The Union Cabinet has approved the incorporation of Sagarmala Development Company (SDC) to give a push to port-led economic development under ambitious Sagarmala project.
SDC will be incorporated under the Companies Act, 2013, with an initial authorized share capital of 1,000 crore rupees and a subscribed share capital of 90 Crore rupees.
About Sagarmala Development Company (SDC)
SDC will be under the administrative control of the Union Ministry of Shipping.
It will provide equity support to the project Special Purpose Vehicles (SPVs) and funding support to the residual projects under the Sagarmala Programme.
Implementation of the identified projects will be taken up mainly through private or PPP mode.
It will also provide equity support for the project Special Purpose Vehicles (SPVs). SDC will mainly identify port-led development projects and assist the project SPVs in project development and structuring activities, bidding out projects for private sector participation.
It will also put in place suitable risk management measures for strategic projects cutting across multiple States and Regions and obtaining requisite approvals and clearances.
SDC will also undertake the preparation of the detailed master plans for the Coastal Economic Zones (CEZs) identified as part of the NPP (National Perspective Plan).
SDC will provide a holistic framework for ensuring the integrated development of Indian maritime sector.
It will also manage the coastal community development scheme and fund coastal community development projects identified under the Sagarmala Programme.
SDC will raise long term capital as per project requirements by leveraging resources provided by Union Government and also from multi-lateral and bilateral funding agencies.
About Sagarmala Project
Union Government had launched Sagarmala Project with a view to achieve the broad objective of promoting port-led economic development in India.
The ambitious Project seeks to harness vast potential of India’s 7,500 km long coastline, 14,500 km of potentially navigable waterways, and strategic location on key international maritime trade routes.
As part of it, a NPP for the comprehensive development of the coastline and maritime sector was prepared.
The NPP has identified more than 150 projects across the areas Port Connectivity Enhancement, of Port Modernization & New Port Development, Port-led Industrialization and Coastal Community Development.
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