Chennai, Ennore & Kattupalli Ports - Projects Updates

[Kewl Batty]

TNEB asks Ennore Port to treble coal handling capacity

Plans to add 5,000 MW in next 5 years.


The Ennore Port in Chennai.

Chennai, Aug. 6 The Tamil Nadu Electricity Board (TNEB) has asked Ennore Port Ltd (EPL) to increase the port’s installed capacity to handle coal (only for the TNEB) by nearly three times in the next five years. The TNEB wants the port to be able to handle a total volume of around 35 million tonnes (mt) of coal by 2013-14 from the present 12 mt, according to Mr S. Velumani, Chairman and Managing Director, EPL.

The expansion is to meet the TNEB’s plans of adding nearly 5,000 MW of capacity in the next five years. EPL’s capacity expansion, including a new berth and dredging, could cost around Rs 200 crore. EPL will request the Indian Maritime University to take up a detailed feasibility study on the project, he said.

Last financial year, the port handled nearly 10 mt of coal for the TNEB, he said.

For the expansion, two more unloaders will be required.

At Central Berth 2 the capacity will be increased to 16 mt. Construction of a third berth for coal handling will be taken up based on the feasibility study, he said.

Mr Velumani said a 500-MW plant annually requires nearly 2.5 mt of coal, which will mainly come from Paradip. The existing arrangement will continue, that is, the TNEB with EPL creating the infrastructure, he said.

EPL has set apart the existing two coal berths for handling thermal coal required by the power plants in which TNEB is a stakeholder. At present, the coal requirement for power generation at the plants of TNEB having linkage to Ennore port is around 10 mt a year.

The new grab unloaders to be installed should be capable to unload coal from the large Panamax vessels (80,000 – 100,000 dead weight tonne), which have a broader beam, he said.

[Kewl Batty]

L&T scales down Ennore port funding

CHENNAI: Engineering and construction major Larsen & Toubro (L&T) has scaled down its initial investment plan for the ship-building yard
and minor port complex in Ennore, north Chennai. It had planned to invest Rs 2,500 crore in the first phase on the project, in which the Tamil Nadu Industrial Development Corporation (TIDCO) will have a 3% equity stake.

L&T will now invest only Rs 1, 500 crore in the this phase. The whole project, to come up over a land area of 1,100 acres, will cost Rs 5,000 crore. The project has been approved in principle as a heavy engineering sector (shipyard) SEZ by the Centre.

L&T has also decided to manufacture defence vehicles and not commercial vehicles in this yard. “We are already manufacturing in this space and have the necessary expertise,” said L&T president (machinery products) JP Nayak.

This is Kattupalli Port... not Ennore Port. As usual, mistake by editor.

[dis.agree]

Originally Posted by Kewl Batty

Initially it was planned to make Chennai Port devoid of coal handlings... But later they felt it is impossible to move all coal handlings to Ennore port and they're installing a new covered transporting machinery for transporting coal.

So Chennai Port will never become devoid of Coal handlings.

this new installation to cover coal being transported is i believe a temporary measure until all coal handling is moved to ennore.

[sridhar_n]

Originally Posted by dis.agree

this new installation to cover coal being transported is i believe a temporary measure until all coal handling is moved to ennore.

Presently there seems to be a confusion regarding this subject, atleast among ourselves.

Currently, Coal and other dirty cargo is handled at Chennai. With major power plants in Chennai near Ennore, Coal should eventually be shifted to Ennore. The hinterland power plants and also in other parts of the State of TNEB which get coal from MCL or SECL or imported coal does come to Chennai and they have to be shifted to Ennore.

Iron Ore exports also have to be shifted to Ennore.

Because of the stringent norms for dirty cargo in chennai, many coal imports have shifted to Tuticorin and they are also looking at Karaikal port.

I don't think its difficult for the port trust to eventually shift all dirty cargo to ennore - Road connectivity has to be put in place / strengthened to achieve this.

[die4chennai]

Not only among ourselves but even among the port members.. i saw an article way before wherein a chennai port official was criticizing Ennore port for their ambiguous approach...

