New Regulations to Boost Private Investment in Waterways

On 28th February 2025, the Ministry of Ports, Shipping and Waterways (MoPSW) introduced the National Waterways (Construction of Jetties/Terminals) Regulations, 2025, to streamline inland waterway terminal development and attract private investment.

Key Points

Regulatory Framework for Terminals: The new regulations, formulated by the Inland Waterways Authority of India (IWAI), establish a structured approval process for private entities to develop and operate inland waterway terminals.
No Objection Certificate Requirement: All entities, including private developers, must obtain a No Objection Certificate (NoC) from IWAI to construct or operate terminals, covering both permanent and temporary installations.
Operational Terms for Terminals: Permanent terminals can operate indefinitely, while temporary terminals will be granted an initial five-year operational period with extension options.
Developer Responsibilities: Terminal developers will be responsible for the technical design, construction, and ensuring adequate accessibility in alignment with their business plans.
Digitized Application Process: IWAI has launched an online platform to simplify the approval process, encouraging participation from private, public, and joint venture entities.
Rising Cargo Movement: Cargo traffic on national waterways surged from 18 million tonnes to 133 million tonnes in 2023-24, highlighting the growing role of inland water transport.
Jalvahak Scheme Integration: The newly launched scheme aims to shift 17% of cargo transport to waterways, further incentivizing private sector participation and enhancing infrastructure development.