Tracking transition 2014: East’s Economic Gateway

A steel complex of POSCO next to the refinery couldn’t take off because of land acquisition problems.

Written by Debabrata Mohanty | Updated: December 30, 2014 10:15 am

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Paradip Refinery Project, Indian Oil Corporation Ltd, Orissa | Began in: 2004 | Deadline: April 2015 | Cost: Rs. 30,000 crore

The foundation stone for what is the biggest industrial project in Orissa was laid by then PM Atal Bihari Vajpayee in 2004, just before the NDA was voted out of power. Spread over 3,344.65 acres with projected production of 15 million tonnes per annum, it is IOC’s biggest refinery in the country as well as India’s first zero-residue refinery.

It will also help the PSU aim for bigger profit margins by allowing processing of the cheapest varieties of crude, and fits in with its plan to have refineries on shore to allow easier shipping of petro products to international markets in case of a glut.

“Paradip would not just be the hub of petrochemical products, it would be the economic gateway for eastern India,” says Dharmendra Pradhan, Union minister for Petroleum and Natural Gas (Ind charge).

A steel complex of POSCO next to the refinery couldn’t take off because of land acquisition problems. Similar problems also plagued the Paradip refinery till 2009. Since then, over 30,000 labourers and 650 engineers have been at work to meet the deadline.