BPCL Plans To Invest Rs 1.5 Lakh Cr In Next 5-year: Chairman G Krishnakumar
Bharat Petroleum Corporation (BPCL), on Monday, said that it will invest Rs 1.5 lakh crore in the next five years towards Project Aspire; Draws Net-Zero Roadmap with capital outlay of Rs 1 lakh crore.
The initiatives under Project Aspire and the Net-Zero targets require substantial investments and the same are proposed to be funded through a combination of equity and debt, in addition to internal generations. In pursuit of this, the company has proposed a rights issue of equity capital of up to Rs 180 billion towards funding of projects relating to energy transition, net zero objective and energy security.
"We recognise the need for a global effort to reduce global warming and the nation’s objective of achieving net-zero emissions by 2070; and accordingly, have set a target for our company to achieve net-zero for Scope 1 and Scope 2 greenhouse gas (GHG) emissions by 2040," said
G Krishnakumar, Chairman, BPCL, during the 70th annual general meeting speech.
Under Refining, the company has approved a project to expand the capacity of Bina Refinery from 7.8 MMTPA currently to 11 MMTPA. This will go a long way in securing the company’s markets in the Northern and Central India.
He said that with an aim to expand the company’s infrastructure network, BPCL will be setting up POL (Petroleum Oil & Lubricants) & LOBS (Lube Oil Base Stock) installations at Rasayani along with receipt pipelines, with investments of around Rs 27.53 billion.
The company is forging key alliances with major pipelines and diligently expanding the CGD networks with a capital outlay plan of over RS 375 billion, all with the singular goal of efficiently delivering gas to its valued customers.
The company has recently finalized an Ethylene Cracker Project at Bina. With a staggering investment of Rs 490 billion, this project marks a historic milestone as the largest single investment in BPCL's illustrious history.
He added, "We believe that this project will drive the production of essential petrochemicals - increasing the share of petrochemicals in the company’s product portfolio to approximately 8 per cent. This investment fits well with the government’s mission to make India a self-reliant and globally competitive petrochemical manufacturing hub,"
In E-Mobility, BPCL plans to provide electric vehicle charging facilities at 7,000 energy stations in the coming five years. Numerous highways are already equipped with the company’s Rapid Charging EV Corridors.
In the Biofuel space, having achieved 10.6 per cent ethanol blending in petrol this year, the company plan to increase the blending to 12 per cent in the FY 2023-24 and endeavour to reach 20 per cent blending by 2025. The company is also setting up an integrated 2G + 1G Ethanol Bio-refinery at Bargarh, Odisha which is scheduled for completion in March 2024.
In the renewables space, BPCL aspires to build 1 gigawatt (GW) of renewable energy capacity by 2025 and 10 GW by 2040 - through both organic and as well as inorganic routes.
The company will be investing almost Rs 10 billion to set up two 50MW captive wind power plants in Maharashtra and Madhya Pradesh to support the refineries in Mumbai and Bina.
Aligning with the government’s efforts towards boosting Green Hydrogen capacity, the company is also setting up a Green Hydrogen Plant at Bina Refinery to meet the hydrogen requirements of the refinery.
