BS-VI fuel transition to be smooth, most of the retail outlets already dispensing: Indian Oil Corporation

V Rishi Kumar Hyderabad | Updated on March 11, 2020

IOCL is directly transitioning to BS-VI from April 1, 2020   -  THE HINDU

To set up ₹611-crore storage terminal near Hyderabad


The transition from Bharat Stage-IV fuels to BS-VI will be smooth and already most of the retail outlets of Indian Oil Corporation Ltd are dispensing BS-VI fuels.

R Sravan S Rao, Executive Director & State Head, Telangana and Andhra Pradesh, said: “The country’s oil marketing companies have thus far invested about ₹28,000 crore in augmenting refining capacities and IOCL invested about ₹17,000 crore. The OMCs are ready to ensure smooth transition to BS-VI fuels.”

He said, “while BS-IV was implemented in 2017, we are directly transitioning to BS-VI from April 1, 2020, in order to adopt a more stringent standard for emission control at the earliest and minimise pollution levels for cleaner air.”

Allaying concerns of BS-IV vehicles, Rao said, “BS-VI fuels can be used in BS-IV engines as well.”

He said, through its channel partners, Indian Oil is marketing Diesel Exhaust Fluid (DEF), branded as ClearBlue. In the BS-VI era, all diesel vehicles would require DEF to control NOX (Nitrogen Oxides) emitted by them.

To facilitate diesel exhaust fluid plant capacity of 30,000 kilo litre per annum was commissioned at Manesar last year. A facility for production of DEF is being set up in Hyderabad.

He further stated that under standard test conditions, the emission norms of BS-VI diesel are as good or even superior to that of CNG, which is supposed to be one of the cleanest fuels.

Expansion plan

Referring to expansion and new capacities, Rao said, “the ₹3,800-crore pipeline project from the Paradip Refinary from Paradip to Telangana is at advanced stage of completion with some smaller segments to be patched up.”

“As a part of this initiative, a ₹611-crore storage terminal with a capacity of 180,000 kilo litres is being developed at Malkapur in Nalgonda district of Telangana on a 69.35-acre site. Work on the terminal has commenced and we expect this to be ready within 18 months,” he said.

The execution of the Paradip-Hyderabad pipeline would facilitate enhanced leverage in terms of fuel supplies for Indian Oil in Telangana. The pipeline project would terminate in the new petroleum terminal coming up in Malkapur.

In addition to this, several other capacity augmentation initiatives have been taken up by IOCL. In order to meet the increase in LPG demand, additional LPG tankage of 2,400 tonnes in mounded storage is being envisaged at Cherlapally LPG plant at an investment of ₹36 crore.

The Central government plans to increase the use of LNG from present 6.2 per cent to 15 per cent of the country’s energy basket by 2030. After completion of 10th Round of City Gas Distribution (CGD) bidding, CGD would be available in 229 Geographical Areas comprising 407 districts spread over 27 States and Union Territories, covering approximately 70 per cent of the country’s population and 53 per cent of its geographical area.

IOCL plans to invest up to ₹10,000 crore on development of city gas distribution networks over the next eight years.

Published on March 11, 2020

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