Government Considering Three Refineries with 20 MMTPA Capacity in Different Locations: Minister
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Synopsis
Union Minister Hardeep Singh Puri announced that the Ratnagiri refinery capacity will be reduced from 60 MMTPA to three refineries of 20 MMTPA each. Discussions on locations are ongoing, while refining capacity in India is set to rise significantly.
Key Takeaways
- Ratnagiri refinery capacity reduces from 60 MMTPA to three refineries of 20 MMTPA each.
- Ongoing talks with Saudi Aramco and Adnoc about the project.
- Current refining capacity in India is 270 MMTPA, aiming for 310 MMTPA.
- India Energy Week will occur from February 11-14 in Delhi.
- Significant growth expected in IEW 2025 participation and scale.
Mumbai, Jan 24 (NationPress) Union Minister of Petroleum and Natural Gas Hardeep Singh Puri announced on Friday that the proposed Ratnagiri refinery in the Konkan region of Maharashtra will have its refining capacity reduced from the initially suggested 60 million tonnes per annum (MMTPA). Instead, the plan is to divide it into three separate refineries, each with a capacity of 20 MMTPA, located at different sites.
“Currently, there are no updates available. The refinery was initially envisioned as a large-scale project of 60 MMTPA. However, it has become evident that no entity, either within India or globally, possesses the experience necessary to construct such a massive facility,” he stated.
“A significant amount of hinterland, port facilities, and appropriately sized ships are needed for a project of that magnitude. As of now, we are exploring the option of having three refineries with 20 MMTPA capacity each. Discussions are ongoing behind the scenes,” he added.
The minister emphasized that the Ratnagiri refinery will not proceed with a 60 MMTPA refining capacity.
“The challenges associated with executing such a large project have been substantial. Decision-makers will definitely reevaluate the situation. A smaller refinery with a capacity ranging from 20-25 MMTPA may be more feasible. Our experience typically suggests that capacities up to 20 and 25 MMTPA can be considered,” Hardeep Puri elaborated.
The Minister also noted that the locations for the three smaller refineries have yet to be finalized.
Additionally, the Union Minister mentioned that the stakeholders of the Ratnagiri refinery, including BPCL, HPCL, and IOC, are in talks with Saudi Aramco and Adnoc.
He added, “Our refining capacity is on the rise. Currently, we have a capacity of 270 MMTPA and plans are underway to increase this to 310 MMTPA. In Andhra Pradesh, BPCL is pursuing a project with an investment ranging from Rs 80,000-90,000 crore.
The Minister further stated, “The nation’s refining capacity is progressing well. The question remains whether we can eventually reach 400 MMTPA or even exceed it. Important discussions regarding this are currently taking place.”
Hardeep Puri's remarks about the Ratnagiri refinery came shortly after the Ajit Pawar led NCP, a partner in Maharashtra’s ruling MahaYuti, advocated for the establishment of a refinery in the coastal Ratnagiri district, also previously referred to as the Nanar refinery, following consultations with the grand alliance and consideration of local sentiments.
Maharashtra NCP chief Sunil Tatkare, who chairs the Parliamentary Standing Committee on petroleum and natural gas, stated, “There is a possibility that a refinery with a reduced capacity from what was initially proposed can be established in Maharashtra. The Centre has hinted at this. Developing a refinery with a smaller operational capacity can be discussed with the Centre and also among the MahaYuti partners and local communities. Given the substantial outflow for oil imports, the development of a refinery is vital.”
Meanwhile, Hardeep Puri announced that this year’s India Energy Week (IEW) will take place from February 11-14 in Delhi. He stated that the IEW promises extraordinary global participation from ministers, CEOs, and industry leaders, setting new standards in the energy sector.
“IEW 2025 will act as a crucial platform to enhance collaborative efforts aimed at accelerating the worldwide adoption of clean cooking solutions. India’s highly successful Pradhan Mantri Ujjwala Yojana (PMUY) will take the spotlight, presenting valuable insights and exemplary practices as a global model to tackle energy access challenges,” the minister mentioned.
Hardeep Puri indicated that IEW 2025 is expected to witness significant growth in scale and participation compared to prior editions.
The exhibition area will expand by 65 percent to 28,000 square meters, while the number of conference sessions will rise to 105, with global delegates surpassing 70,000. Over 500 speakers, including key international figures, will participate, showcasing the event's increasing global importance.
The conference will also feature 10 country pavilions from leading nations such as the U.S., UK, Russia, Japan, Germany, and the Netherlands, along with eight thematic zones focusing on hydrogen, renewables, biofuels, and petrochemicals.
The event will see participation from over 20 Foreign Energy Ministers or Deputy Ministers, alongside Heads of International Organizations and 90 CEOs from Fortune 500 energy companies.
A key highlight of IEW 2025 will be the focus on compelling themes, including energy security, orderly transitions, collaboration, resilience, capacity building, and digital advancements.
The event’s Clean Cooking Ministerial will further emphasize India’s leadership in ensuring access to sustainable and affordable energy solutions, reinforcing its global commitment to energy equity.
“With its unmatched scale and emphasis on innovation, India Energy Week 2025 is set to position India at the forefront of global energy transitions and strengthen its role as a catalyst for change in the energy sector,” the minister concluded.
