Home India Tariff Authority for Major Ports In exercise of the powers conferred by Section 49 of the Maj...
Date: 2019-06-12 Category: Extra Ordinary State: Union Government Country: India

In exercise of the powers conferred by Section 49 of the Major Port Trusts Act, 1963 38 of 1963, the Tariff Authority for

Issued by Tariff Authority for Major Ports · Not Applicable

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Executive Summary & Key Takeaways

Executive Summary: This document extends the validity of the existing rate structure for Kandla lands of Deendayal Port Trust (DPT) from its expiry date until June 30, 2019, or until the notification of revised lease rentals, whichever is earlier. This extension is pending the implementation of a new land classification system based on the National Industrial Classification (NIC), 2008. The existing annual escalation of 2% in lease rentals will continue during this extended period. The revised lease rentals, once fixed, will have retrospective effect. Key Points / Main Content: Extension of Rate Structure Validity: * The validity of the existing rate structure for Kandla lands of DPT (categories A to G) is extended. * The extension is effective from the date of expiry (December 31, 2018) until June 30, 2019, or until the date of effect of notification of the revised lease rentals based on the tariff proposal to be filed by DPT, whichever is earlier. Background and Rationale: * DPT's proposal for revision of rates is pending due to ongoing review and implementation of land classification as per NIC, 2008. * The Indian Ports Association (IPA) is studying issues related to rates and land categorization. * The Ministry of Shipping (MOS) has issued clarifications regarding land classification and categorization of port land as per NIC, 2008. Financial Implications: * The existing annual escalation of 2% in lease rentals will continue to apply during the extended validity period. * The lease rentals to be fixed based on the new proposal will have retrospective effect. Impact Analysis: Deendayal Port Trust (DPT): * Impact: DPT can continue to levy lease rentals based on the existing rate structure for Kandla lands during the extension period. * Action Required: DPT needs to file a tariff proposal for revised lease rentals based on the new land classification system and await notification. Existing Lessees of Kandla Lands (Categories A to G): * Impact: Lessees will continue to pay lease rentals with a 2% annual escalation during the extension period. The final lease rentals may be adjusted retrospectively once the new rates are fixed. * Action Required: Lessees need to continue paying lease rentals as per the existing structure with the 2% annual escalation. They should also be prepared for potential retrospective adjustments to lease rentals.

