8th Jan 2013: Andhra Jyothi
Gangavaram Port Handles 100th Cape size Vessel
24th October 2012: Andhra Bhoomi
Petronet LNG terminal at GPL
22nd October 2012: Eenadu News Paper
GPL Organized Mega Health Camp
07th August 2012: The Hindu
GPL provides benches to school
Visakhapatnam: Gangavaram Port Limited on Monday inaugurated the facilities created by it at Zilla Parishad High School at Gangavaram village.
The facilities which included school infrastructure plus water and sanitation provisions were inaugurated by Gajuwaka MLA Ch. Venkataramaiah in the presence of former mayor P. Janardhana Rao and former MLA T. Gurumurthy Reddy.
The initiative was a part of Gangavaram Port's corporate social responsibility program.
As part of CSR, GPL said in a re-lease that it provided basic infrastructure and focused on creating water and sanitation facilities. GPL management provided 165 benches for 500 children to sit in their classrooms, 10 tables and 15 chairs for staff. Wash rooms were built for boys and girl. A bore-well was dug at the school to provide water. Sports kits were also presented to the students.
The facilities provided by them would enable the students to study well in a conducive climate, said GPL Senior Vice-President K.R.R. Naidu.
07th August 2012: Eenadu News Paper
07th August 2012: Andhra Bhoomi News Paper
07th August 2012: Andhra Jyothi News Paper
07th August 2012: Sakshi News Paper
07th August 2012: Surya News Paper
24th July 2012: Indian Express
Plantation Drive Launched
Visakhapatnam: The Gangavaram Port limited on Monday inaugurated a massive drive of planting 20,000 saplings near Yarada Hills as a part of the ‘Green Visakha’ project.
GPL staff planted saplings of a variety of avenue plants as per the guidelines issued by the ‘Green Visakha’ programme committee.
GPL has already undertaken land clearance, pitting and manure work and the entire programme will be completed by the end of August.
District collector Lav Agarwal, commissioner of GVMC B Ramanjaneyulu, vice-chairman of VUDA Kona Sasidhar, MLA of Gajuwaka Ch Venkata Ramayya and other officials were also present on the occasion.
21st July 2012: The Hindu
Gangavaram Port Private Limited Vice-President Rajaratnam Naidu on Friday handed over a cheque for Rs.1.08 lakh to Greater Visakhapatnam Municipal Corporation for buying 50 bicycles as a part of its corporate social responsibility.
The cheque, towards promoting cycling introduced by Municipal Commissioner B. Ramanjaneyulu, was handed over to him.
3rd May 2012: Deccan Chronicle
PETRONET LNG TERMINAL AT GANGAVARAM
State-owned Petronet LNG Ltd (PLL) on Wednesday signed a deal with Gangavaram Port Ltd (GPL) to built a land-based liquefied natural gas (LNG) terminal in the country at Visakhapatnam- based private port.
With in as annual capacity of 5Millipn metric tone, the terminal at Gangavaram Port will comprise of facilities for receiving, storage and regasification of LNG. It will be developed with an estimated investment of 5000Crore
The terminal which is the third in the country for Petronet is likely to become operational in next 6 months. The other two are an operational 10 MMTPA terminal at Dahej in Gujarat and five MMTPA terminal at kochi in Kerala.
Petronet LNG Managing director A.K.Balyan said, “The construction work on the terminal is expected to start with a year and it shell be ready to commence operations by 2016”.
The Gangavaram LNG terminal will help meet the growing energy demand of Andhra Pradesh and will also cater to the increasing gas requirements of Eastern and central part on India.
In a statement, the Chief minister’s office said that the terminal will contribute around 2000Crore in Value Added Tax (VAT) every year to the state and provide employment to 1000 people in four years.
Mr.D.V.S.Raju, the Chairman of Gangavaram Port Ltd, said “This will be the only LNG terminal in the entire East Cost of India”.
August 28, 2011: The Hindu Business Line
At 51, Mr D. V. S. Raju, Chairman and Managing Director of Gangavaram Port Limited (GPL), is in a bit of a hurry. He has tasted success in port operations and would, therefore, like to go the whole hog in his present capacity. Gangavaram port, the private facility promoted by him on the Andhra Pradesh coast, received its first vessel in August 2008. In 2010-11, the port, complete with five berths. Handled more than 14 million tonnes of cargo, of which, coal alone was approximately 10 million tonnes (mt).
