Centre keen on grading fuel by refiners
Expansion plans of MRPL to touch 18 million metric tonnes (MMT) will coincide with a government of India directive to all refiners in India to market BS V and VI quality fuel. While the union government has mandated a 2020 deadline for refiners to do so, the union ministry of petroleum and natural gas is keen to achieve this a year ahead and this means that the company has to be ready with the product by December 2018, noted H Kumar, MD, MRPL.
In an informal interaction with media persons here, Kumar said while all the metros and most parts of north India have already shifted to BS IV fuel from April 1 this year, rest of India will move to his higher environment friendly fuel from in a staged manner starting next fiscal. Karnataka will be on board BS IV fuel from April 1, 2016 and rest of India will fall in line a year later, starting April 1, 2017, he said adding BS V and VI will be the natural progression.
While BS IV allows for 50 parts per million (ppm) of Sulphur in both motor spirit (petrol) and high speed diesel (diesel), BS V and VI will have 10 ppm of Sulphur, he said, adding upgrading to produce and sell this high grade quality of fuel will entail certain modifications within MRPL. “We will have to go in for debottlenecking and capacity expansion,” Kumar said, adding this will also match a timeline when the company’s capacity up gradation will come through.
The company has approached the state government for 1,050 acres of land to facilitate the capacity upgradation. KIADB will undertake the land acquisition for the company, he said adding MRPL has urged the government to provide land contiguous to its existing facilities to aid this expansion process. Asked if MRPL will acquire land based on demands from residents of Jokatte, he said it will be done so only if such land will aid the company’s proposed expansion plans.
