Mumbai: Reliance Industries Ltd’s (RIL) faces heat as Maharashtra (MMB) has rejected logistics & ports arm’s move to get more time for its proposed Rewas Port project, which is at an hour’s sail from South Mumbai’s. Being a state subject, a final decision by the Maharashtra government is awaited. The government may take back the port from the private developer.
Reliance Logistics & Ports holds a controlling 55% stake in special purpose vehicle Rewas Port Ltd. It had moved an application to get ‘zero date’ for the port project, which was not approved by MMB in its Board meeting held this year. It is the date from which construction can commence for any infrastructure project to calculate the total number of years taken for construction as well as for year wise sharing of revenue.
Rewas Ports Ltd was created for the development, operation and management of the proposed port. Apart from Reliance, Amma Lines holds 24% in Rewas Port, MMB 11% and Jai Corporation 10%.
The application had come up for consideration during a recent MMB’s Board meeting, wherein it was rejected.
Minutes of the Board meeting shows that an extension was given to Rewas Port for getting a ‘zero date’, which got expired on September 30, 2018.
The minutes state that no extension is to be provided to the company. “Every year they ask for an extension. This time again, they had moved an application which we refused,” said a state official.
