Kerala Chief Minister Pinarayi Vijayan signed a supplementary concession agreement between the state and Adani Vizhinjam Port Pvt., to ensure the future development of the international seaport.
The first of the three phases is slated for commissioning next month and the second and third phases will be nearing completion by 2028.
The project will involve an additional investment of Rs 10,000 crore, expanding the port's capacity to 30 lakh twenty-foot equivalent units, the Chief Minister said in a post on X. "This milestone underlines our commitment to comprehensive development and global connectivity," he said.
The project timeline has been extended by five years, taking into account Covid-19 pandemic and natural disasters such as the Ockhi cyclone, and floods, according to a PTI report.
If the project is not fully completed by 2028, the five-year extension will be cancelled, and the withheld amount will be collected by the government.
We have entered a supplementary concession agreement with Adani Vizhinjam Port PVT LTD on @PortOfVizhinjam to extend the project period for 5 yrs & commission the port by December. As the 2nd & 3rd phases near completion by 2028, an investment of ₹10,000 crore will be made,… pic.twitter.com/WcXrml0F8z
November 28, 2024The completion of the Vizhinjam International Port project would enable revenue gains for the government sooner than initially envisioned, Kerala Port Minister V N Vasavan said in press conference after the signing of the agreement.
The minister said that of the Rs 8,867 crore needed for the Vizhinjam port project, Rs 5,595 crore is to be borne by the state government.
This allocation is designated for the state's viability gap funding share, construction of the access road, land acquisition, rail connectivity, and compensation for livelihood loss.
The minister also said that Adani's contribution amounts to Rs 2,454 crore, while the central government's share stands at Rs 817.80 crore. The central share has yet to be received, he added.
(With inputs from PTI.)
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