The consortium of Port of Singapore (PSA)
Holdings and South India Corporation (Agencies) Ltd (now Sical Logistics) is on
the verge of winning the mandate for developing Chennai Port Trust's second
container terminal. The duo quoted a revenue-sharing proportion of
45.801 per cent that has found favour from the port trust authorities. The
formal letter of intent has yet to be awarded.
APM Moller, Emirates Trading and Larsen & Toubro were the other bidders in the final fray.
The cost of the project is estimated to be Rs.491.76 crore, with Chennai Port
Trust contributing around Rs.100 crore and the remaining amount to be brought in
by the BOT operator.
The PSA-Sical combine is successfully
managing one container terminal at the Tuticorin Port. At the Chennai Port, P&O
Ports is the operator of the first (and only) container terminal. The project is
part of the National Maritime Development Project.
Also See:
ChPT second
container terminal: Price bids to be opened soon (17-Aug-06)
History of developments:
February 2005: Chennai Port Trust
forwards a proposal to Union government for development of second container
terminal, with an investment of Rs.492 crore, in view of growing container
traffic.
April 2005: Union government approves
project
May 2005: Chennai Port Trust invites
RFQ and receives 11 responses (See Appendix). All eleven bidders were found
eligible to submit RFPs based on Ernst & Young's (advisors) evaluation. ChPt
forwards list of bidders to Central Government for security clearance.
November 2005: Four parties responded
to the RFP call. Their technical bids were opened on 7 November 2005. The four
were AP Moller Terminals (Netherlands), PSA-Sical, Emirates Trading Agency
(Dubai, UAE), Larsen & Toubro (along with Hutchison Port Holdings as the
management contractor). The bid of AP Moller is rejected on technical grounds.
November 2005 to August 2006: The
process is held up due to delays in the government's communication on the
security clearance issue.
11 August 2006: The government
declines from giving security clearance to Hutchison Port Holdings.
2 September 2006: The technical
evaluation gets complete. The ChPT board approves (1) disqualifying the bid of
ETA for not meeting the criteria (2) disqualifying the bid of L&T-HPH for want
of security clearance, and (3) qualifying the technical bid of PSA-Sical and
opening its financial bid.
4 September 2006: The financial bid of
PSA-Sical is opened; bidder quotes a revenue-sharing proportion of 45.801 per
cent.
Appendix:
- AP Moller, Netherlands
- NYK (Nippon Yusen Kabushiki) Lines,
Japan
- PSA International Pte Ltd,
Singapore
- Adani Exports Ltd, India
- Emirates Trading Agency, UAE
- Hutchison Port Holdings, Hong Kong
- Gammon India
- Evergreen Marine Corporation,
Taiwan
- Sical Logistics
- Mitsui OSK Lines
- Larsen & Toubro