Oil refinery major Indian Oil Corporation Ltd (IOCL) is giving final touches to the commissioning of eastern India’s first LPG pipeline - Paradip–Haldia-Durgapur LPG pipeline (PHDPL). The inter-state pipeline, built with an investment of Rs 13.3 billion, is slated to be commissioned in November this year.
Originating from Paradip, the PHDPL will cater to the LPG demand of Odisha, Jharkhand and West Bengal. IOCL in April this year, had commissioned the Paradip-Balasore section of the pipeline.
“The commissioning of LPG pipeline will be done in November this year. The final testing on the pipeline's commissioning is in full swing. The pipeline will transfer LPG from the Paradip refinery “, said PC Choubey, executive director (pipelines division), IOCL.
The PHD pipeline will have pump stations at Paradip and Haldia and delivery stations at Balasore (Odisha), Budge Budge, Kalyani and Durgapur (West Bengal).
According to sources, LPG delivery at Balasore was done through bullets earlier.
The demand for LPG connections in India is set to rise from 18 million tonnes (MT) to 25 million tonnes by 2022-23 and is seen growing at a rate of 11-12 per cent annually. About 50 per cent of India's LPG requirement is being imported.
To cater to the swelling demand, IOCL is focusing on infrastructure development and improving logistics for movement of LPG.
The completion of the PHD LPG pipeline is expected to give a fillip to the overall LPG demand in eastern India and also to the energy sector, as a whole, in the country.
The pipeline holds the key to the evacuation of LPG from IOCL's 15 million tonnes capacity refinery at Paradip which is spread over an area of 3,345 acres with an estimated cost of Rs 345.55 billion. The refinery can process 100 per cent high-sulphur and heavy crude oil to produce various petroleum products, including petrol and diesel of BS-IV quality, kerosene, aviation turbine fuel, propylene, sulphur, and petroleum coke. It is also designed to produce Euro-V premium quality motor spirit and other green auto fuel variants for export.