[Answered] Although the draft Indian Ports Bill of 2022 addresses many issues facing the Port sector, a few important challenges remain unaddressed. Discuss.
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Red Book

Introduction: Contextual introduction.
Body: Write how Indian Ports Bill of 2022 addresses many issues facing the Port sector. Also write some challenges that are unaddressed.
Conclusion: Write a way forward.

India has a 7,500 km long coastline, 14,500 km of potentially navigable waterways and a strategic location on key international maritime trade routes.  About 95% of India’s trade by volume and 65% by value are done through maritime transport facilitated by ports. Indian Ports Bill of 2022 seeks to repeal and replace the existing Indian Ports Act 1908.

Addresses many issues:

  • It empowers the Maritime State Development Council (MSDC) to formulate a national plan, for the development of major and non-major ports (Concurrent List) in India.
  • It provides for adjudicatory mechanisms for redressal of port-related disputes and establishes a national council for fostering structured growth and development of the port sector.
  • The redundant provisions of the Act have been deleted or replaced with contemporaneous provisions.
  • It ensures compliance with the country’s obligation under the maritime treaties and international instruments to which India is a party.
  • Promote integrated planning between States inter-se and Centre-States through a purely consultative and recommendatory framework.
  • Ensure prevention of pollution measures for all ports in India while incorporating India’s obligations under international treaties.
  • Outdated penalties in the Act have been updated with respect to amounts and offences relevant to present-day scenarios.

Challenges remain unaddressed:

  • It has retained the MSDC as a statutory-cum-permanent body.
  • It has also retained open-ended provisions like Section 10(c) that authorise the Central government to entrust any administrative and financial functions to the MSDC.
  • In order to ensure that the composition of the MSDC is in favour of the Centre, the draft Bill makes five Secretaries and one Joint Secretary to the Government of India, besides the administrators of the coastal UTs, as members.

Way forward:

  • The Centre should work towards greater decentralisation, deregulation, corporatisation and private sector participation.
  • Centre should give the concerned maritime States and city municipal corporations a substantial equity stake in corporatized major ports.
  • Like the Goods and Services Tax Council, the MSDC should consist only of the concerned Ministers of the Union and maritime States/UTs.

 

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