As the oxygen crisis in the country intensifies, a state that has surplus oxygen – Kerala – is facing a different issue. The situation is manageable now, with the demand around 150 metric tonnes per day (MTPD), and the state producing around 210 MTPD.
However, rising demand is a matter of concern. On May 6, the state reported an all-time high in daily COVID-19 cases, with 41,953 infections. Its test positivity rate -- the percentage of COVID tests that turn out to be positive – was also seen at a high 25.69 per cent.
According to a senior government official, the demand for life-saving gas has increased to 150 MTPD as of May 6, from around 80 MTPD on April 23. By May 15, demand is expected to touch around 170 MTPD, as per government estimates. According to an industry source, demand for medical oxygen is expected to rise at 10 per cent every two weeks.
Already, the oxygen stock in the state has depleted from 270 MT to 128 MT.
State demands 1,000 MT from Centre
The state government is in the process of avoiding a crisis situation. Chief Minister Pinarayi Vijayan has already written to Prime Minister Narendra Modi, seeking an urgent supply of liquid medical oxygen.
Vijayan said the buffer stock with the state should be augmented urgently, given the depletion in storage.
The state has demanded at least 1,000 MT of imported liquid medical oxygen from the Centre. The 80 MTPD demand on April 23 included 35 MTPD for COVID care and 45 MTPD for non-COVID care. At that time, the production was around 199 MTPD.
Two plants to come up in a week
Following this, the Petroleum and Explosives Safety Organisation (PESO) has asked Inox Air Products to increase production from 149 MTPD to 160 MTPD. The company has already done this.
“PESO has already approved two 400 cylinders per day plants in Palakkad and Thiruvananthapuram that may see a total investment of around Rs 5-5.5 crore. These plants are expected to be commissioned in a week’s time,” the official said.
Transportation another issue
Another major concern for the state is transportation. The state has only 16 tankers to transport oxygen, out of which 13 are registered in Tamil Nadu and three in Kerala. Based on the rising demand, the state immediately needs at least 10 more tankers.
Other than Inox, the major producers in Kerala are Kerala Minerals and Metals, with 6 MTPD, Cochin Shipyard with 5.45 MTPD and Bharat Petroleum Corporation with 0.322 MTPD. In addition, 11 air separation units (ASU) produce around 44 MTPD. Looking at these numbers, the major challenge for the state is that it has no bulk sources like steel plants or major industries.
Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
Find the best of Al News in one place, specially curated for you every weekend.
Stay on top of the latest tech trends and biggest startup news.