Petroleum industry to invest Rs 1261 crore in Uttar Pardesh

Petroleum Ministry has announced to invest around Rs 1261 crore in Uttar Pradesh for increasing the capacity of LPG bottling and setting up a new petroleum storage unit in Chunar in Mirzapur district. The three new bottling plants to be set up with a cost of Rs 650 crore would be established at Gorakhpur, Gonda and Varanasi. While the plant at Gorakhpur would be of the Indian Oil Corporation Limited (IOCL), the rest two would be of Hindustan Petroleum Coporation Limited (HPCL).

Besides, the LPG distributors in the state would also get a quantum jump as 1000 new agencies would be added soon with 300 getting their licence this week. These information was shared by Executive Director Corporate Communication of IOCL Subodh Dakwale here today. "We have sought land from the UP government for setting up a petroleum storage system at Chunar in Mirzapur district where the company would invest around Rs 650 crore. The unit would have a direct pipeline from Barauni with rail and other connections," he said. He added that UP has set a milestone in the LPG penetration as during past 15 months it was increased by a record 30 per cent after Ujjawala scheme was launched in the state." UP penetration in LPG connection too reached to the national level of 77 per cent when it was just 47.5 per cent when Ujjawala scheme was launched in the the country from UP 15 months ago," he added. Mr Dakwale said the Public sector Oil industry has focused on UP and the LPG supply would increase taking in consideration the future demands. "The Kandla-Gorakhpur pipeline would connect all the LPG bottling plants in the state while the IOCL bottling plant at Trishundi in Sultanpur district would be raised to a capacity of 120 metric tonnes from the present 11 metric tonnes with capital will be increased to 60 metric tonnes by this fiscal.

The IOCL Executive Director also appreciated that the sale of petroleum products in UP was 15 million tonnes in 2016-17 which gave a revenue of Rs 13,870 crore to the industry in which IOCL's share was 51 per cent. Meanwhile IOCL would be holding a programme in Lucknow on Sunday next when letters of distributorship to 300 new agencies would be given by Union petroleum minister Dharmendra Pradhan and UP chief minister Yogi Adityanath.