THIRUVANANTHAPURAM: The State Government is inching towards getting financial assistance from HUDCO for the ambitious Vizhinjam international seaport project. If things pan out, HUDCO will provide assistance to the tune of Rs 500 crore for Phase I, officials of Vizhinjam International Seaport Ltd (VISL) said.On Wednesday, a team of officials from HUDCO visited the project site south of Vizhinjam and held talks with VISL officials. The HUDCO team consisted of Dr R K Singh (projects), Lalit Singla (finance) and V Thirumavalavan, head of the HUDCO Thiruvananthapuram office."The proposal for the Rs 500-crore assistance will be submitted to HUDCO head office by including additional project details,’’ VISL CEO AS Suresh Babu said. A final decision is expected at the HUDCO director board meeting this month-end.The HUDCO assistance will be used for the development of basic infrastructure for the seaport which is the responsibility of VISL. The previous LDF government had decided to develop the port on ‘landlord model,’ which the UDF Government decided to continue with.Phase I is estimated to cost Rs 4,010 crore. Out of this, the port operator (yet to be decided) will contribute Rs 970 crore. Raising the remaining Rs 3,040 crore is the state’s responsibility. Of the Rs 3,040 crore, Rs 1,130 is government share and Rs 1,910 crore will be raised through banks, financial firms and bonds. VISL hopes to get Rs 300 crore from LIC and Rs 810 crore through government bonds.The entire project, however, hinges upon the outcome of the Environment Impact Assessment (EIA), which is underway at the project site. This is expected to be completed by June-end.
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