Leasehold to freehold: Shipping minister visits Kandla

Gandhidham, 22 January 2014

Union Shipping Minister, Thiru G.K. Vasan, visited Kandla Port today and reviewed the Port Projects, Performance Parameters, RFD targets, land and other issues with the Chairman and senior officials of Kandla Port Trust. He directed the Kandla Port Trust Administration to expeditiously implement the recently approved “Policy Guidelines for Land Management by Major Ports”. This Policy provides for a transparent mechanism for leasing and licensing of land in possession of Major Ports. The Policy Guidelines do not apply to the township areas of Kandla, Mumbai and Kolkata Ports.

These policy guidelines are part of the series of reform measures initiated by the Ministry of Shipping to promote investment and efficiency in operations in the Major Ports. Apart from this policy, recently, the Ministry had come out with new tariff guidelines, procedures to streamline security clearances and other measures to expedite approval to PPP projects. The Policy has many provisions to ensure transparency and accountability in the management of Port land.

Minister of Shipping also directed KPT to take administrative steps to implement recently approved proposal for “Conversion of Gandhidham Township Land (Residential and Composite Zones) from leasehold to freehold”. The proposal contained 366 acres of residential leasehold land at Gandhidham, leased by Kandla Port Trust (KPT), and 988 acres of residential land, sub-leased by the S.R.C. The conversion will be allowed to lessees on payment of one-time charges payable for the conversion from leasehold to freehold on the basis of market value of the land. The conversion of leasehold land into free hold land was a long standing demand of the residents of Gandhidham township. This new initiative of Ministry of Shipping will benefit about 24500 lessees of Gandhidham township, especially the poor and middle income group people. About 2300 lessees having lease land upto 50 sq.metre would not have to pay any conversion charges, while about 16550 lessees having lease land in the range of 51 to 350 sq.mtrs. would be paying about Rs.690/- to Rs.292500/-, depending upon the size of the land tenure.