Key Entities Referenced

Rajat Sachar: Member Economic, Tariff Authority for Major Ports Tariff Authority for Major Ports: Regulatory body responsible for tariff regulation at major ports in India. Major Port Trusts Act, 1963: Indian legislation governing the administration of major ports. Deendayal Port Trust: A major port trust in India, formerly known as Kandla Port Trust. Kandla land: Land within the jurisdiction of Deendayal Port Trust, subject to lease agreements and rate structures. T.S. Balasubramanian: Member Finance, Tariff Authority for Major Ports Ministry of Shipping: The ministry responsible for ports and shipping in India National Industrial Classification NIC, 2008: Classification system for economic activities used for categorization of port land
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A यापी (cid:20)भाव 1दया गया था और पांच वषD क(cid:14) अविध के िलए अथात. ् 31 1दसंबर, 2018 तक क(cid:14) वैधता िनधा.2रत क(cid:14) गई थी। डीपीटी को हमारे 05 नवबं र, 2018 के पI के (cid:19)ारा दर(cid:25) क(cid:14) अिधसूचना म0 िवलबं से बचने के िलए डीपीटी भूिम के 1कराय(cid:25) के संशोधन का (cid:20)*त ाव दायर करने का अनुरोध 1कया गया था। 3333....1111.... इस पृK ठभूिम म0,,,, डीपीटी ने 15 फरवरी 2019 के पI के (cid:19)ारा उ(cid:5)र 1दया। डीपीटी न े िनOन िलिखत मुQ े रखे। ((((iiii)))) भूिम क(cid:14) दर(cid:25) और Rेणीकरण को ‘‘‘‘ए’’’’,,,, ‘‘‘‘एफ1’’’’,,,, ‘‘‘‘एफ2’’’’.... ‘‘‘‘जी1’’’’ ‘‘‘‘जी2” म0 RेणीबS करने और 1 जनवरी,,,, 2014 से वत.मान प8ाधारक(cid:25) के प8ा 1कराय(cid:25) म0 अTय िधक वृिS स े संबंिधत मुQ(cid:25) भारतीय प(cid:5)न संघ (आईपीए) (cid:19)ारा ग2ठत एक सिमित (cid:19)ारा अVय यन 1कया गया ह।ै सिमित क(cid:14) अंितम 2रपोट. (cid:20)तीिWत ह।ै ((((iiiiiiii)))) एमओएस ने 16 अXत बू र,,,, 2018 के पI स=ं य ा पीडी-250212/11/2015-वीओसीटी (cid:19)ारा राK Zीय औ[ोिगक वग\करण (एनआईसी),,,, 2008 के अनसु ार प(cid:5)न भूिम के वग\करण/Rेणीकरण के बारे म0 * पK टीकरण प2रपI (भूिम (cid:20)बंधन) सं=य ा 2018 का 1 जारी 1कया और सूिचत 1कया 1क एमओएस के V यान म0 यह लाया गया ह ै 1क प(cid:5)न भूिमय(cid:25) का वत.मान वग\करण और उसस े दरमान(cid:25) का िनधा.रण न तो प(cid:5)न(cid:25) के भीतर और न ही सभी प(cid:5)न(cid:25) म0 एक समान ह ै और इससे ज2टलताय0 और िववाद पैदा होते ह।^ इससे प(cid:5)न(cid:25) क(cid:14) राज*व वसूली पर (cid:20)भाव पड़ता ह।ै इस मामले पर एमओएस म0 इसका परीWण 1कया गया और यह िनण.य िलया गया 1क प8े के (cid:20)योजन से प(cid:5)न भूिम का वग\करण/Rेणीकरण एनआईसी,,,, 2008 के अनुसार 1कया जायगे ा। तदनुसार,,,, एमओएस ने सभी महाप(cid:5)न(cid:25) को तदनु‘प कार.वाई करने का अनरु ोध 1कया। एमओएस स े (cid:20)ाaत उX त * पK टीकरण को दखे ते (cid:30)ए,,,, एनआईसी 2008 के अनुसार प(cid:5)न भूिम के प8ा Rेणीकरण/वग\करण के परीWण और काया.(cid:8)व यन म 0 कुछ समय लगेगा। ((((iiiiiiiiiiii)))) इसिलए,,,, काडं ला भूिम क(cid:14) दर के संशोधन का (cid:20)*त ाव दायर करने म0 कुछ समय लगेगा। 3333....2222.... उX त ि*थित के अनुसार,,,, डीपीटी ने इस (cid:20)ािधकरण को मौजूदा दर(cid:25) क(cid:14) वैधता को 6 महीने के िलए अथा.त् 30 जून,,,, 2019 तक या डीपीटी (cid:19)ारा दायर 1कये जाने वाल े (cid:20)शु!क (cid:20)*त ाव के आधार पर संशोिधत प8ा 1कराय(cid:25) क(cid:14) अिधसूचना के (cid:20)भाव क(cid:14) तारीख जो भी पहले हो,,,, तक 2% वृिS के साथ,,,, िव*त ार करने का अनरु ोध 1कया ह ै। 3333....3333.... उX त ि*थित म,,0,, और 1क काडं ला भूिम क(cid:14) ‘‘‘‘ए’’’’ से जी’’’’ Rेणी क(cid:14) दर संरचना क(cid:14) वैधता 31 1दसंबर 2018 को समाa त हो गई ह ै को दखे ते (cid:30)ए यह (cid:20)ािधकरण कांडला भूिम क(cid:14) ‘‘‘‘ए से जी’’’’ Rेणी क(cid:14) मौजूदा दर(cid:25) क(cid:14) वैधता को 6 महीने के िलए अथा.त् 30 जून,,,, 2019 तक या डीपीटी (cid:19)ारा दायर 1कये जाने वाले (cid:20)शु!क (cid:20)* ताव के आधार पर संशोिधत प8ा 1कराय(cid:25) क(cid:14) अिधसूचना के (cid:20)भाव क(cid:14) तारीख जो भी पहले हो,,,, िव*त ार करता ह,,,,ै जैसा डीपीटी ने चाहा ह ै।