Rs 60 Tn BPCL project to come up near Andhra port
PORTS & SHIPPING

Rs 60 Tn BPCL project to come up near Andhra port

Andhra Pradesh is set to get an oil refinery and a petrochemical hub at Ramayapatnam in Nellore district that entails an investment of Rs 60 trillion fulfilling a promise made at the time of the state’s bifurcation in 2014 and giving chief minister N Chandrababu Naidu a boost. Bharat Petroleum Corp. Ltd (BPCL) will establish the refinery and hub on 1,000 acres of land, said people with knowledge of the matter. As first reported by ET on July 11, the state government had offered three locations to BPCL — Srikakulam, Machilipatnam and Ramayapatnam. After a meeting with the BPCL’s senior leadership in July, Naidu had ordered detailed feasibility studies for the three sites. A formal announcement is likely to be made by the end of the month, said the people cited above. Ramayapatnam has been found to be the most suited for the project, said the people cited. BPCL will have access to a captive jetty at Ramayapatnam port for its requirements. Andhra Pradesh industries minister TG Bharath declined to comment. “The announcement is likely to be around the time of the foundation stone laying ceremony of NTPC’s green hydrogen hub at Pudimadaka near Vizag,” said a senior state government official. Naidu had last week invited Prime Minister Narendra Modi for that ceremony. The refinery project is a big win for Naidu, whose Telugu Desam Party (TDP) provides crucial support to the Bharatiya Janata Party-led National Democratic Alliance (NDA) government at the Centre. It headed Naidu’s agenda when he met the Prime Minister on his first visit to New Delhi on July 5 after being sworn in as chief minister. Within five days of this meeting, a BPCL team met Naidu in Vijaywada to discuss the project. Naidu has effectively delivered on a decadeold pledge that didn’t come to fruition under previous governments, including his own, reflecting the chief minister’s increased political heft after the general elections earlier this year. The refinery commitment was included in the Andhra Pradesh Reorganisation Act, 2014. The Centre “shall take all necessary measures as enumerated in the Thirteenth Schedule for the progress and sustainable development of the successor states within a period of 10 years from the appointed day,” according to Section 93 of the Act. The fourth point under the “infrastructure” head of the Thirteenth Schedule says, “IOC or HPCL shall, within six months from the appointed day, examine the feasibility of establishing a greenfield crude oil refinery and petrochemical complex in the successor state of Andhra Pradesh and take an expeditious decision thereon.” Indian Oil Corporation, Hindustan Petroleum Corporation Ltd and BPCL are state-run refining companies.

Andhra Pradesh is set to get an oil refinery and a petrochemical hub at Ramayapatnam in Nellore district that entails an investment of Rs 60 trillion fulfilling a promise made at the time of the state’s bifurcation in 2014 and giving chief minister N Chandrababu Naidu a boost. Bharat Petroleum Corp. Ltd (BPCL) will establish the refinery and hub on 1,000 acres of land, said people with knowledge of the matter. As first reported by ET on July 11, the state government had offered three locations to BPCL — Srikakulam, Machilipatnam and Ramayapatnam. After a meeting with the BPCL’s senior leadership in July, Naidu had ordered detailed feasibility studies for the three sites. A formal announcement is likely to be made by the end of the month, said the people cited above. Ramayapatnam has been found to be the most suited for the project, said the people cited. BPCL will have access to a captive jetty at Ramayapatnam port for its requirements. Andhra Pradesh industries minister TG Bharath declined to comment. “The announcement is likely to be around the time of the foundation stone laying ceremony of NTPC’s green hydrogen hub at Pudimadaka near Vizag,” said a senior state government official. Naidu had last week invited Prime Minister Narendra Modi for that ceremony. The refinery project is a big win for Naidu, whose Telugu Desam Party (TDP) provides crucial support to the Bharatiya Janata Party-led National Democratic Alliance (NDA) government at the Centre. It headed Naidu’s agenda when he met the Prime Minister on his first visit to New Delhi on July 5 after being sworn in as chief minister. Within five days of this meeting, a BPCL team met Naidu in Vijaywada to discuss the project. Naidu has effectively delivered on a decadeold pledge that didn’t come to fruition under previous governments, including his own, reflecting the chief minister’s increased political heft after the general elections earlier this year. The refinery commitment was included in the Andhra Pradesh Reorganisation Act, 2014. The Centre “shall take all necessary measures as enumerated in the Thirteenth Schedule for the progress and sustainable development of the successor states within a period of 10 years from the appointed day,” according to Section 93 of the Act. The fourth point under the “infrastructure” head of the Thirteenth Schedule says, “IOC or HPCL shall, within six months from the appointed day, examine the feasibility of establishing a greenfield crude oil refinery and petrochemical complex in the successor state of Andhra Pradesh and take an expeditious decision thereon.” Indian Oil Corporation, Hindustan Petroleum Corporation Ltd and BPCL are state-run refining companies.

Related Stories

Gold Stories

Next Story
Resources

Schindler named among Forbes’ World’s Best Employers 2026

Schindler has been named among Forbes’ World’s Best Employers 2026, a global ranking recognising companies for their workplace environments.Compiled by Forbes in partnership with Statista, the ranking is based on independent employee feedback, including whether employees would recommend their organisation to friends and family.The company said the recognition reflected its focus on creating a workplace where employees can develop their expertise and build careers. ..

Next Story
Infrastructure Urban

India needs an export-execution mindset: Vishesh Jain

Interview with Vishesh Jain, Founder & CEO, EximpleWhat gaps in India’s global trade ecosystem led you to build Eximple, and what problem did you see businesses struggling with most?Eximple came out of a problem that all three founders had seen from different choke points in the trade ecosystem. India has millions of MSMEs and manufacturers, and many of them can make products that are genuinely competitive on quality. Yet only a small fraction is able to build meaningful international businesses. In our experience, the gap is usually not manufacturing capability; it is the ability to exe..

Next Story
Building Material

Nuvoco reports 13.5% revenue growth in Q2 FY27

Nuvoco Vistas Corp. Ltd. reported consolidated revenue of Rs 27.9 billion for Q2 FY27, up 13.5% year on year. Cement sales volume rose 9% to 4.7 million tonnes (MMT), while EBITDA increased 11% to Rs 4.11 billion.The company said it began its cement operations in 2014 with a 2.3 MMT per annum (MMTPA) operation at Nimbol. It now aims to reach 35 MMTPA of cement capacity by FY28, nearly 15 times its initial capacity. Its portfolio spans cement, ready-mix concrete and modern building materials.On sustainability and cost efficiency, Nuvoco partnered with CleanMax for a 46.4 MW wind-solar hybrid re..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

SPECIAL OFFER
QR Code