Govt likely to bring new law to fix minimum distance between ports

NEW DELHI: The government will soon bring a law, which will empower the Centre to fix minimum distance between two ports or to alter the limits of any port in the country, reported The Times of India on Wednesday .

In recent years, competing ports have come up close to each other and it has become a major cause of concern, particularly for the government-owned ports. Ensuring minimum distance will help major ports under government compete with the private ones in the region.

"The New Indian Ports Bill will also specify the minimum quality standards or facilities that every new port has to ensure. The other features will include simplifying the regulatory and administrative mechanism for the ports, fixing of port charges and tariff," said a government official.

The issue was discussed in detail at the 17th Maritime State Development Council meeting on Tuesday, which was chaired by Union shipping minister Mansukh L Madaviya. Officials said the representatives from states agreed to set up a panel which will finalise the draft Bill for government's consideration.

The proposed law will be applicable to all the 13 major ports (owned by Central government) and other non-major ports (under state government or with private players) across the country.

The proposal to set up the panel to look into all aspects is significant considering that some of the maritime states had earlier opposed a similar Bill in 2011 when the Centre had moved a proposal to amend the Indian Port Act, 1908. They had alleged that the Centre was trying to usurp the powers of state governments.

Officials also said that the shipping ministry will introduce the Major Port Authorities Bill during the winter session of parliament, which will give more freedom to the major port chairmen to take decisions considering the prevailing business condition and to improve efficiency.