Captive Ports are developed by companies, who set up industries that require port facilities. These ports are operated on Build, Own and Operate (BOO) system. The companies which require captive port facilities, need to apply to Tamil Nadu Maritime Board seeking anIn-principle approval to establish the captive ports. Application should contain details of the profile of the company, approval, if any from Government /statutory authority for establishing the port based industry, justification for the captive use of the port, related experience of the company in the captive industry, financial performance of the company for the last three years, probable port location, the proposed activity using the port and the proposed investment.

Once the In-principle approval is given, the company will be expected to prepare the Techno Economic Feasibility Report (TEFR) within 120 days, which should contain the Bathymetry Survey and report, Environment aspects as per MOEF guidelines, covering nearby water bodies, estuaries, heritage or Archeological sites, eco sensitive areas, lighthouse etc., identifying port limits, identifying the coastal habitation lying within the port limits, identifying the layout of the proposed port facilities, water front requirement with proper justification. Upon receipt of the TEFR, the Board will analyse the details and after its approval, send the proposal to Government for notifying the port limits.

Upon notification ofthe port limits, Coastal Government land within the port limits will be allotted to the company on a 30 years lease and the company thereafter will be permitted to undertake necessary site investigations required for preparing the Detailed Project Report (DPR) containing Topographic Survey, Soil investigation, Shallow Seismic survey, Seabed investigations by side scan survey, Feasibility Study on Lighterage operation (if required), Wave Transformation Study, Wave Tranquility Study, Shoreline Evaluation, Dredging and disposal of dredged materials, Studies on sea water intake and outfall (if required), EIA and EMP, along with the consent to establish from TNPCB, approval from MOEF, New Delhi, etc., Design of breakwater, Mathematical model study of the Harbour basin, channel alignment etc., Rough Project cost,while at the same time, applying to MOEF, New Delhi for grant of clearance.

The company is expected to achieve financial closure for the project within one year of port limits notification and commence port construction activities within three months from the date the Board approves the Detailed Project Report and commission the project within 3 years from the date of commencement of port construction activities.