Government here on Friday unanimously decided to invite fresh global tenders for the proposed Vizhinjam International Transhipment Project.

This is in view of the refusal of the Central Government to give political clearance for an earlier bid won by a consortium led by a Chinese company.

Chief Minister V.S. Achuthanandan told journalists after the conference that fresh tenders would be invited as early as possible. The Government would, meanwhile, initiate steps for development of the basic infrastructure needed for the project.

The Chief Minister said that Rs.80 crore would be needed for the infrastructure, which would be funded by the Government. The Government is on the look out for suitable agencies with sufficient finances to undertake the work.

Mr. Achuthanandan had earlier led an all-party delegation to the Centre seeking clearance for the contract. Though Prime Minister Manmohan Singh had promised to look into the matter, he subsequently conveyed to the State Government that the Centre could not give clearance for the contract in view of security considerations.

Law Minister M. Vijayakumar told the media that the ruling and Opposition parties were of the unanimous view that there should not be further delays in taking up the project. Besides, the project should be undertaken in a transparent manner.

The Minister said that works for railway and road connectivity and power and water supply would be taken up immediately. There was a budget provision of Rs.10 crore for starting the works during this financial year itself.

Mr. Vijayakumar said the State Government would not have to bear the costs for providing the infrastructure as the project could get viability gap funding from the Centre. Fresh tenders would be called in consultation with the Centre, as Chinese companies would have to be excluded from the bidding process. A Central policy or law was needed for such exclusion.

Asked about Tamil Nadu's move for a port at Kulachal, the Minister said that other ports could come up elsewhere. However, there was no alternative to Vizhinjam which had unique advantages.

Deputy leader of the Congress Legislature Party G. Karthikeyan said that none was against other States setting up ports. However, all wanted the Vizhinjam port to be completed in a transparent manner. Leader of the Opposition Oommen Chandy, Left Democratic Front convener Vaikom Viswan, Ministers and other leaders attended.

Source: The Hindu 16-12-06