Cabinet approves Rs 1,501.35 cr expenditure for KoPT

NEW DELHI: The Cabinet today approved Rs 1,501.35 crore expenditure for dredging of channel leading to Kolkata Port Trust (KoPT).

"The Union Cabinet today approved the proposal for extension of financial assistance to KoPT to meet the dredging expenditure incurred for maintenance of the river/channel," an official statement said.

According to the statement the decision will will help making transactions through the port commercially viable for the port users.

"The scheme of financial assistance to KoPT towards dredging will be continued for a total amount of Rs 1,501.35 crore for the period from 2012-13 to 2015-16, with effect from April 1, 2012. The extant policy for awarding the dredging work in other major ports will be followed in respect of the dredging work to be carried out in Kolkata Port," it added.

An 'on account' payment up to 90 per cent of the amount payable towards financial assistance during the previous year may be made to KoPT in the following years in equal quarterly installments based on audit certificate for the previous year, it added.