BPCL has approved an initial ₹6,100 crore investment for pre-project activities, including studies, land identification, and acquisition costs
Published Dec 24, 2024 | 6:40 PM ⚊ Updated Dec 25, 2024 | 9:54 AM
BPCL Launches Geocell Technology to Repurpose Plastic Waste for Road Construction(Representational image/BPCL blog)
A refinery and petrochemical complex, promised to Andhra Pradesh in the Andhra Pradesh State Re-organisation Act, 2014, is set to become a reality.
According to the leader of the Telugu Desam Parliamentary Party (TDPP), Lavu Sri Krishna Devarayalu, the BPCL has officially confirmed the establishment of a Greenfield Refinery & Petrochemical Complex on the East Coast of Andhra Pradesh.
The BPCL has approved an initial investment of ₹6,100 crore to commence pre-project activities, including initial studies, land identification, and acquisition costs.
He said that this achievement is a testament to the visionary leadership of Chief Minister N Chandrababu Naidu.
In a communication to the stock exchanges, BPCL announced that its board, during the meeting on Tuesday, 24 December, approved the initiation of pre-project activities for a greenfield refinery and petrochemical complex on the East Coast, at an estimated cost of ₹6,100 crore
The pre-project activities consist of various initial studies, land identification and acquisition, preparation of a detailed feasibility report, environmental impact assessment, basic design engineering package, front end engineering design and so on.
The BPCL’s board decision is a follow up of the BPCL’s earlier announcement that it will invest between ₹50,000 crore to ₹75,000 crore for the location of two facilities in Andhra Pradesh. The company had indicated that they may scale up the investment to ₹ 1 lakh crore in the future.
A delegation of the BPCL representatives, led by its Chairman and Managing Director G Krishna Kumar, called on Chief Minister N Chandrababu Naidu on 10 July, and told him that they would require about 4,000 to 5,000 acres to set up an oil refinery and petrochemical complex.
Prior to the BPCL delegation’s visit, the chief minister made a request to the prime minister to this effect, during his Delhi visit.
The BPCL’s immediate response is attributed to the important role that Naidu plays in the NDA coalition with his 16 MPs, who are crucial for the continuance of the government.
As soon as BPCL announced its decision in July, the Congress cut in, saying that a feasibility study was initiated since the Modi government “lost its majority” in the Lok Sabha elections.
Congress leader Jairam Ramesh had said in a message on X, “An oil refinery and petrochemical complex in Andhra Pradesh was originally a commitment made by Dr. Manmohan Singh’s Government in the Thirteenth Schedule of the Andhra Pradesh Reorganization Act 2014. In fact, the ek tihai (first of the third) Pradhan Mantri’s Government was legally obliged to deliver the project within the last ten years, and IOC/HPCL were obliged to examine the feasibility of the project within six months. The ek tihai Pradhan Mantri’s Government, after failing to move for 10 years, has only initiated the feasibility study now.”
“This lackadaisical pace of implementation of the Andhra Pradesh Reorganization Act was one of the reasons why Chandrababu Naidu Garu famously withdrew from the NDA in 2018. Perhaps now that the ek tihai Pradhan Mantri has lost his majority and his ego, we can expect rapid implementation of the Act,” he added.
(Edited by Ananya Rao)
