PM approves joint venture for Parya channel dredging

PSPA to team up with Belgian company

Prime Minister Sheikh Hasina has approved the proposal of the shipping ministry to form a joint venture company with the Payra Sea Port Authority (PSPA) and JAN De NUL N.V of Belgium and invite international tender for the capital dredging of the 34-km Payra port channel.
On March 26 this year, the shipping ministry had proposed to Prime Minister Sheikh Hasina the formation of a joint venture company to dredge the Payra channel with the government’s own funds.
The shipping ministry also mentioned that it would need approximately $545 million for the capital dredging project and the maintenance of the Payra channel.
According to the proposal, the PSPA will conduct dredging for five nautical miles with a 10 metre chartered depth inside the main port area, eight metre chartered depth of 19 nautical miles at the outer anchorage, and nine metre depth of 10 nautical miles at the outer channel.
The proposal said the PSPA would own 51 per cent of the port share and JAN De NUL the rest 49 per cent.
The government, on May 25, 2016, signed the first memorandum of understanding (MoU) for the Payra Deep-Sea Port project with the Belgian company, JAN De NUL for an estimated $2 billion capital dredging and maintenance dredging.
Later, Jan de Nul signed the MoU with the Payra Port Authority (PPA) under the Shipping Ministry on the basis of the Foreign Direct Investment (FDI) to carry out the dredging of about 35 nautical miles in the Rabnabad channel in Kalapara of Patuakhali.
The Belgian company, which specialises in dredging and civil engineering, must make the channel operational for a deep-sea port by the end of 2018 and facilitate the entry of vessels with up to 14 metres of draught and 300 metres in length.
According to the techno-feasibility study prepared by the British firm, HR Wallingford & Consortium, the Payra port will require a total of 7,000 acres of land. Of this, 6,000 acres will be used for port development, 500 acres for a coal terminal and the remaining for the resettlement of people affected by the port construction project.
HR Wallingford has been carrying out a series of studies, including those concerning the environment and resettlement, since January 2015.
Chairman of Payra Sea Port Commodore M Jahangir Alam said capital dredging and maintenance of the 34-km channel is expensive and challenging.
 For this reason, they planned to conduct the dredging of the anchorage for 11-metre-draft ships.
Besides, they need to dredge channel as soon as possible since 30 million tonnes of coal will have to be unloaded at this port for five coal-based mega power plants with a power generation capacity of 7920 MW.
He also said these power plants would begin power generation in the first half of 2019 and the dredging will have to be completed by December 2018 to import coal through this port.
 From the inception of the port in 2012, the PSPA earned revenue worth Tk 20 crore from the 12 anchorages for foreign ships.

 

PM approves joint venture for Parya channel dredging

PSPA to team up with Belgian company

Prime Minister Sheikh Hasina has approved the proposal of the shipping ministry to form a joint venture company with the Payra Sea Port Authority (PSPA) and JAN De NUL N.V of Belgium and invite international tender for the capital dredging of the 34-km Payra port channel. On March 26 this year, the shipping ministry had proposed to Prime Minister Sheikh Hasina the formation of a joint venture company to dredge the Payra channel with the governments own funds. The shipping ministry also mentioned that it would need approximately $545 million for the capital dredging project and the maintenance of the Payra channel. According to the proposal, the PSPA will conduct dredging for five nautical miles with a 10 metre chartered depth inside the main port area, eight metre chartered depth of 19 nautical miles at the outer anchorage, and nine metre depth of 10 nautical miles at the outer channel. The proposal said the PSPA would own 51 per cent of the port share and JAN De NUL the rest 49 per cent. The government, on May 25, 2016, signed the first memorandum of understanding (MoU) for the Payra Deep-Sea Port project with the Belgian company, JAN De NUL for an estimated $2 billion capital dredging and maintenance dredging. Later, Jan de Nul signed the MoU with the Payra Port Authority (PPA) under the Shipping Ministry on the basis of the Foreign Direct Investment (FDI) to carry out the dredging of about 35 nautical miles in the Rabnabad channel in Kalapara of Patuakhali. The Belgian company, which specialises in dredging and civil engineering, must make the channel operational for a deep-sea port by the end of 2018 and facilitate the entry of vessels with up to 14 metres of draught and 300 metres in length. According to the techno-feasibility study prepared by the British firm, HR Wallingford Consortium, the Payra port will require a total of 7,000 acres of land. Of this, 6,000 acres will be used for port development, 500 acres for a coal terminal and the remaining for the resettlement of people affected by the port construction project. HR Wallingford has been carrying out a series of studies, including those concerning the environment and resettlement, since January 2015. Chairman of Payra Sea Port Commodore M Jahangir Alam said capital dredging and maintenance of the 34-km channel is expensive and challenging. For this reason, they planned to conduct the dredging of the anchorage for 11-metre-draft ships. Besides, they need to dredge channel as soon as possible since 30 million tonnes of coal will have to be unloaded at this port for five coal-based mega power plants with a power generation capacity of 7920 MW. He also said these power plants would begin power generation in the first half of 2019 and the dredging will have to be completed by December 2018 to import coal through this port. From the inception of the port in 2012, the PSPA earned revenue worth Tk 20 crore from the 12 anchorages for foreign ships.