Date: 2015-03-13Category: Extra OrdinaryState: Union GovernmentCountry: India
The Tariff Authority for Major Ports hereby disposes of the proposal received from Kandla Port Trust (KPT) for general revision of its Scale of Rates, as in the Order appended hereto.
Executive Summary:
This notification addresses the proposal from Kandla Port Trust (KPT) for a general revision of its Scale of Rates (SOR). Due to the Ministry of Shipping's (MOS) new Tariff Policy of 2015, which came into effect on January 13, 2015, the Tariff Authority for Major Ports (TAMP) has decided to close KPT's original proposal filed on November 3, 2014. KPT is advised to submit a revised proposal in accordance with the new Tariff Policy of 2015.
Key Points / Main Content:
* **Background:**
* KPT submitted a proposal on September 2, 2014, for revision of its SOR.
* KPT’s existing SOR was approved on January 18, 2011.
* **New Tariff Policy:**
* The Ministry of Shipping issued a new Tariff Policy for Major Port Trusts in 2015, effective from January 13, 2015.
* The new policy's tariff fixation process differs significantly from the Tariff Guidelines of 2005.
* **Decision:**
* TAMP decided to close KPT's proposal dated November 3, 2014.
* TAMP will consider a revised proposal from KPT following the new Tariff Policy of 2015.
Impact Analysis:
Kandla Port Trust (KPT)
* Impact: KPT's initial proposal for SOR revision is closed and will not be processed under the old Tariff Guidelines of 2005.
* Action Required: KPT needs to file a revised proposal for SOR revision that aligns with the Ministry of Shipping’s new Tariff Policy of 2015.
Stakeholders/Users/User Organizations:
* Impact: The new Tariff policy impacts stakeholders of the Kandla Port Trust.
* Action Required: Stakeholders need to be aware of the new tariff policy's implications for future tariff adjustments at KPT.
Key Entities Referenced
Tariff Authority for Major Ports: The regulatory body responsible for setting tariffs for major ports in India.
Major Port Trusts Act, 1963: An Indian legislation governing the administration of major ports.
Kandla Port Trust: A major port trust in India, specifically mentioned in the context of a proposal for revision of its Scale of Rates.
Ministry of Shipping: The Indian government ministry responsible for ports and shipping.
New Policy for determination of Tariff for Major Port Trusts, 2015: A tariff policy issued by the Ministry of Shipping for major port trusts in India.
Tariff Guidelines of 2005: Previous guidelines used for tariff fixation, now superseded by the 2015 policy.
T. S. Balasubramanian: Member Finance of Tariff Authority for Major Ports
Mumbai, Maharashtra: Place where the notification was issued.
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TARIFF AUTHORITY FOR MAJOR PORTS
NOTIFICATION
Mumbai, the 4th March, 2015
No. TAMP/45/2014-KPT.—In exercise of the powers conferred by Sections 48, 49 and 50 of the
Major Port Trusts Act, 1963 (38 of 1963), the Tariff Authority for Major Ports hereby disposes of the proposal
received from Kandla Port Trust (KPT) for general revision of its Scale of Rates, as in the Order appended
hereto.
TARIFF AUTHORITY FOR MAJOR PORTS
Case No. TAMP/45/2014-KPT
Kandla Port Trust - - - Applicant
QUORUM
(i) Shri. T. S. Balasubramanian, Member (Finance)
(ii) Shri. C. B. Singh, Member (Economic)
ORDER
(Passed on this 13th day of February, 2015)
This case relates to the proposal received from the Kandla Port Trust (KPT) for general revision of its Scale of
Rates (SOR).
2. The existing SOR of the KPT was last approved by this Authority vide Order No. TAMP/61/2009-KPT
dated 18 January 2011 which was notified in the Gazette of India on 22 February 2011.
3. The KPT has filed its proposal for revision of its SOR vide its letter No. FA/COST/1021-R (2012-13)/509
dated 2 September 2014. The case was taken up for consultation with the relevant stakeholders. The comments received
from users/user organization were forwarded to the Port as feedback information. The joint hearing in the subject case
was to be scheduled.
4.1 In the meantime, the Ministry of Shipping (MOS), vide its letter No. 8(1)/2014-TAMP dated 13 January
2015 has issued the new “Policy for determination of Tariff for Major Port Trusts, 2015” which was notified in the
Gazette of India vide Gazette No. 30 dated 27 January 2015 by this Authority. The new “Policy for determination of
Tariff for Major Port Trusts, 2015” has come into effect from 13 January 2015.
4.2. The tariff fixation process envisaged in the new Tariff Policy of 2015 for Major Port Trust by MOS, is
significantly different from the tariff fixation method stipulated in the Tariff Guidelines of 2005. Hence, the proposal
filed by KPT under tariff guidelines of 2005 cannot be processed in its present form.
5. In view of the above position, this Authority based on collective application of mind decides to close the
proposal dated 3 November 2014 filed by KPT for general revision of its SOR. The KPT is advised to file a revised
proposal in accordance with the new Tariff policy of 2015 announced by the MOS. The proposal when received will be
processed following the new Tariff Policy, 2015.
T.S. BALASUBRAMANIAN, Member (Finance)
[ ADVT III/4/Exty./143/2014 (323)]
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