The Vizhinjam waters remain muddied

THIRUVANANTHAPURAM:The Vizhinjam International Container Transshipment Terminal (ICTT) project is once again in the limelight with Chief Minister Oommen Chandy announcing last week that the estimate for phase I has been revised. Phase I would now cost Rs 4010 crore, which was the estimated cost for the entire project five years ago. Political one-upmanship, shoddy strategy and controversies have ensured that the project remained a non-starter. As per revised figures, the state government would have to shell out Rs 3040 crore while the private operator of the port - yet to be determined - will chip in with Rs 970 crore for the first phase. The 2010 estimates had pegged phase I cost at Rs 2530 crore. “Three components have changed,’’ said Suresh Babu, CEO, Vizhinjam International Seaport Ltd (VISL), the state government company overseeing the project.  “Kerala hopes to raise Rs 800 crore through bond issues, Rs 800 crore as financial aid from agencies like HUDCO and LIC, Rs 300 crore from the consortium of banks and the rest as government equity” he said. While the government is yet to take a decision regarding the consortium led by Welspun Infratech, the sole remaining bidder, a masterplan for the Vizhinjam project is expected to be finalised soon. Meanwhile, the government is yet to take a decision on Welspun’s financial bids.Former Port Minister M Vijayakumar said Welspun’s financial bid should be opened and cleared if found viable. “Prior to the EPC bids the port operator should be decided. It is time to take up the project on a war-footing,” he said. “The date of opening the bid will be taken up in the agenda of the cabinet meeting and a suitable date would be fixed after discussion,”  Port Minister K Babu said.