The integrated LPG import facility of the public sector Indian Oil Corporation on the land allotted by Kochi Port is scheduled to be commissioned by 2016-17.

The Rs 600-crore import facility at nearby Puthuvypeen will have the capacity to handle 0.6 million tonnes per annum to meet the requirements of Kerala and the neighbouring States, A. Pandian, General Manager, IOC (Kerala and Lakshadweep), said.  

Besides, the company has also received approval for a 400-km cross-country LPG pipeline from the import terminal to the BPCL Kochi refinery and to Salem via Coimbatore.

This would be a joint venture initiative with BPCL and work on the Rs 500-crore project is expected to commence by the year-end, he said during an interaction with the Ernakulam Press Club.

With the completion of these two projects, he expressed the hope that there would be significant reduction in the road movement of bulk LPG in Kerala. The nearest LPG import facility is located at Mangalore and, hence, LPG is sourced from there to meet the requirement of consumers in Kerala.

The average requirement of domestic, commercial and industrial LPG in the State is 673 TMT (thousand metric tonnes) annually or 56 TMT a month. Against this requirement, the BPCL-Kochi Refinery currently produces 467 TMT per annum (39 TMT per month). This leaves a shortfall of 206 TMT, which the oil marketing companies will source from other States.

IOC is also enhancing the capacity in bottling plants, augmenting storage facilities with an investment of Rs 100 crore. It had also approached the Kerala Government to allot suitable land for the construction of the depot.

Expressing concern over the under-utilisation of the LNG Terminal where IOC is a stakeholder, he sought the assistance of the Kerala and Tamil Nadu Governments for fast completion of pipeline-laying by GAIL through these two States.

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