IPPTA urges shipping minister for provisions extension
The apex body urged Ports, Shipping & Waterways Minister Sarbananda Sonowal for extension of provisions in the New Model Concession Agreement
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New Delhi: Indian Private Ports & Terminals Association (IPPTA), the apex body that represents the interests of the private ports and terminals in India has urged Minister of Ports, Shipping and Waterways Sarbananda Sonowal for extension of provisions for existing concessionaires in the New Model Concession Agreement.
IPPTA strives to ensure that private ports and terminals play a major role in developing the country's maritime sector to global standards. There are 37 PPP Projects under execution in India with an investment of about Rs 29,000 crore.
Through a letter to the Minister, IPPTA has highlighted that the existing PPP Operators are facing a lot of difficulties as the Concession Agreements are quite inflexible and cannot be altered over the concession period of 30 years.
This has led to creation of many stressed projects, and some more are on the verge of distress, unless urgent remedial steps are not taken. The problem areas in the Concession Agreements have been brought to the notice of the Government from time to time.
IPPTA in the letter further stated that the Government has taken the initiative to formulate a new Model Concession Agreement (MCA) keeping in view the problems being faced by the existing Concessionaires.