Mr Raju wants to add to the port's capacity by constructing, at the earliest, four new berths - one fully mechanized coal berth and three other multi-purpose berths.
“I would like see the new berths commissioned by October 2013, to achieve a port capacity of about 44/45 mt,” he remarks. The funding, he says, will be a combination of internal generation, loans from banks and external commercial borrowing, roughly in the ratio of one-third each. There is no immediate proposal for a public issue.
This might come as a surprise to many, particularly those who are judging Mr Raju from his past, would love to see him more as a venture capitalist than anything else. , Mr Raju was promoter Managing Director of Satyam Computer services ltd, but got out of it at the right time. He floated Visual Soft Technologies Ltd, but again sold it. He holds a Master's in computer engineering from Ohio University, USA.
“My first brush with port operations started in the early 2000s. when my IT firm started providing services to Dubai port and, in the process; I was drawn to port operations, its intricacies as well as huge potential, particularly for a country such as ours. That was the time when the Andhra Pradesh Government, too, was talking about a private port at Gangavaram, and I took the plunge,” he says. “We were awarded contracts through bidding in 2002 and signed in 2003 the concession agreement whose scope remains unchanged till today.”
In India, winning a contract is one thing and starting work is another. There were so many hurdles which had to be overcome before the actual work could start in 2005. So much so that Dubai Port World, that had agreed to partner with Mr Raju in the project, withdrew in the face of resistance from various quarters.
The proposal from a Malaysian firm for partnership too didn't make much headway. The change of government in the state threw up myriad challenges which were handled deftly. Finally, a foreign private equity fund stepped in and held 30 per cent of the equity and the Andhra Pradesh Government another 11 per cent, with the majority 59 per cent being held by Mr Raju. Also, a five-year operation-and-management contract has been signed with Portia Management Services, the port consultancy arm of the Liverpool Port Authority and Mersey Docks & Harbour Company, UK.
The GPL CMD dismisses the venture capitalist theory, emphasising that he has no plans to sell his stake in GPL. The report published in this regard has no basis, he makes it clear. “The rumour was probably floated by interested groups during the long period of my absence when I was away at the US for treatment,” he says, adding, “I'm now fully in saddle with full cooperation from my son, Raj, and several senior executives and we're all fully committed to the growth of Gangavaram port.”
More importantly, he is looking into new opportunities in the port sector, both within the country and outside. Outside, it could be Australia, Europe, Southeast Asia and even Africa. “But in Africa, the regulatory framework is not properly structured; also, it is difficult to compete with China which has an overwhelming presence there,” he says.
In Europe and several other parts of the globe, there are investors who hold equity in port projects only for investment purpose. Some of them may be interested in selling their stakes. “But we would not be content with being a mere investor; we'll most certainly participate in day-to-day operations.”
In India, with the land acquisition issue becoming increasingly complex, venturing into a ‘greenfield' project is out of the question. Participation in construction and operation of port terminals is one of the options being considered. “But then, the kind of revenue-sharing being offered is not only mind-boggling but also defies all logic,” he remarks. “I'm not sure how one could make money and still carry on with normal operation on a revenue-sharing of more than 50 per cent.”
Another issue which is causing concern is the proposal to bring private ports also under a regulator. “A regulator is welcome for security and safety-related issues but certainly not for fixing the tariffs,” he says, emphasising, “let the market determine the tariffs; after all, efficient services must command efficient price.” Also, the kind of regulatory mechanism ideal for the power sector catering to millions of ordinary consumers cannot be suitable for the port sector, whose customer profile is very different.
Referring to the mushrooming of ports on the eastern seaboard, he only hopes that the promoters of these projects are aware of the challenges in port operations. The hinterland of container traffic can be vast, as the boxes to and from Punjab pass through JN port, but this need not be true about dry bulk cargo, whose onland haulage across long distance may not be cost-efficient.