¹Hkkx IIIµ[k.M 4º Hkkjr dk jkti=k % vlk/kj.k 3 4.1. सरकार (cid:19)ारा जारी भ-ू नीित 1दशािनदशd 2014 (िजसके आधार पर डीपीटी क(cid:14) कांडला भूिमय(cid:25) क(cid:14) ‘ए से जी’ Rेिणय(cid:25) क(cid:14) दर संरचना नवबं र, 2014 म0 िनधा2. रत 1कये गए थे) अनबु S करते ह ^1क इस (cid:20)ािधकरण (cid:19)ारा अनुमो1दत प8ा 1कराय े तब तक 2% (cid:20)ित वष. क(cid:14) वृिS के साथ ह(cid:25)ग े जब तक इस (cid:20)ािधकरण (cid:19)ारा संशोधन नहe कर 1दया जाता। इस (cid:20)िधकरण (cid:19)ारा नवंबर 2014 म0 अनुमो1दत आदेश म0 भी इस सबं ंध म0 यह शत . िविशKट ‘प से दी गई ह।ै यह एमओएस (cid:19)ारा जारी संशोिधत भ-ू नीित 1दशािनदशd 2014 म0 भी दी गई ह।ै चूं1क वत.मान दर सरं चना का जब तक इस (cid:20)ािधकरण (cid:19)ारा संशोिधत नहe कर 1दया जाता तब तक और सरकार (cid:19)ारा जारी 1दशािनदशd (cid:25) के अनुसार 2% क(cid:14) वाfषक वृिS जारी रहगे ी और 2% वाfषक वृिS डीपीटी के ‘ए से जी’ Rेिणय(cid:25) के िलए कांडला भूिम क(cid:14) दर सरं चना म0 िव*त ा2रत वैधता अविध म0 भी लागू रहगे ी । 4444....2222.... तथािप,,,, इस सबं ंध म0 यह भी नोट 1कया जाये 1क वत.मान प2रदgृ य म0 िनवा.त से बचने के िलए 2%%%% क(cid:14) वाfषक वृिS के साथ वत.मान प8ा 1कराय(cid:25) का िव*त ार एक अंत2रम Aय व*थ ा ह।ै इस संबंध म0 डीपीटी (cid:19)ारा दायर 1कय े जान े वाले (cid:20)*त ाव के आधार पर ‘‘‘‘ए से जी’’’’ Rेणी के िलए काडं ला भूिम के िलए िनधा.2रत 1कये जाने वाले प8ा 1कराय(cid:25) को पवू .A यापी (cid:20)भाव दने ा पड़गे ा,,,, जैसा डीपीटी ने अनुरोध 1कया ह ै। 5. प2रणाम म0, और ऊपर 1दय े गए कारण(cid:25) स े यह (cid:20)ािधकरण काडं ला भूिम क(cid:14) ‘ए स े जी’ Rेणी क(cid:14) मौजूदा दर(cid:25) क(cid:14) वैधता को 6 महीने के िलए अथा.त् 30 जून, 2019 तक या डीपीटी (cid:19)ारा दायर 1कये जाने वाले (cid:20)शु!क (cid:20)*त ाव के आधार पर संशोिधत प8ा 1कराय(cid:25) क(cid:14) अिधसूचना के (cid:20)भाव क(cid:14) तारीख जो भी पहले हो, िव*त ार करता ह ै।।।। टी.एस. बालसiु मिनयन, सद* य (िव(cid:5)) [िवjापन-III/4/असा./90/19] TARIFF AUTHORITY FOR MAJOR PORTS NOTIFICATION Mumbai, the 8th May, 2019 No. TAMP/24/2014-KPT.—In exercise of the powers conferred by Section 49 of the Major Port Trusts Act, 1963 (38 of 1963), the Tariff Authority for Major Ports hereby extends the validity of rate structure of Kandla land of Deendayal Port Trust as in the Order appended hereto. TARIFF AUTHORITY FOR MAJOR PORTS Case No.TAMP/24/2014-KPT Deendayal Port Trust - - - Applicant QUORUM (i) Shri. T.S. Balasubramanian, Member (Finance) (ii) Shri. Rajat Sachar, Member (Economic) ORDER (Passed on this 29th day of March 2019) This case relates to a proposal filed by Deendayal Port Trust (DPT) for extension of the validity of the rate structure for Kandla lands of DPT.4 THE GAZETTE OF INDIA : EXTRAORDINARY [PART III—SEC. 4] 2. The lease rental for the Kandla lands of DPT was last revised by this Authority vide Order No.TAMP/24/2014-KPT dated 13 November 2014. The lease rental revised by this Authority was given retrospective effect from 1 January 2014 and validity was prescribed for a period of five years, i.e. up to 31 December 2018. The DPT was requested vide our letter dated 05 November 2018 to expedite filing of its proposal for revision of rentals of DPT land to avoid delay in notification of rates. 3.1. In this backdrop, the DPT, vide its letter dated 15 February 2019 has responded. The response of the DPT brings out the following points: (i) The issues related to rates and categorization of land into categories ‘A’, ‘F1’, ‘F2’. ‘G1’ ‘G2”, exorbitant increase in lease rentals of existing lessees with effect from 01 January 2014 etc. was studied by a Committee deputed by the Indian Ports Association (IPA). The final Report of the Committee is awaited. (ii) The MOS vide letter No.PD-25021/11/2015-VOCT dated 16 October 2018 issued clarification