MoS keen to bring ALL ports under MPRAA
MoS keen to bring ALL ports under MPRAA
TAMP to be given wider role in changed scenario
The Ministry of Shipping (MoS) is considering bringing even the 200 non-major ports in the country under the purview of the Major Ports Regulatory Authority Act, 2009 (MPRAA), it is learnt.
Initially, the Act was applicable to the 12 Major Ports. However, after a meeting with the Chairmen of Major Ports recently it was decided to extend its ambit, sources said.
Even the Chairmen of Major Port Trusts wanted the legislation to cover all the ports in order to create a level playing field.
At present, the 200 non-major ports in the country have regulatory freedom, including fixing tariffs.
The new legislation, if extended to non-major ports, will empower the Tariff Authority for Major Ports (TAMP) to fix the scale of rates for these ports too and authorise TAMP to prescribe performance norms and standards of quality, continuity and reliability of service to be provided by the port authorities and private operators.
Also, TAMP will then be able to monitor the actual performance and service levels provided at the ports so as to secure compliance of such prescribed norms and standards by the port authorities and operators. Non-compliance may well lead to a fine of up to Rs 1 crore.
Ministry sources explained, "Non-major ports which handle a lot of import cargo will be brought under the new Act in the first phase. Eventually, the Act may be made applicable to the other ports."
As it may take time to complete the formalities, MoS has simultaneously initiated steps to revise some of the existing provisions related to the working of TAMP.
The present guidelines for the functioning of TAMP are set to lapse in March 2010. Prior to that, the Ministry intends to frame modified guidelines pertaining to commercial activity and effective use of land, warehouses and properties at ports.
The MPRAA has been framed by the Ministry to replace the Major Port Trusts Act, 1963, insofar as the working of TAMP is concerned.
Source : Exim News Service - New Delhi, Aug. 17