Presentation by : Kakinada Seaports Ltd, Andhra Pradesh, India

Presentation by :
Kakinada Seaports Ltd, Andhra Pradesh, India
India's coast line – Over 7000 kms
Foreign trade 95% (volume) and 70% (value) by sea route in
India
Major Ports
•
•
13
570 Million Tons in 2010 -11
Govt of India Control
Non-Major Ports
186
• 300 Million Tons in 2010 -11
• 66 Operational – States Control
2010
Million Tons
2020
Million Tons
 Focus on development of Greenfield Ports and conversion of Non-Major Ports into all weather deep
draught Ports.
Projected growth in cargo volumes (in Million
Tons)
Ports
2010-11
2016-17
2019-20
Major Ports
570
1031
1215
Major Ports
300
988
1280
Total
870
2019
2495
Non –
Share of Major and Non-Major Ports
Ports
2010-11
2016-17
2019-20
Major Ports
65%
51%
49%
35%
49%
51%
Non – Major
Ports
Year 2020
Projected Volume
2.5
Billion Tons
Others
17%
Investment
$ 55.5
Capacity
expansion
like Berths
and Jetties
65%
Channel
Deepening
Equipment
5%
Billion
7%
Connectivit
Major Ports
Non -Major Ports
$ 21.5 Billion
$ 34 Billion
33% INTERNAL
3% INTERNAL
67% PPP
97% PPP
y
5%
PPP
• PPP means an
agreement between
Government and Private
sector for provision of
Public assets / related
services through
investment by Private
sector.
Infrastructu
re
• Ports, Roads, Water,
Sanitation Works,
Transportation Systems
involving large
investments.
Advantage
s
Complexiti
es
• Access to Substantial
financial resources of the
private sector.
• Public sector to benefit
through the technical
Expertise / Experience /
Efficiency of private
sector.
• Complex procurement
process / High
transaction cost
(Tendering and
Negotiation).
• Contract Uncertainties.
• Difficulties for
demonstrating value for
money in advance.
PRIVATISATION INTRODUCED IN 1991
Key Development areas :
Berths.
Container terminals.
Storage and Stacking yards.
Inner and Outer Harbours.
Methodology :
Build Operate Transfer.
Build Operate Maintain Share and Transfer.
Status of PPP Projects in Major Ports as on 2011 :
Projects
Completed till
March, 2011
Projects
Underway
Projects in
Planning / Bidding
Stage
29
Total investment
(USD – 1.8 Billion )
20
Total investment
(USD – 2.0 Billion )
20
Total investment
(USD – 2.8 Billion )
Eg :- Container,
Coal and Iron
Ore terminals etc
Eg :- Offshore
Container
terminal and
Deep draught
berths etc
Eg :- Container,
Coal and Other
bulk cargo
terminals etc
PRIVATISATION COMMENCED IN 1999
Private sector is invited to Design, Build, Finance, Operate & Manage the asset.
Brown field Ports.
Green Field Ports.
Concession period for 30 years extendable by 10 + 10 Years.
Freedom to fix tariff.
Freedom to set own employees policies.
Government land if available to be leased out.
Audit by Govt nominated Agency.
At the end of the concession, Concessionaire shall transfer all the immovable assets to Govt free of cost.
State government will facilitate supply of Water & Power.
In case of new port development 30 Kms exclusivity is assured with first right of refusal to the concessionaire.
Andhra Pradesh State
970 Kms of coast line
1 Major Port
Visakhapatnam
1 Captive Port (Govt.)
S.Yanam
13 Non-Major Ports
STATUS OF 13 NON-MAJOR PORTS :
Port Projects
Privatised &
Operating
3
Port Projects Underway
Vadrevu
10
Bhavanapadu
Nizampatnam
Kalingapatnam
Kakinada
Machilipatnam
Bheemunipatnam
Gangavaram
Kakinada SEZ
Narsapur
Krishnapatnam
Meghavaram
Nakkapalli
Kakinada Deep Water Port is the First operational privatised port on East Coast of India.
Government constructed the port with 3 berths with ADB Loan in 1996.
Kakinada Deep Water Port awarded to M/s International Seaports Ltd. (now Kakinada Seaports Ltd.) on
BOMST basis in 1999, for a period of 30 years with option of 10 + 10 Years extension.
The concessionaire KSPL needs to pay Revenue share on Gross earnings.
Government facilitates the concessionaire by way of allotment of lands in Port area on “First Right of
Refusal basis”.
The concessionaire is given first right of construction of additional berths in Port area and freedom to develop
new berths.
Cargo berths – 6 Nos [1800 Mtrs].
Multipurpose Berths for cargo or Ship Repairs – 3 Nos.
Offshore Supply Vessel Berths – 5 Nos.
Channel Depth - 14 Mtrs.
Channel Length – 10 Kms.
Permissible size of vessels - Panamax Vessels (225 Mtrs LOA).
Present cargo handling capacity - 15 Million TPA.
900 Mtrs Cargo Berths and 600 Mtrs Berth for LNG.
Draught to be increased to 18 Mtrs to handle Cape Size Vessels (325 Mtrs LOA).
Cargo handling Capacity to 20 Million TPA.
Development of container handling & CFS facility.
