Indian Oil Corporation (IOCL), India’s largest fuel refiner and retailer has committed investment of about Rs 54,000 crore in various projects across Tamil Nadu. This investment is in line with Indian Oil’s commitment to achieve net zero operational emissions by 2046. While providing energy security to the nation, IOCL is also moving towards greener fuels like bio fuel, renewable, green hydrogen, etc.
It is also looking at carbon offsetting through ecosystem restoration and carbon capture utilisation and storage. “10 per cent ethanol blending with petrol has been successfully completed across Tamil Nadu and Puducherry last year and the company aims to achieve 20 per cent blend by 2025,” said VC Asokan, Executive Director and state head (TN and Puducherry), IOCL.
IOCL’s investment in TN
IOCL is the market leader in the state with a share of 56.4 per cent in domestic LPG, 36.8 per cent in petrol and 45 per cent in diesel. Tamil Nadu also is a major contributor to total volume sales for IOCL. In line with further strengthening the network and to increase it’s green footprint, IOCL has committed investment over a range of products:
- 9 MMTPA grass-roots refinery at an estimated cost of Rs 35,580 crore in about 1330 acres at Nagapattinam. This will produce petrol and diesel of BS VI specifications and also polypropylene
- New terminal at Asanur at about Rs 466 crore
- Terminal at Vallur at Rs 724 crore
- Captive POL/LPG jetty at Kamarajar port for Rs 921 crore
- World’s second largest integrated lubes complex at Ammulvoyyal village at a cost of Rs 1398 crore
- Product pipelines at Rs 2600 crore
- Gas pipelines at Rs 2225 crore
- CGD projects at Rs 7570 crore
- New retail outlets and modernisation at Rs 2500 crore
Shift in product portfolio
The centre aims to increase CNG from the present 6.2 per cent to 15 per cent of the nation’s primary energy basket by 2030. In line with this, Indian Oil has won rights for 5 geographical areas spread across 11 districts in Tamil Nadu. “We have already started issuing PNG connections in Coimbatore,” said Asokan and continued, “we will also establish 6 LNG dispensing stations in Tamil Nadu for fuelling of heavy vehicles. The pilot is complete in Sriperumbudur and others will follow soon. This will be an alternative to diesel and will be very useful for long haul vehicles.”
Indian Oil has entered into a tripartite with Phinergy, an Israeli technology company and Hindalco Industries to work on commercialisation of aluminium air battery technology in India. Work on pilot production of aluminium plates and also recycling post usage will start soon. In addition, the company also has plans to form a 50:50 joint venture with Sun Mobility Singapore for a battery swapping business in India. IOCL will invest Rs 1800 crore till FY26-27 in Sun Mobility Singapore.
Indian Oil’s sustainable aviation fuel blended with the regular air turbine fuel, propelled India’s first commercial passenger flight. This was indigenously produced by using feedstock.
Indian Oil Corporation Limited (IOCL) shares surged after the company announced its plan to raise Rs 22,000 crore through a rights issue.
