Policy

PSU refineries not to be hit by diesel taxi ban in the Capital: Pradhan

Debabrata Das Richa Mishra New Delhi | Updated on January 27, 2018

Oil Minister Dharmendra Pradhan

Refiners working towards upgrading fuel, increasing CNG availability



The ban on diesel taxis in the national capital as well as the temporary ban on sales of vehicles with diesel engines above 2,000 cc capacity will not have any impact on the country’s public sector refinery-cum-retailers.

Dharmendra Pradhan, Minister of State (Independent Charge) for Petroleum and Natural Gas, told BusinessLine, “We do not see much of an effect of the diesel ban on our refineries. After all it is just one city.”

Pradhan’s confidence despite New Delhi being one of the largest consumers of diesel by both commercial vehicles and private vehicles in the country emerges from the fact that public sector refiners have already started working towards fuel upgradation – Bharat Standard VI – and increasing Compressed Natural Gas availability in the National Capital.

The Ministry has already directed the companies – Indian Oil Corporation, Bharat Petroleum Corporation and Hindustan Petroleum Corporation – to provide BS VI quality fuels to the National Capital by 2019.

“We are committed to bring BS VI across the country by 2020,” Pradhan said adding that even the auto sector was ready.

“We now have an understanding with automakers and we can now provide BS VI in New Delhi by 2019.

“We are on track for the same and there will be no issues regarding this,” he added.

The Ministry is also expanding the CNG availability in the region. “The Supreme Court has appreciated our efforts to increase CNG refuelling stations.

“The Court had not told us to add 100 more CNG stations we are doing it ourselves after assessing the future demand.

More CNG stations

“There were 350 CNG stations in the National Capital Region at the beginning of the year and we will open 100 more by May 31,” said Pradhan.

In a further push towards clean automotive fuels, Indian Oil, HPCL and BPCL have been asked to blend ethanol in petrol and bio-diesel in normal diesel.

The Minister has set a target of reaching five per cent ethanol blending for petrol by September 2016.

“Look what we have done for Bihar,” Pradhan said.

Ethanol from Bihar

The Petroleum Ministry has proposed to procure six crore litre of ethanol from Bihar through the molasses route, which otherwise would have gone waste following the State’s recent excise policy to ban liquor.

The oil retailers will try to absorb this ethanol for the Ethanol Blended Petrol Programme to help the State. This will also give almost ₹300 crore to the farmers of the State through sugar mills/distilleries.

Published on May 16, 2016

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