Lok Sabha Question No. 3997 (UNSTARRED), answered on 2019-12-12
Subject: Subsidy on Water Transport Vehicles
Ministry: SHIPPING
Asked by: Sukanta Majumdar, Raja Amareshwara Naik, Bhola Singh, Sangeeta Kumari Singh Deo

## GOVERNMENT OF INDIA MINISTRY OF SHIPPING

## LOK SABHA

## UNSTARRED  QUESTION  NO. 3997

TO BE ANSWERED  ON 12TI1 DECEMBER'  2019

## SUBSIDY ON WATER TRANSPORT  VEHICLES

3997. DR. SUKANTA  MAJUMDAR.

SHRI RAJA AMARESHWARA  NAIK:

SHRI BHOLA SINGH:

SHRIMATI  SANGEETA  KUMARI SINGH DEO:

Will the Minister of SHIPPING  be  pleased  to state' fi-dqfts6{!trr

- (a) whether the Government  has implemented to the  production sector  of water  transport thereof; any scheme for Providing  subsidY vehicles and if  so, the details
- (b) the eligibility  conditions  stipulated  for  getting this  subsidy;
- (c) whether  this subsidy  has been extended to the vehicles  where the owner and builder are the same and if so' the details  thereof'  and
- (d) whether  the Government  proposes  to amend  the scheme/guidelines so as to include  such vehicles  under  the scheme and if so' the details thereof  ?

## ANSWER

## MINISTERoFSTATE(INDEPENDENTCHARGE)FoRSHIPPING (SHRI MANSUKH MANDAVIYA)

(a) to (b) To  promote  shipbuilding  in lndian shipyards'  the Government  of lndia has on December  9, 2015 ,pp'ouJ rl"i' Shipbuilding  Financial  Assistance  policy for lndian shipyards  for shipbuilding  iontracts  signed during  a ten  year period' viz  2016-2026 ' Financiar  assistance  is being  granted to rndian Shipyards  equal to 20% of the lower of "Contract Price" or tne  "fair"piice" or actual  payments  received  of each  vessel built by them for a  period of at teast tO '"u" commencing  2016-17 '  This rate of 20% will be reduced  by 3% every *'""  V""' -ine guidelines  define  vessel as all types of floating craftsorStrUCturesbuiltundertheclassificationofoneoftheRecognizedorganizations but shall  exclude  the following  crafts:

1. Vessels built for lndian buyer or ship owner' which are less than 24 meters in length, except classed* jr"dgt"  of length of 10 m and  a bove(registered length/rulelengthasshownintheregistrycertificate/tonnage certificate).  Howuu"r.l  fo' export orders minimum  24 m length restriction  is not aPPlicable.
- Z. Vessels  made of wood irrespective  of their lengths'
3. Vessels built for defence  purposes or for use by Navy or Coast Guard'
4. 4.VesselsbuiltundercontractssecuredonnominationbasisfromtheCentralor StateGovernmentortheiragenciesexceptthosesecuredfromtheCentralor State Public Sector EnterPrises'

*classed  with one of the Recognized  organizations  (ROs) of the Gol and assigned with a Class notation as "Dredger  (of any type)"'

Only those vessels,  which are constructed  and delivered  within a period of three years from the date of contract, shall be eligible for availing financial  assistance under the policy. Provided that, in case of specialized  vessels, the competent  authority may  grant in  principte approval  for construction  and delivery  of such vessels  within a specific p"riod ur"n beyond  the aforesaid three years, but not exceeding six years' when the shipyardappliesforsuchapprovalforthevesselunderthepolicyguidelinesand thereafter  the delivery  period provided  for in this clause shall be such extended  period as permitted by the Competent Authority.

- (c) No, Sir.
- (d) There  is no such proposal under consideration.