Nitin Gadkari inaugurated Sagarmala Development Company in New Delhi
The Sagarmala Development Company is an important milestone in the implementation of Sagarmala Programme of the Union Government.
Union Minister of Shipping and Road Transport and Highways Nitin Gadkari on 26 December 2016 inaugurated Sagarmala Development Company (SDC) in New Delhi.
The incorporation of Sagarmala Development Company is a part of the ambitious Sagarmala Programme of the Union Government.
The programme aims to harness India’s 7,500 km long coastline, 14,500 km of potentially navigable waterways and strategic location on key international maritime trade routes.
About Sagarmala Development Company
• The main objective of the company is to identify port-led development projects under the Sagarmala Programme.
• It would also aim to increase the scope of private sector participation in project development.
• The company provides equity support for the Special Purpose Vehicles (SPVs) set up by the ports, state, central ministries.
• The company would help in structuring activities and bidding out projects for private sector participation.
• More importantly, the SDC will identify suitable risk management strategies for strategic projects across multiple regions.
• The implementation of the identified projects would be taken up by the relevant ports, state governments, maritime boards, central ministries, through private or public-private partnership mode.
• The Company would act as the nodal agency for coordination and monitoring of all the currently identified projects under the Sagarmala Programme.
• It would also undertake the preparation of the detailed master plans for the Coastal Economic Zones (CEZs) identified as part of the National Perspective Plan (NPP).
• SDC would be raising funds as long-term capital by leveraging resources provided by the Union Government and from multi-lateral and bilateral funding agencies.
• The union cabinet had approved the formation of the SDC under the administrative control of the Ministry of Shipping in July 2016.
• The Sagarmala Development Company (SDC) has been incorporated under the Companies Act, 2013.
• The SDC has an initial authorised share capital of Rs 1,000 crore and a subscribed share capital of Rs. 90 crore.