The east coast ports are generally dry bulk cargo handling ports. “But then, if the economy grows at the projected eight to nine per cent, there will be more steel production and power generation and the slice of pie will become proportionately larger and hopefully there will be room for everyone to grow. I'm an optimist,” he adds.
Gangavaram Port in expansion mode
April 24, 2012 : The Hindu
The Hindu IN GROWTH MODE: A view of the Gangavaram port in Visakhapatnam.
Work is going on in full swing and it is likely to take 24 months
Gangavaram Port Limited (GPL), which owns an all-weather deep water satellite port under Public Private Partnership programme, has commenced construction work in full gear to achieve a cargo handling capacity of 40.95 million tonnes.
A spokesperson for GPL told The Hindu that the construction work for expansion was going on in full swing and it was likely to take 24 months to complete the expansion project. At present, Gangavaram Port has a capacity to handle 16.54 million tonnes per annum. After its formal inauguration in 2009, it has finalised the first phase of expansion. At present, it has five deep draft fully mechanised berths.
The expansion project includes one coal and three multipurpose berths and additional stacking area. The management at the time of public hearing held last year had stated that it would have most modern mechanised cargo handling system, additional storage and evacuation facilities to meet future requirements.
In lieu of 1,800 acres of land, the government will have equity of 11 per cent. Visakhapatnam Port, owned by the Visakhapatnam Port Trust, is on massive mechanisation and modernisation mode and is getting ready to handle 110 million tonnes by 2014-15.
Visakhapatnam Port is one of the premier ports among 13 major ports.
It handled 67.41 million tonnes during 2011-12 as against previous year's 68.04 million tonnes, the second highest after Kandla. The cargo handling fell down marginally over the previous year due to dislocation caused by ongoing expansion work and fall in iron ore exports.
Gangavaram Port, which has the advantage of being a Greenfield port, handled a throughput of 14 million tonnes during 2011-12 compared with previous year's 13.93 million tonnes.
It handled 9.5 million tonnes of coal, 2.14 million tonnes of iron ore and 1.91 million tonnes of other cargo during 2011-12. In the previous year, it handled 9.52 million tonnes of coal, 2.58 million tonnes of iron ore and 1.83 million tonnes of other cargo.
Asked why the cargo remained almost the same, the spokesperson pointed out: “The basic reason for the overall cargo numbers remaining the same is the unprecedented decline in iron ore exports, a concern faced by all ports across the country.
Gangavaram Port to pay property tax to GVMC
14th April 2012 : The Hindu
It hands over cheque to the Municipal Commissioner
Resolving a long pending impasse over payment of property tax, Gangavaram Port has agreed to pay 35 per cent of the tax in cash and the remaining 65 per cent for development of areas in the vicinity of the port.
The Gangavaram Port management on Friday handed over a cheque for Rs.86.1 lakh, being 35 per cent of the tax payable since 2009, to Municipal Commissioner B. Ramanjaneyulu.
The government has declared the port industrial area local authority (IALC) and a notified area resulting in its not paying property tax which drew severe criticism from the Opposition. The criticism became sharper with the steep hike in property tax by the corporation and citing its lack of resources for a rollback. Municipal Commissioner B. Ramanjaneyulu took up the issue and the State-level Notified Areas Committee met thrice in the last six months to thrash out the issue. The final decision was arrived at a meeting in Hyderabad on Wednesday.
Mr. Ramanjaneyulu said the corporation provided houses under JNNURM by footing 30 per cent of the cost to those displaced by giving land to the setting up of the port. Besides infrastructure was created and the port was being supplied water, he said.
He said in spite of being declared IALC and coming under the Notified Areas Committee, Gangavaram port had responded positively to the GVMC's request to pay the property tax. As the port expanded, the scope for GVMC improving its revenues would improve.
Gangavaram Port Trust Vice-Chairman Rajaratnam Naidu said following a request by the commissioner the port would foot 50 per cent of the cost for central lighting from Karnavanipalem junction to Gangavaram port main gate and the roads leading to the port. It will also contribute 50 cycles to GVMC cycle club.
Additional Commissioner S. Krishna Murthy, Chief Engineer B. Jayarami Reddy, Deputy Commissioner (Revenue) M. Viswanadham and Notified Area Committee special officer Purushottam participated.