Mumbai: The cabinet committee on infrastructure on Thursday approved the much-awaited work involving the deepening and widening of the channel leading to Mumbai Port Trust and Jawaharlal Nehru Port Trust (JNPT) at an estimated cost of 1571.60 crore.
The proposed project will increase the depth of the channel to 14 m from the current 10 m to allow vessels of more than 6,000 teu to travel to the port, and the first phase is expected to be completed in the next two years.
"The ports will be able to attract international container vessels and reduce the turnaround of larger vessels which will enable JN Port to be developed as a hub port on the west coast," the committee said in a statement.
The channel deepening project, to be jointly undertaken by JNPT and Mumbai Port Trust, will see JNPT infusing more than 1,400 crore for the project, while Mumbai Port will have to bring in 200 crore.
Earlier, the shipping ministry had decided that JNPT will bear more than 90% of the cost while Mumbai Port Trust will infuse 9.5%.
Two independent dredging companies and a consortium of two companies were allowed to bid in the final round of technical bidding.
Belgium-based Jan De Nul group, Netherlands-based Royal Boskalis Westminster and a consortium of Netherlands-based Van Oord and Dredging International, an Australian dredging company, were the three firms given security clearance recently and shortlisted for the project.
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