The Indian government passed Major Port Authorities Bill, 2020 in Rajya Sabha today. The bill aims at decentralizing decision making and to infuse professionalism in the governance of major ports. It also at reorienting the governance model in central ports to the landlord port model in line with the successful global practice. It will also bring transparency in operations and decision making.
1. The Bill has proposed composition of the Board of Port Authority. It comprises of 11 to 13 Members from the present 17 to 19 Members.
2. In Bill, the role of Tariff Authorities for Major Ports (TAMP) has been redefined. It has given the power to fix tariff to bid for PPP projects.
3. PPP partner will be free to fix tariff based on market conditions.
4. An Adjudicatory Board will carry out the residual function and look into disputes between ports and PPP concessionaries.
5. To create the master plan in respect of development or infrastructure.
6. Provisions of CSR have been introduced.
Composition of Board
The Board will consist of Chairperson, to be appointed by the central government on the recommendation of the selection committee. Further, it will include the following members
i) Concerned State-Government in which Major port is situated
ii) Ministry of Railways
iii) Ministry of Defence and
iv) Customs Department
The Board will also comprise of two or four independent members.
It will apply to Major Ports situated at Kandala, Mumbai, Jawaharlal Nehru Port, New Mangalore, Mormugao, Cochin, V.O. Chindambraranar, Chennai, Vishakhapatnam, Paradip, Kolkata.