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IOC to invest 2.7kcr in Gujarat refinery
The Gujarat Refinery (GR) will set up four more plants in Koyali to meet the BS VI fuel supply standards in the coming years. GR executive director Sudhir Kumar, who recently assumed the post, said that GR will meet the deadline of supplying BS VI fuel much in advance. “The government has set a deadline of April 2020 for BS VI fuel but GR will start supplying it by December 2019. We have already begun process for it,” Kumar said.
“We will be investing Rs 2,771 crore for this project. Meeting BS VI standards will be tougher as we will have to be very accurate about the quality of the fuel,” Kumar added.
The refinery has already begun supply of BS IV fuel from January this year and the process to increase the production capacity is on. GR invested Rs 1,315 crore for BS IV project in two phases. “The government will be going directly from BS IV to BS VI norms and the challenge is to improve the fuel quality,” he said.
The BS IV norms require to keep the Sulphur content below 50 ppm and in BS VI norms, the Sulphur content has to be below 10 ppm, thereby lowering the air pollution significantly, GR officials said.
The refinery has also begun process to acquire another 65 acres of land near its current complex in Koyali as a part of its expansion plans. The refinery is eyeing to increase its capacity from the current 13.99 million metric tonnes per annum (MMTA) to 18 MMTA by 2021.
GR officials also said that the goods and services tax (GST) will hit the refinery as five of its products are outside the ambit of that tax. “The government is trying to formula to ensure that the impact of GST on our products is less,” a GR official added. Sam Vigneault Authentic Jersey
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