circular (Land Management) No.1 of 2018 on classification / categorization of Port Land as per National Industrial Classification (NIC), 2008 and informed that it has been brought to the notice of the MOS that the present classification on the port lands and the fixation of SOR thereof is not uniform within and across the major ports leading to complications and disputes. This impacts the realization of revenue for the ports. The matter has been examined in the MOS and it has been decided that for the purpose of lease, classification / categorization of Port Land needs to be done as per NIC, 2008. Accordingly, the MOS, has requested all Major Ports to take action accordingly. In view of the above clarifications received from the MOS, the examination and implementation the lease classification / categorization of Port Land as per NIC, 2008 shall take more time. (iii) Therefore, filing of proposal for revision of rate of Kandla land will take some time. 3.2. Bringing out the above position, the DPT has requested this Authority to extend the validity of existing rates for 6 months i.e. till 30 June 2019 or till the date of effect of notification of revised lease rentals based on tariff proposal to be filed by DPT, whichever is earlier, with 2% escalation. 3.3. In view of the position brought out above, and since the validity of the rate structure for Kandla lands for categories ‘A to G’ has expired on 31 December 2018, this Authority extends the validity of the existing rate structure of the Kandla lands for categories ‘A to G’ from the date of its expiry till 30 June 2019 or till the date of effect of notification of the revised lease rentals based on the tariff proposal to be filed by the DPT, whichever is earlier as sought by DPT. 4.1. The Land Policy Guidelines of 2014 issued by the Government (based on which the rate structure for Kandla lands for categories ‘A to G’ of DPT has been fixed in November 2014) stipulates that the lease rentals approved by this Authority shall be escalated by 2% per annum till they are revised by this Authority. The Order approved by this Authority in November 2014 also prescribes a specific condition in this regard. This condition also prevails in the amended Land Policy Guidelines, 2014 issued by the MOS. Since the existing Rate structure already prescribes annual escalation @ 2% in the lease rentals till such time the rates are revised by the Authority and in line with the guidelines issued by the Government, the annual escalation @ 2% will continue to apply during the extended validity period of the rate structure for Kandla lands for categories ‘A to G’ of DPT. 4.2. However, it is to be noted in this regard that the extension of the existing lease rentals with an annual escalation of 2% is only a provisional arrangement to avoid a vacuum in the current scenario. The lease rentals to be fixed for the Kandla lands for categories ‘A to G’ based on a proposal filed by the DPT in this regard will have to be given retrospective effect, as requested by the DPT. 5. In the result, and for the reasons given above, this Authority extends the validity of the existing rate structure for Kandla lands for categories ‘A to G’ of DPT from the date of its expiry till 30 June 2019 or date of effect of notification of the revised lease rentals based on the tariff proposal to be filed by the DPT, whichever is earlier. T.S. BALASUBRAMANIAN, Member (Finance) [ADVT.-III/4/Exty./90/19] Uploaded by Dte. of Printing at Government of India Press, Ring Road, Mayapuri, New Delhi-110064 and Published by the Controller of Publications, Delhi-110054.

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