Daily News Analysis

National Waterway-57 (Kopili River)

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The National Waterway-57 (NW 57), running through the Kopili River in Assam, has been officially operationalised, marking a significant step in India’s development of Inland Water Transport (IWT). This addition brings the total number of operational National Waterways (NWs) in Assam to four, including the Brahmaputra (NW 2), Barak (NW 16), Dhansiri (NW 31), and now Kopili (NW 57). This development aligns with the Maritime India Vision 2030 and PM Gati Shakti, two key initiatives aimed at strengthening India’s logistics and maritime infrastructure.

Key Facts Related to Inland Waterways and Transport in India

Inland Waterways (IWT):

  • Definition: Inland waterways are navigable stretches of water, such as rivers, lakes, and canals, used for the transportation of goods and passengers, excluding sea routes.

  • Criteria for National Waterways: A waterway is considered "national" if it meets the following conditions:

    • Width: Minimum 45 meters wide.

    • Depth: A minimum depth of 1.5 meters.

    • Length: Continuous stretch of at least 50 km (except for urban areas).

Key Agencies:

  • Inland Waterways Authority of India (IWAI): Established in 1986, IWAI is the nodal agency responsible for developing and regulating IWT in India.

  • National Waterways Act, 2016: Declared 111 inland waterways as national waterways, expanding the scope of IWT.

Existing Infrastructure:

  • Despite having 14,500 km of navigable waterways, India’s current operational national waterways are limited, making up only about 3.5% of trade movement, significantly lower than other countries like China, Europe, and Bangladesh.

Growth of Inland Water Transport (IWT) in India

  • Operational National Waterways:

    • The number of operational National Waterways has grown from 3 in 2014-15 to 29 in 2024-25.

    • The total length of operational National Waterways expanded from 2,716 km in 2014-15 to 4,894 km in 2023-24.

  • Cargo Traffic:

    • Cargo traffic via IWT surged from 18.07 million metric tonnes (MMT) in 2013-14 to 133 MMT in 2023-24, a compound annual growth rate (CAGR) of 22.10%.

  • Projections for the Future:

    • By 2030, the Inland Waterways Authority aims to increase freight share from 2% to 5% of India’s total cargo traffic, targeting 200+ MMT of cargo movement.

    • By 2047, as part of Maritime Amrit Kaal Vision, India aims to move 500+ MMT of cargo via inland waterways.

How Inland Waterways Contribute to India’s Maritime Vision 2030

  1. Eco-friendly Transport:

    • IWT is environmentally sustainable, emitting only 32-36 g of CO₂ per ton-km, significantly lower than road transport (51-91 g CO₂ per ton-km).

    • This supports India’s Panchamrit climate goals, which focus on reducing carbon emissions and enhancing sustainability.

  2. Cost-effective and Fuel-efficient:

    • IWT is the most cost-effective mode of transport, costing just Rs 0.25-0.30 per ton-km, far cheaper than rail (Rs 1.0) and road (Rs 1.5).

    • Fuel efficiency: IWT moves 105 ton-km per litre, compared to 85 ton-km by rail and 24 ton-km by road.

  3. Logistics and Economic Benefits:

    • Reducing logistics costs: IWT can help reduce India’s logistics costs from 14% of GDP to 9%, saving up to USD 50 billion annually.

    • Global competitiveness: The reduction in logistics costs will support India’s goal of becoming a top 25 logistics performer by 2030.

  4. Strategic Connectivity:

    • IWT enhances connectivity to remote and eco-sensitive regions like the Northeast and the Sundarbans, ensuring last-mile access.

    • It also supports national security and disaster resilience, facilitating the movement of goods and personnel during emergencies.

Key Challenges in Unlocking the Full Potential of IWT

  1. Seasonal Navigability:

    • Many Indian rivers are non-perennial, with significant depth fluctuations during the dry season, limiting year-round navigation.

  2. Infrastructure Gaps:

    • National Waterways often lack essential infrastructure, such as jetties, terminals, and navigational aids, which affect the efficient functioning of IWT.

  3. Underutilisation of Waterways:

    • Despite having a vast network of navigable rivers, India uses only about 3.5% of trade via waterways, compared to 47% in China and 40% in Europe.

  4. High Siltation & Environmental Concerns:

    • Frequent siltation requires costly dredging, which is necessary to maintain navigability, but it also causes environmental damage to aquatic ecosystems.

  5. Limited Multimodal Integration:

    • There is inadequate integration between IWT and other transport modes, such as rail and road, leading to inefficiencies in the overall logistics network.

Key Initiatives to Boost Inland Waterways

  1. Jalvahak-Cargo Promotion Scheme (2024):

    • Aimed at incentivising the shift from road/rail to IWT by reimbursing 35% of operational costs for cargo owners.

  2. Extension of Tonnage Tax:

    • The Union Budget 2025–26 proposed an extension of the tonnage tax to encourage private investment in IWT.

