The Karnataka government has given its approval to JSW Infrastructure, a subsidiary of JSW Steel, to develop and operate the Keni port in Uttara Kannada district for Rs 4,119 crore. The port will have a capacity of 30 million tonnes per annum (MTPA) and will cater to the export and import needs of the steel industry in the state.
The port will also benefit the steel industry in the state, especially JSW Steel, which has a steel plant in Ballari district with a capacity of 12 MTPA. The port will enable the company to import raw materials, such as iron ore and coal, and export finished products, such as steel and pellets, at a lower cost and faster time.
The port development project will be executed on a build-own-operate-share-transfer (BOOST) basis, with a concession period of 50 years. The state government will receive a revenue share of 1.5% of the gross revenue for the first 10 years, 2% for the next 10 years, and 2.5% for the remaining 30 years.
The port will be developed in two phases, with the first phase having a capacity of 10 MTPA and the second phase having a capacity of 20 MTPA. The port will have facilities for handling bulk cargo, containers, liquid cargo, and coastal cargo. The port will also have a dedicated railway line connecting it to the nearest railway station at Ankola.
The port development project is expected to generate employment opportunities for the local people and boost the economic development of the region. The port will also reduce the congestion and pollution at the existing ports in the state, such as Mangaluru and Karwar.