[Rasnaboy]

Chennai, Aug. 28 The Shipping Ministry has asked the major ports to explore the possibility of developing small barge jetties under public-private-partnership (PPP) to increase liquid cargo traffic.

There is a plan to build one such facility in the Chennai port, while other ports are also exploring this business potential, according to sources.

The private player will be given licence of the facility for a 30-year period on build, operate and transfer basis.

EoI sought

The Chennai Port Trust (ChPT) has drawn up a proposal to develop the barge jetty adjoining the new pipeline trestle at the north-west side of the Bharathi Dock.

It has sought expression of interest (EoI) from private players on how the facility should be developed, the source said.

Bharathi Dock

There is an existing facility at the Bharathi Dock in the Chennai port to handle barges up to 65 metre long with three-metre depth.

However, the port trust plans to construct a barge jetty up to a maximum of 200 m length without affecting the manoeuvrability of container, oil and iron ships handled at the Bharathi Dock.

“We are following the Ministry’s instructions to encourage small customers to use the barge jetty. We do not know about what could be potential business or the investment involved in building the facility,” the source said.

To develop the barge jetty, the ChPT will provide private operators the right-of-way in the existing pipeline trestle without affecting the present operations; permission to develop an elevated approach from the breakwater to the barge jetty; land area of 7,500 sq m in the vicinity of the jetty and existing barge handling facility.

Source: http://www.thehindubusinessline.com/...2950420500.htm

[Kewl Batty]

Rs 3,686 cr container terminal soon

Chennai, Sept. 4: A mega container terminal is coming up at Chennai Port and the construction of the Rs 3,686-crore project, which can hold five million containers, will start by the end of this year.

This major facility is expected to make Chennai port the leading container terminal hub on the east coast.

“The proposed mega container terminal with 2 km long quay will be able to handle ultra large container vessels,” said Capt. Subash Kumar, chairman of Chennai Port Trust. “The project plan is ready and we are waiting for the security clearance from union ministry.”

He added that the work of elevated corridor that connects Chennai Port and Madurvoyal is in progress and the completion of the project would benefit further port expansion projects. Two new breakwaters with a length of 2.75 km in eastern side and 1.73 km in northern side will be created for the mega container terminal project with a depth of 22 metres. Also the project with a 2 km key length would require 90 hectares land.

Meanwhile, senior port officials pointed out that any delay in the work of two major connectivity projects, one in North Chennai and the other the elevated corridor on the Cooum River, would have an impact on the development of Chennai Port and its various trade expansion plans.

“The completion of connectivity projects is necessary to resolve the trade problems,” said Captain Subash.

Apart from that, port is also constructing a Ro-Ro (Roll On Roll Off) terminal and multi-level car park facility to handle next generation Ro-Ro car carriers. The Ro-Ro terminal, which is being built exclusively for cars, would have a facility to park 5,000 vehicles. It would help increase car export and import through Chennai Port.

[kannan infratech]

Guys!

Please understand that Madras Port and Ennore Port are rival organisations and both vie for cargo to sustain and grow.

Madras Port of late is concentrating on Containerised Cargo (aka Clean Cargo) but that does not mean that they will close down all other activities.

Since L&T Kattupalli Port is also proposed near Ennore, the competition will hot up more.

The Clients may be able to negotiate and get a better deal from these 3 players now.

[Rasnaboy]

But, Kannan sir, I think this is a healthy competition. Of late, the growth rate of both these ports is dramatically up by surprising percentages, if I'm not wrong. Hope this healthy competition continues and will help develop the region, especially when IT and others industries suffer from recession.

[Rasnaboy]

New Delhi, Sept. 11 Major ports may be allowed to invest their surplus of over Rs 12,000 crore in the equities of public sector undertakings in case the ports do not have any immediate need for funds.

This is one of the recommendations of an internal committee of the Shipping Ministry. A final call on the issue is to be taken by the Shipping Ministry in consultation with the Finance Ministry.

