Essar Oil Plans 2000 Petrol Pumps In 3-4 Years

Even as Essar Oil is waiting to re-start work on its 10.5 million tonne per annum refinery project at Vadinar in Gujarat, the company is getting ready to set up its own petrol pumps. It plans to put up 1,700 to 2,000 retail outlets in the next three to four years.

Essar Oil has already completed a detailed survey for setting up the retail outlets across the country and has made a presentation to the petroleum ministry seeking permission for seed marketing of petrol and diesel in preparation for the deregulation and dismantling of the existing controls in the retailing of transportation fuel.

The company has also bid for acquiring government equity in IBP Company Ltd, through which it hopes to acquire a controlling stake and access to about 1,550 retail outlets of IBP. The new retail outlets being planned by Essar Oil on a franchisee concept, would be in addition to the IBP petrol pumps, should Essar Oil succeeds in its bid.

Essar Oil plans to have enhanced customer service, convenios, automated teller machines, infotainment centres, drudgery relieving ambiance and amusement activities, around its retail outlets.

Pending commissioning of its refinery, Essar Oil plans to procure the products it would need for its retail network from other refineries within the country or import them, if need be. It is in discussion with public sector oil companies and private firms owning petroleum storage and handling facilities across the country for meeting its requirements.

Though Essar Oil plans to be an all-India marketing company, given the location of its refinery on the west coast, it plans to, initially, concentrate more on the western and northern regions.

However, it proposes to simultaneously start developing network in the southern and eastern regions as well.