Why in the News?

The Indian Ports Act, 2025 enacted in August, repealing the age-old Indian Ports Act of 1908 seeks to establish a more modern legal and institutional framework for India’s port sector.

About Indian Ports Act, 2025:

• Overview: Enacted in August 2025, replacing the Indian Ports Act of 1908 to modernize India’s port governance.
• Aim: To integrate port law, tariff regulation, safety, environmental standards, and Centre–State cooperation into one comprehensive legal framework.
• Vision: Aligns with broader maritime reforms alongside the Merchant Shipping Act, 2025 and Carriage of Goods by Sea Act, 2025.
• Seeks to position India’s port sector for global competitiveness through transparency, sustainability, and efficient regulation.

Key Features:

• Maritime State Development Council (MSDC): Becomes a statutory consultative body to coordinate between Centre and States, advise on national port strategy, tariff transparency, data standards, and connectivity planning.
• State Maritime Boards: Each coastal state must establish or recognize a board within 6 months to regulate non-major ports, manage licensing, tariffs, development, safety, and environmental compliance.
• Tariff Setting:
  • Major Ports: Tariffs fixed by Port Authority Boards or Boards of Directors.
  • Non-Major Ports: Tariffs fixed by State Maritime Boards or concessionaires.
  • All tariffs must be electronically published for transparency.
• Dispute Resolution: States must create Dispute Resolution Committees; appeals go directly to High Courts. Arbitration and ADR allowed.
• Environmental Norms: Mandates waste management, pollution control, disaster preparedness, ballast water restrictions, and penalties for violations.
• Applicability: Covers all existing and future ports, navigable channels, and vessels within port limits, except those serving armed forces, Coast Guard, or customs.

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