As on April 1, 2008, major ports had over Rs 12,000 crore of cash surplus, according to official data. But, they also had significant outstanding loans and investment requirement.

Major ports are governed by the Central Government.

Currently, there are guidelines for major port trust investments in national banks, inter-corporate loans, provident funds, superannuation funds, amongst others.

Profit centres

Port trusts are not encouraged to invest in equities as their primary objective, according to the Major Port Trust Act, is to plough back the funds into port development.

“But now there is a need for a re-look as the idea is to encourage major port trusts to function as independent profit centres.

That is how other competing ports are functioning,” explained a committee member.

Currently, the major ports have no incentives for maximising profits. “The surplus earned by a major port is not a parameter used to judge its performance,” he explained.

It is in this context that the committee headed by Mr Vijay Chhibber, Additional Secretary and Financial Advisor, Ministry of Shipping, suggested that “ports may be allowed to invest in some secured equities of public sector enterprises if the funds are not required immediately for port development”.

The committee also said that the ports could be allowed to invest in other port companies provided a detailed appraisal of the target company’s financial worth is made by the ‘finance wing’ of the investing port.

Source: http://www.thehindubusinessline.com/...1251990100.htm

[Kewl Batty]

Ennore Port earns Rs. 41.46 crores profit

PRESENTS MAIDEN DIVIDEND CHEQUE TO SHIPPING MINISTER

The Union Minister of Shipping Thiru G.K.Vasan was presented today at Chennai the maiden dividend of Rs.4.15 crores by Ennore Port. The dividend Cheque was presented to the Minister by Thiru S.Velumani, Chairman cum Managing Director of Ennore Port Ltd (EPL).

The Ennore Port Ltd. has reported a post tax profit of Rs.41.46 crores during the Financial Year ended March 31, 2009 and it proposes to declare dividend at 15% on PAT which comes around Rs.6.22 crores. Dividend Tax is Rs.1.06 Cores. The dividend cash flow including dividend tax is Rs.7.28 Crores, of which Government of India gets Rs.4.15 crores and Chennai Port Trust Rs.2.07 crores.

Ennore Port has been conferred Mini Ratna Category I status by the Government of India based on its impressive performance, which enables it with enhanced functional and financial autonomy. The Port has been successful in attracting an investment of Rs. 1200 crores on various terminals and harbour crafts from private entrepreneurs. It maintained a very low operating ratio at 25.80% during 2008-09.

Construction of the Car Export Terminal at the Port is in progress in pursuance of MOU with Nissan Motors, which would enable Nissan to export 1,80,000 cars per year. Exports are expected to commence by August, 2010. This Project will cost Rs.110 crores and the facilities include a berth, dredging of basin to 12 mtrs, parking yard of 1,75,000 sq. mtrs.

A modern Coal Terminal and an Iron Ore Terminal are being developed at a total investment of Rs.880 crores. Ennore Port will be able to handle 8 million tonnes of Non-TNEB coal and 12 million tonnes of iron ore with completion of these two projects by August 2010. Detailed Project Report (DPR) for construction of third coal berth is being prepared so as to enable EPL to handle 35 million tonnes of coal need for TNEB by 2013-14. The Project is expected to cost Rs.100 crores. The Marine Liquid Terminal constructed at a cost of Rs.250 crores is already operational since January 2009.

Rail connectivity project works to link Coal and Iron Ore stackyards with Athipattu Stations on the Chennai – Vijayawada mainline are under the implementation at a cost of Rs.51.60 crores. Phase – II Capital Dredging to create necessary depths to handle Cape Size vessels and main line Container vessels has been approved by the Board of EPL with a proposed of Rs.440 crores.

[Rasnaboy]

Makes Rs 41.46-cr profit for year ended March 2009

Ennore Port Ltd became the first major port in the country to pay a dividend to the Government. It paid a dividend of Rs 4.15 crore to the Government and Rs 2.07 crore to the Chennai Port Trust — both being major partners in EPL.

