In the first phase it will have a capacity to handle 23.53 million tonnes. Support infrastructure is envisaged in an area of 500 acres. The port will be needing acquisition of 1,250 acres. The construction is scheduled to be completed in 30 months.
Originally it was named as Bhavanapadu Port for which Adani Ports and Special Economic Zone (APSEZ) had signed an agreement with the erstwhile TDP Government for an investment of Rs 5,000 crore. However, after the elections the Adani Group backed out of the project.
While laying the foundation stone, the Chief Minister said efforts should be made to make the port operational within two years.
The port because of its strategic location is expected to attract EXIM cargo from Chattisgarh, Odisha and Jharkhand besides AP and Telangana. The government is constructing four greenfield ports besides Mulapeta at Ramayapatnam, Machilipatnam and Kakinada Gateway Port with a total investment of Rs 16,000 crore.
A RR package of Rs 109 crore has been finalised for the project affected people of Mulapeta Port by constructing a rehabilitation colony at Nuapada in an area of 55 acres with all basic amenities.
The government expects that once operational, the port will provide direct and indirect jobs to an estimated 35,000 people and change the industrial landscape of Srikakulam district, which has the State’s largest coastline of 193 km out of total coastline of 974 km.
