The company aims to develop a judicious mix of conventional fuels and zero-carbon mobility,which would allow a greater degree of feasibility in converting crude oil directly into high-value petrochemicals.
The Indian fuel sector has been going through many ups and downs as the fuel prices continue to increase over the past few months. There are no signs of relief as petroleum products are destined to become scarce and high-priced in the longer run. Also, the upcoming paradigm shift in the automobile industry has pushed petroleum companies to look for alternatives. In a positive move, privatization-bound Bharat Petroleum (BPCL) has announced its plans to invest over Rs 1 lakh crore in the next five years to diversify its portfolio and revenue. The country's second-largest fuel retailer is shifting focus towards petrochemicals, renewables, electric mobility, and other alternative fuels for good.
BPCL's Chairman Arun Kumar Singh told reporters at the annual general meeting that the company was looking to create a 1,000 MW portfolio of renewable power generation capacity, mainly through acquisitions. At the same time, it would also actively invest in biofuels and hydrogen. The company aims to develop a judicious mix of conventional fuels and zero-carbonmobility in what would allow a greater degree of feasibility in converting crude oil directly into high-value petrochemicals.
"We are presently evaluating various propylene and ethylene derivatives, both in bulk as well as niche segments,"Singh said. The planned investments would be funded through internal accruals and debt. The company will also be reducing the dividend payouts to generate cash. The investment will help BPCL prepare for the future where conventional fuels, hydrogen-based clean fuels, and EVs will co-exist.
Tencent plans to divest its $24B stake in Meituan
Hyundai plans to electrify its high-performance N brand
Honda to invest $40B in EV technology, plans 30 models
Toshiba CEO resigns due to opposition to restructuring plans
Thailand plans to charge foreign tourists a nominal fee from April
© 2022 CIO Bulletin. All rights reserved.