Assam Scraps Inland Water Transport Directorate; Private Companies to Take Lead in River Services

In a major institutional overhaul of the state’s river transport system, the Directorate of Inland Water Transport (IWT), Assam — the government department that managed ferry services and navigational operations across the Brahmaputra and other rivers — has been formally dissolved.

The decision marks a significant shift in how inland water transport will be administered and operated across the state, with greater private sector involvement now being facilitated under new statutory bodies.

New Institutional Framework Takes Shape:

The Assam government initially launched its vision to reform inland water transport in 2022, when it established Assam Inland Waterways Company Limited (AIWCL) and Assam Inland Water Transport Regulatory Authority (AIWTRA) as part of a broader structural revamp of the sector.

Under this framework:

AIWCL has been designated as the principal operating body responsible for managing ferry services, terminals, vessel operations, and promoting private partnerships.

AIWTRA serves as the regulatory authority, tasked with safety standards, licensing, economic regulation, and compliance oversight across the state’s waterways.

Together, these bodies are replacing the erstwhile directorate — a move aimed at modernising services, integrating private operators, enhancing safety, and promoting a commercially viable inland water transport ecosystem.

Gateway of Guwahati Terminal Under New Management

One of the flagship initiatives of the restructured river transport system is the Gateway of Guwahati Terminal — a modern riverine terminal on the Brahmaputra designed to serve as a multimodal transport hub and add a boost to tourism and connectivity. Constructed at an estimated cost of around ₹300–₹305 crore, this terminal was inaugurated in November 2025 by Union Finance Minister Nirmala Sitharaman and is equipped with passenger facilities, integrated control systems, advanced safety features, and utilities for all-weather operations.

The responsibility for managing and operating the Gateway Terminal — previously under direct government control — has now been handed over to ACC, reflecting a strategic shift towards private participation in ferry and terminal operations to boost efficiency and service quality. This aligns with AIWCL’s broader mandate to engage private sector partners in running inland water services.

Concerns Among Former Directorate Staff

The transition has stirred concerns among many employees who were formerly under the Directorate of IWT. With operational duties being transferred to corporate operators under AIWCL’s oversight, some career staff fear potential job losses, change in employment conditions, and uncertainty over future career paths. Union representatives and workers’ unions have reportedly sought clarity on job security, redeployment terms, and compensation packages as the restructuring progresses. (This concern is based on reports from affected staff; official government statements are awaited for confirmation.)

Strategic Vision for Assam’s Waterways

State and central government officials have framed these changes as part of a larger effort to modernise India’s inland waterways — increasingly seen as a cost-effective, eco-friendly alternative for passenger and cargo transport across the Northeast. Recent federal initiatives have underscored expanding cargo movement and multimodal integration across National Waterway-2 on the Brahmaputra, connecting Assam with markets in Bangladesh and beyond.

As Assam transitions into this new model of inland water transport management, the state government says it aims to balance economic efficiency, safety, commuter convenience, and long-term sustainability — even as communities and workers navigate the uncertainties of institutional change.

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