Naval vessels will be provided berthing facilities at the proposed Vizhinjam port.
The decision in this regard was taken at a high-level meeting chaired by the Union Defence Minister A K Antony at the Southern Naval Command, here on Saturday.
It has also been decided that the cost of setting up the facility will be jointly borne by the state government and the Indian Navy, sources said.
The Navy had requested 500 metres of berthing space for its ships at Vizhinjam. The government had already clarified that there was no issue if the Navy shared the cost of establishing the facilities.
The government also informed the Naval authorities that it would cost approximately `500 crore for establishing the berthing facilities at the port. The government had also placed an estimate of `498 crore before the Navy and the Defence Ministry.
Understanding the importance of having a base at a strategic location like Vizhinjam which is located just ten nautical miles from the international shipping routes, both the Indian Navy and the Coast Guard have evinced interest in setting up base at the port. The Navy sought 500 metres of berthing space and 25 acres of land while the Coast Guard is looking for 150 metres of quay space at the port.