The Shipping Minister, Mr G. K. Vasan, received a cheque for Rs 4.15 crore as maiden dividend from Mr S. Velumani, Chairman and Managing Director, EPL. The minister later presented a cheque for Rs 2.07 crore to the Chennai Port Trust Chairman, Capt Subhash Kumar.

For the year ended March 2009, Ennore Port reported a post tax profit of Rs 41.46 crore and declared a dividend of 15 per cent (Rs 6.22 crore).

ATTRACTING INVESTMENT

The Minister said that Ennore Port has been conferred Mini Ratna Category I status by the Government based on its impressive performance; this gives the port enhanced functional and financial autonomy. The port has been successful in attracting an investment of Rs 1,200 crore on various terminals and harbour crafts from private entrepreneurs.

Construction of the car export terminal at the port is in progress in pursuance of an MoU with Nissan Motors, which would enable the car-maker export 1,80,000 vehicles a year.

Exports are expected to commence by August 2010. This project will cost Rs 110 crore and the facilities include a berth, dredging of basin to 12 metres, and a parking yard of 1,75,000 sq mt.

The Minister said that a new coal terminal and an iron ore terminal developed at a cost of Rs 880 crore will enable the port handle 8 million tonnes of non-TNEB coal and 12 million tonnes of iron ore with the completion of these two projects by August 2010, he said.

Source: http://www.thehindubusinessline.com/...2050830500.htm

[die4chennai]

The Chennai International Terminals Private (CITPL), the second private container terminal at the Chennai port, will officially start full operations from October, the Hindu Business Line reported.

The terminal will help the Chennai Port, which is 88th in the global top 100 container ports, to add a capacity of 1.05 million TEUs to its current capacity of 1.2 million TEUs.

The terminal began trial operations in June with 480 metres quay length; three quay cranes and 10 rubber-tyred-gantry cranes. The full 832 metres quay length will be ready by the first week of October.

The company sought time from the Chennai Port Trust to delay the official opening by nearly four months. Being a 'brown field' project, it took the company more time to get the infrastructure ready, sources said.


Source: cargonewsasia.com

[Mad 4 Madras]

What does brown field means?

[ferrari_fan]

"Brown field" means an expansion or upgradation of an existing infrastructure facility..

For example, the brand new airport proposed at Sriperumbudur will come up from scratch, which is called "green field" while the upgrades being carried out at the Meenambakkam airport are called "brown field".

[Mad 4 Madras]

Cool. Thanks for the explanation.

[Anniyan]

Originally Posted by ferrari_fan

"Brown field" means an expansion or upgradation of an existing infrastructure facility..

Expansion or upgradation cant be called a brownfield, i think..

Brownfield refers to site that is/was occupied by some structure that is not used/vacant and is demolished/reclaimed for redevelopment.

[satishanu]

A greenfield project is one which is not constrained by prior work. It is constructing on unused land where there is no need to remodel or demolish an existing structure. Such projects are often coveted by engineers.

Some examples of greenfield projects are new factories, power plants or airports which are built from scratch. Those facilities which are modified/ upgraded are called brownfield projects.

Source: http://timesofindia.indiatimes.com/n...ow/1717233.cms

[Anniyan]

Originally Posted by satishanu

A greenfield project is one which is not constrained by prior work. It is constructing on unused land where there is no need to remodel or demolish an existing structure. Such projects are often coveted by engineers.

Some examples of greenfield projects are new factories, power plants or airports which are built from scratch. Those facilities which are modified/ upgraded are called brownfield projects.

Source: http://timesofindia.indiatimes.com/n...ow/1717233.cms

Is there any other good source? No link to indian media please, they are new to this terminologies and often use inappropriate terminology.

For ex,

If they build a new terminal adjacent to the existing terminal with out demolishing or reclaiming the land, then its neither greenfield not brownfield.
whereas if the existing structure in the cheapauk stadium is demolished and new structure is built then its brownfield.

[satishanu]

Originally Posted by Anniyan

whereas if the existing structure in the cheapauk stadium is demolished and new structure is built then its brownfield.

That's correct. I guess same as upgrade.