Bharat Petroleum Corporation Limited (BPCL) aims to meet seven to 10 percent of India’s primary energy demand by 2047, its Chairman and Managing Director G. Krishnakumar said on August 30.
At the state-run oil marketing company's (OMC) annual general meeting (AGM), Krishnakumar said India’s aim of becoming $30-trillion economy by 2047 would require nearly quadrupling the country's primary energy demand. Considering India’s growing energy demand, BPCL would not only focus on its core businesses, including refining, marketing of petroleum products and upstream, but also on petrochemicals, gas, green energy, non-fuel retail, and digital, he added.
“This rapid growth (in energy demand) will position India as a major player in the global energy landscape, contributing approximately 12% of the world's energy consumption by 2047. To meet these objectives, India must significantly expand its refining capacities, increase the share of gas in its energy basket, establish leadership in petrochemical exports, and sharply reduce energy imports from the current level of 47% to below 25% by 2030, and to zero by 2047,” said Krishnakumar.
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The state-run oil marketing company (OMC) has planned a capital expenditure of around Rs 1.70 lakh crore over five years to expand its core oil refining and fuel marketing business as well as petrochemicals and green energy businesses.
BPCL performance
The company’s head addressed company’s performance in the first quarter of the current financial year saying refining margins are under “tremendous stress” currently.
“It is evident that the operating environment has become significantly more challenging compared to the previous periods. The unprecedented refining margins we enjoyed last year, driven by favourable international product cracks, are currently under tremendous stress,” said Krishnakumar.
BPCL remains confident to navigate these industry-specific hurdles, he added.
The OMC reported a slump of 71 percent in its standalone net profit in Q1FY25 amid weak gross refining margins (GRM) and under-recovery in the sale of LPG cylinders.
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