Kerala extends Adani’s Vizhinjam Port timeline to 2028, shortening project completion by 17 years under a revised agreement.
The Kerala cabinet has approved a supplementary concession agreement with Adani Vizhinjam Port Private Limited, advancing the completion timeline of the Vizhinjam International Port. Initially set for 2045, the second and final phase will now be completed by 2028, accounting for delays caused by COVID-19 and natural calamities such as Cyclone Ockhi and floods.
Under the revised deal, Adani Ports will invest ₹10,000 crore over the next four years, ensuring the port achieves a minimum capacity of 30 lakh TEUs upon completion. While the state initially sought a₹219 crore fine for delays, the concessionaire will now pay ₹43.8 crore, deferring the balance until 2028. If the project fails to meet the 2028 deadline, the five-year extension will be revoked, and penalties will be enforced.
The agreement, ratified after consultations with the Law Department and Advocate General, follows the withdrawal of arbitration proceedings. This marks a significant step in expediting Kerala’s strategic port project while holding parties accountable for delays.
In other cabinet decisions, the Justice C. N. Ramachandran Nair Commission has been directed to deliver a resolution on the Munambam ownership dispute within three months. Additionally, the state will provide dredged soil from Vembanad Lake to the National Highways Authority free of charge to support National Highway 66’s development.
Further, the government approved financial aid initiatives for families affected by the Nattika road disaster and allocated a monthly ₹500 travel stipend for members of Community Development Societies.
