India’s biggest refiner, Indian Oil Corp. (IOC) is reviewing plans on refinery expansion due to the increase in the consumption of cleaner fuels and the changing demand patterns in the country.
IOC Chairman S.M. Vaidya said that the company’s plan is now affected by India’s revised the supply and demand scenario by Petroleum Planning and Analysis Cell, an oil ministry think-tank. Vaidya said that India’s demand is not exactly destructive but it has definitely gotten deferred.
“We are reviewing our refinery expansion plans,” the chairman said.
Vaidya elaborated that the company’s focus is on adding higher capacity via the expansion of existing units and raising petrochemical capacity to protect margins. IOC is reviewing all projects as far as grassroots projects are concerned.
The Paradip refinery expansion will also be under review when the revised supply and demand figures are available.
Previously in 2018, India planned to post a 77% rise in refining capacity by 2030 to around 9 MM bpd and IOC would increase its capacity to 2.6 MM bpd in participation.