Edible Oils
Malaysia, Indonesia, Argentina
POL (Naphtha, HSD, SKO, Furnace Oil)
India – Coastal movement
Chemicals (Methanol, Toluene etc..)
Malaysia, Singapore
Gases (Ammonia)
Iran, U.A.E
Fertilizer Raw material (Phosphoric Acid, Sulphuric
Acid)
Tunisia, South Africa, Morocco, Israel, Japan
Fertilisers (Urea, DAP, MOP, NPK, Rockphosphate)
Canada, China, Oman, Russia, USA, Ukraine
Steam Coal, Thermal coal, CPCoke
Indonesia, Australia, South Africa
Dry Cargo (Wood Pulp, Machinery)
Canada and Indonesia
Bulk cargo ( Ball clay, Lime stone)
Indonesia, Thailand, Oman
Project Cargo (ODCs and Heavy Lifts)
USA, China, Europe
Raw sugar
Brazil
Iron Ore
China
Minerals (Bentonite, Feldspar)
Malaysia, UAE, Turkey, Indonesia
Granite
China
Sugar in Bags
Srilanka, Bangladesh
Crude Oil
Middle East Countries
KSPL is catering to critical support services for call of offshore supply vessels servicing Krishna-Godavari
offshore oil field exploration activity of customers.
ONGC, Reliance, GSPC, Transocean, Cairn , Hercules, Schlumberger, Baker Hughes.
KSPL developed stand alone single window services for offshore industries since 2000 and offers
services.
Round the clock berthing / un-berthing in 15mts notice.
Five dedicates berths out of which 4 Berths with 40Ts Fixed cargo cranes.
Pipeline supply of bunkers & freshwater.
Mobile silos for cement & Barites, workshop services.
Secure & spacious warehouses & yards.
Ship Yard Facility through Sembmarine Kakinada Ltd, a JV with Sembawang Shipyard Ltd, Singapore.
Sembmarine Kakinada Ltd is focusing on.
Carrying out marine repairs to merchant vessels, offshore vessels and rigs.
Construction of New ships, rigs, modules.
Establishment of floating Dry Dock.
Establishment of Slip Way to accommodate vessels upto 190 Metres length.
Development in phased manner with an investment of USD 500 Million.
Investment
$ 500
Million
Energy needs of gas based industries in hinterland is ever increasing, outstripping the supply from existing
sources.
KSPL is to augment demand supply needs of gas by import of LNG by investing about USD 180 Million in
the first phase.
First Phase
Investment
First phase of the project will consist of a Floating Storage and Regasification Unit (FSRU).
Second phase of the project shall consist of onshore LNG Terminal.
$ 480
Million
Send out capacity of the LNG Receiving terminal shall be 2.5 MTPA in phase 1, and 5
MTPA in phase 2.
Huge Cost of Channel Dredging and maintenance.
Connectivity issues of road and rail to national grid.
Neighbouring Kakinada anchorage port(150 years old)
hindering flow of cargoes.
Proximity of competing ports splitting the volumes and
burdening the operating costs.
Fishing Harbour in the proximity of the port.
Limitation of land available resulting in heavy
reclamation cost.
Kakinada Seaports
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One Stop Solution For Your Exim Needs
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Government of India is developing energy reserves through Global bidding of offshore & On shore blocks under “New
Exploration
Licensing Policy (NELP)”. Completed nine rounds of NELP bidding till date.
M/S Cairn Energy have made major discoveries of oil in Ravva field on east coast and Rajasthan on west coast.
Oil & Gas Majors ONGC, GSPC, RIL are carrying out exploration activities in KG Basin on east coast since last 10/15
years.
RIL has made huge discovery of natural gas in KG D6 .They have been brought into production during 2009.
RIL has entered into strategic alliance (Equity participation ) with BP during 2011.
Reliance Industries is the major O&G exploration operator in KG Basin with assets of 21 Blocks covering approx
220,000 Sq.Km in water depths ranging from 400 to 3,000 Mtrs.
KG-D6 currently produces about 1.7 Billion Cu.Ft of gas/day i.e about 40% of India’s total gas production.
BP who are partners with RIL since 2008 have entered into a 30% stake acquisition from RIL amounting to about
USD 7.2 Billion with their knowhow on deep sea drilling technology.
PCPIR scheme is to promote investment in the chemical and petrochemical sector to make
india an important hub for domestic and international markets.
Initiative of Government of India.
PCPIR Policy released in May 2007.
3 PCPIRs Sanctioned.
Specially delineated Investment Region of ~250 sq.km.
Manufacturing facilities for domestic & export led production in petroleum, chemical &
petrochemical sectors with associated services & infrastructure.
Minimum processing area : 40% (~ 100 sq.km).
May include SEZs, Industrial Parks, FTW Zones, Export Oriented Units or Growth Centres.
Anchor tenant: Refinery / Petrochemical Feedstock Company.
Central & Sate Govt. to Provide external linkages.
100% under automatic route.
For leasing of existing assets of Ports.
Construction/Creation and Maintenance of Assets.
Power Plants, Dry-docking, Ship repair.
Ware housing/Container freight Stations etc…
Captive Facilities for Port based Industries.
Tax Exemption for 10 year period (In a block of 10 years out of first 15 years).