The Hindu Business Line : Kolkata Port Trust looks to boost revenue from land

The port authorities feel that even if a part of the huge amount of rent that is locked in dispute could be recovered, the resources crunch facing them will not be there.

Kolkata, Sept. 13

THE Kolkata Port Trust (KoPT) has succeeded in boosting its income from land through various measures. Till two years ago, cash collection from land was on an average Rs 1.5 crore a month, or roughly Rs 18 crore a year. In 2004-05, the figure jumped to Rs 55 crore; it is expected to rise further to Rs 75-80 crore in the current fiscal, according to KoPT Chairman, Dr A.K. Chanda.

KoPT has over 1,700 acres of land in and around the city, of which an estimated 1,600 acres have already been leased out to various companies and organisations. But not all of these organisations pay rent to the port regularly. In many cases, the issue of rent payment is locked in disputes, dragging on for years. As per law, the demand for rent cannot be raised on the cases under dispute.

Taking the cue from Mumbai Port Trust, KoPT therefore has started raising compensation claims on these cases. About 150 such claims so far have been made, which are roughly 10 per cent of the total number of cases considered eligible for making payments under such claims. Again, a meagre 10 per cent of those on whom the claims have been raised have so far come forward for payments.

The port authorities feel that even if a part of the huge amount of rent that is locked in dispute could be recovered, the resources crunch facing them will not be there.

The port will not have to worry about the payment of pensions whose burden comes to about Rs 200 crore annually.

But then collecting information on the compensation claim cases, some of them are even half a century old, is not an easy job. One of the important steps therefore being taken in this regard is the computerisation of the data, dating back to the sixties and even earlier. The job is painstaking.

Also, henceforth the rent will be collected through 12 designated branches of State Bank of India.

Several hundred acres of land are also locked in a number of sick and closed units situated on the port lands. Freeing these lands from the clutches of these units is extremely difficult as the process is tardy and cumbersome.

Vacant land: As for the utilisation of land still lying vacant, the KoPT Chairman said the total 150 acres were not available in one lot but spread over several small pockets in various places. Anybody interested in these lands could approach port authorities, which would be required to follow the guidelines laid down by the Government in matter of leasing of lands.

Some relaxation was possible only in respect of public sector companies. Earlier, the process of renewal of land lease was difficult and "impractical". Not any more. Now the lease is given initially for 15 years, which is renewable for another 15 years subject to certain conditions.

Meanwhile, KoPT will acquire about 2,500 acres of land at Jellingham, located near Haldia dock, to develop a shore disposal yard. Huge quantities of silt being dredged from the Hooghly river will be dumped on this yard thus abandoning the present system of dumping in the river.

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