Shipping minister GK Vasan has called a meeting of senior officials from National Highways Authority of India (NHAI), Chennai Port Trust, Ennore Port Ltd and Tamil Nadu government to sort out issues hindering two key port connectivity projects in the state.

The two projects are Chennai port-Maduravoyal elevated expressway and
Ennore-Manali road improvement, which were slated to be completed by
March 2012. However, disagreements between the stakeholders on cost
sharing and cost escalation issues have delayed both.

In fact, in case of Ennore-Manali road improvement project, planned in
1998, NHAI has not been able to award the contract after the original
contractor National Asphalt Products and Construction Company withdrew.

“The minister wants to expedite the two projects as it is necessary to
improve the road connectivity to major ports, even as minor ports like
Mundra Port and Special Economic Zone are having a better
infrastructure linkage. To this end, he is meeting the parties involved
in the two projects early next week in Chennai,” a senior official in
the shipping ministry told FE.

Besides senior officials from NHAI, Chennai Port, Ennore Port and Tamil
Nadu government, the meeting will also be attended by additional
commissioner of police (traffic) and representatives from Municipal
Corporation of Chennai, the ministry official added.

The 19-km long Chennai Port-Maduravoyal project was launched last year
by Prime Minister Manmohan Singh, but the delay on the part of shipping
ministry in clearing the Chennai Port’s share of land acquisition and
rehabilitation cost led to slow progress of the project. The estimated
project cost of Rs 1,655 crore includes Rs 310 crore to acquire land
and rehabilitating dislocated people and the same is to be shared by
the Tamil Nadu government and Chennai Port Trust equally.

The completion of this project would facilitate faster movement of
transport vehicles to and from Chennai Port and is likely to reduce the
traffic on Poonamallee High Road, which is one of the roads linking the
port with the outside facilities.

In case of Ennore-Manali project, which will cover 30-km area, original
contractor National Asphalt has withdrawn because the government did
not agree to its demand of higher compensation. The project has already
witnessed a six-time jump in cost to Rs 600 crore. Now, NHAI has to
re-tender the project and the ministry expects the cost to go up
further.

Source: Financial Express

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