  3. Multi-modal Terminals:

    • Efforts are underway to integrate ports and terminals with IWT to streamline cargo handling between different transport modes.

  4. Digitisation & Centralised Database:

    • A unified digital portal will enhance transparency, planning, and ease of doing business in IWT by centralising vessel and crew registration.

  5. Infrastructure Development:

    • Continued focus on enhancing infrastructure, including dredging, terminal development, and the integration of inland waterways with rail, road, and coastal networks under initiatives like PM Gati Shakti and Sagarmala.

Measures to Improve IWT in India

  1. Integrated and Sustainable Infrastructure:

    • A focus on multimodal connectivity and eco-friendly navigation to enhance sustainable growth of IWT under PM Gati Shakti.

  2. Private Participation & Financial Incentives:

    • Encouraging PPP models for terminal development, vessel manufacturing, and cargo handling, alongside tax incentives and financial support.

  3. Reviving Dormant Waterways:

    • Reviving dormant waterways in states like Bihar, Odisha, and West Bengal, using sustainable dredging techniques.

  4. Capacity Building & Community Development:

    • Investing in skilling the workforce in riverine areas and fostering sustainable livelihoods for local communities through Riverine Community Development Schemes.

  5. Boosting Cargo & Passenger Movement:

    • Expanding cruise tourism and incentivizing cargo movement on key national waterways, integrating IWT with industrial hubs such as PM MITRA Parks and Mega Food Parks.


 

Maritime India Vision 2030

The Maritime India Vision 2030 (MIV 2030) is a comprehensive ten-year blueprint for transforming India’s maritime sector. It was first introduced at the Maritime India Summit in November 2020 and is poised to supersede the Sagarmala Initiative. The vision aims to position India as a global maritime hub by enhancing port infrastructure, developing inland waterways, boosting the shipbuilding industry, and promoting cruise tourism.

Key Objectives of Maritime India Vision 2030

  1. Boost Waterways:

    • Develop and modernize both coastal and inland waterways to foster multimodal transport and reduce reliance on road and rail networks.

  2. Revive Shipbuilding Industry:

    • Strengthen the shipbuilding sector to position India as a leader in manufacturing vessels for both domestic and international markets.

  3. Encourage Cruise Tourism:

    • Promote cruise tourism along India’s coastlines, leveraging the growing global cruise tourism market.

  4. Enhance Port Infrastructure:

    • Expand port capacity and improve efficiency to accommodate the growing demand for goods transport, ensuring India’s ports remain competitive globally.

Policy Initiatives and Development Projects Under MIV 2030

  1. Maritime Development Fund (MDF):

    • A significant Rs. 25,000 crore fund has been established to provide low-cost, long-tenure financing for the maritime sector. The Central Government will contribute Rs. 2,500 crore over seven years, providing a strong financial support system for infrastructure projects, port expansion, and shipbuilding.

  2. Port Regulatory Authority:

    • A new Port Regulatory Authority will be created under the Indian Ports Act, replacing the outdated Indian Ports Act of 1908. This authority will oversee both major and non-major ports, ensuring a uniform regulatory framework to foster investor confidence and ensure better management, efficiency, and institutional coverage across India's ports.

  3. Eastern Waterways Connectivity Transport Grid Project:

    • A key initiative to enhance regional connectivity with neighboring countries such as Bangladesh, Nepal, Bhutan, and Myanmar. This project will focus on improving cross-border inland water transport (IWT) systems and creating a seamless logistics network across South Asia.

  4. Riverine Development Fund (RDF):

    • The RDF will support the inland vessel sector by providing low-cost, long-term financing. Additionally, it aims to extend the tonnage tax scheme (which applies to ocean-going ships and dredgers) to inland vessels. This would incentivize the growth of inland waterways transport by enhancing the availability and affordability of inland vessels.

  5. Rationalisation of Port Charges:

    • A major overhaul of the port charges system will make the fee structure more competitive and transparent. This will address hidden charges often levied by shipping lines, making port services more predictable, reducing operational costs, and attracting more investments into India’s port infrastructure.

  6. Promotion of Water Transport for Urban Areas:

    • One of the key goals is to decongest urban transport systems by developing water transport as an alternative mode of urban mobility. Cities with waterways, such as Kochi, Mumbai, and Kolkata, will see an expansion of water transport services like ferries and water taxis, reducing road congestion and enhancing mobility.

Conclusion

Inland Water Transport (IWT) is a cost-effective, eco-friendly, and fuel-efficient mode of cargo movement that can play a pivotal role in India’s logistics landscape. With concerted efforts to expand infrastructure, increase multimodal integration, and attract private investment, IWT will contribute significantly to India’s vision of becoming a global logistics leader by 2030. The development of National Waterway-57 (Kopili) in Assam is a key step towards this transformation, making India’s inland waterways an essential part of the country’s Maritime India Vision 2030


 

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