Chennai Port to revive massive outer harbour project at ₹8,000 crore

Mr. Jindal
4 Min Read

Chennai Port’s massive outer harbour project has been planned at a cost of ₹8,000 crore and the first phase will be ready by 2031.

The proposed outer harbour project at Chennai Port will add capacity, cut logistics time and cost, and help the port handle some of the world’s largest ships, officials of Chennai Port Authority said.

Bigger vessels demand deeper drafts, advanced berths and high-throughput handling.

The outer harbour will be built seaward, beyond the current harbour line, thereby creating additional capacity, a senior official said.

This project has been planned with a 20-metre-plus draft and hence ultra-large container ships can be handled, like those with carrying capacity of over 20,000 TEU (twenty-foot equivalent units).

The Chennai Port Authority will shortly appoint a transaction advisor to carry out the feasibility study and this project will be implemented on a Design-Build-Finance-Operate-Transfer (DBFOT) basis. Officials said by the end of 2026, the concessionaire will be chosen and will be given a 45-year period for this project.

Evolving technology

It will be executed in phases, with the first phase slated for completion by 2031. Since the project is proposed in a phased manner, with time, each phase can go through iterations to upgrade with the evolving technology. In the first phase, the port intends to handle ships with 18 metres of draft and subsequently, in the following phases, the outer harbour will be equipped to handle ships with 21 metres in future.

Rail connectivity

According to the Request for Proposal (RFP) issued, this project will include “construction of breakwater, reclamation of land for yard development, berth construction, development of container parking yard, roads, internal rail connectivity, installation of handling equipment, dredging of basin and channel and providing navigational aids, tugs and floating crafts”.

This is the third time that Chennai Port Authority has been taking efforts to revive the project after it failed to take off on the last two attempts. In 2007, it was conceived as a “mega container terminal north of Bharathi Dock” with 2-km quay length and 4 MTEU capacity to handle larger container vessels.

After IIT-Madras carried out a study, they floated bids, but the response was rather poor. The authorities attempted to revive the project yet again in 2013, however,  the project was met with no response.

Now, since the State has been seeing accelerated industrial growth and factoring in the transshipment needs of the region and developments in shipping industry, the project has been brought to life again.

The Outer Harbour is being planned at a time when the Chennai Port–Maduravoyal Elevated Corridor is also shaping up simultaneously.

The additional cargo that will come to the city can be handled efficiently as the corridor’s dedicated level and multiple ramps will separate port-bound heavy vehicles from local traffic and ease choke points.

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