(Published in Part – III Section 4 of the Gazette of India, Extraordinary)

Tariff Authority for Major Ports

Notification

No.TAMP/23/2000-NMPT             -             In exercise of the powers conferred by Section 48 of the Major Port Trusts Act, 1963 (38 of 1963), the Tariff Authority for Major Ports hereby fixes the wharfage charges on iron ore exported by the Kudremukh Iron Ore Company Limited (KIOCL) from the New Mangalore Port Trust during the year 1998-99, as in the Order appended hereto.

SCHEDULE

Case No. TAMP/23/2000-NMPT

The New Mangalore Port Trust (NMPT)                       …                     Applicant

O R D E R

( Passed on this 10th day of April 2000 )

                        This case relates to a proposal received from the New Mangalore Port Trust (NMPT) for retrospective fixation of final wharfage on iron ore exported by the Kudremukh Iron Ore Company Limited (KIOCL) through the NMPT  during the year 1998-99.

2.                      The NMPT has stated that the wharfage rate for the iron ore exported by the KIOCL through the NMPT is calculated with reference to actual expenditure incurred during the year concerned.  The methodology of fixation of wharfage rates in respect of the KIOCL ore is in accordance with the decision taken in the Inter-Secretarial meeting between the Secretary (MOST) and the Secretary (Steel) held on 27 May 1992.

3.                      The NMPT has stated that the wharfage rate for 1998-99 has been worked out taking into consideration the sharing of certain elements of expenditure among MRPL, KIOCL and NMPT as per the bilateral agreements.  The sharing of maintenance dredging expenditure is tentatively apportioned among these three parties on the basis of quantity of traffic handled by each of the parties for the year 1998-99.  The final rate for the year 1998-99 has been worked out based on the actuals, and has been fixed at Rs.32.49 PMT.

4.                      The Board of Trustees of the NMPT has approved the wharfage rate of Rs.32.49 PMT for the year 1998-99 in its meeting held on 28 January 2000.  The NMPT has further mentioned that the calculation has been further checked by the KIOCL; and, after verification of records the KIOCL has confirmed the rate in writing and has settled the dues.

5.                      The proposal of the NMPT to fix the wharfage on iron ore exported by the KIOCL through the NMPT for the year 1998-99 @ Rs.32.49 PMT is a case of retrospective approval of rates.  However, there is no difference of opinion between the Port and the user in arriving at an agreed rate.    The Authority had earlier approved the wharfage rate in respect of iron ore exported by the KIOCL through the NMPT for the years 1995-96, 1996-97 and 1997-98 on the same analogy.   The approved rate of wharfage on Kudremukh iron ore was Rs.27.53 PMT for the year 1997-98.

6.                      With reference to the totality of the information collected during the processing of this case, and based on a collective application of mind, the Authority approves the proposal of the NMPT for fixation of wharfage rate for iron ore exported by the KIOCL during the year 1998-99 from New Mangalore Port @ Rs.32.49 PMT.                        

S.Sathyam, Chairman