New Delhi : Bharat Petroleum Corporation Limited (BPCL) on Monday announced an investment of ₹1.5 lakh crore over the next five years towards its transformative initiative, ‘Project Aspire’.
During the 70th annual general meeting, BPCL chairman G Krishnakumar emphasized the company’s commitment to growth, sustainability, and a net-zero future.
“As an oil major, we recognize the immense responsibility that comes with our role in powering economies and making India Aatmanirbhar in the domain of energy by year 2047…We also recognize the need for a global effort to reduce global warming and the nation’s objective of achieving net-zero emissions by 2070. Accordingly, we have set a target for our company to achieve net-zero for Scope 1 and Scope 2 greenhouse gas (GHG) emissions by 2040,” Krishnakumar said.
‘Project Aspire’ is structured around two themes –Nurturing the Core and Future Big Bets. Under ‘Nurturing the Core,’ BPCL will bolster its refining, marketing, and upstream operations. Krishnakumar highlighted the company’s aim to enhance refining capabilities, with a particular focus on Northern India, where a predicted product deficit of approximately 10 MMT per annum by 2030 looms.
The merger of Bharat Oman Refineries Limited (BORL) into BPCL during the year has provided a significant boost to refining capabilities of the company.
BPCL is also expanding the capacity of the Bina Refinery from 7.8 MMTPA to 11 MMTPA, thereby securing its markets in northern and central India.
In the marketing sector, BPCL plans to elevate its brand value and customer experience by harnessing technology and analytics. Investments of approximately ₹27.53 billion will be directed towards setting up petroleum oil & lubricants and lube oil Bbase stock installations at Rasayani to ensure seamless product supplies.
Upstream activities will continue to be a focus, with BPCL determined to monetize discoveries in Mozambique and Brazil, contributing significantly to the nation’s energy landscape.
BPCL’s “Future Big Bets” encompass five key areas: Gas, non-fuel retailing, petrochemicals, green energy businesses, and digital ventures.
In the gas sector, BPCL is cultivating a comprehensive gas ecosystem, including strategic sourcing, import terminals, regasification facilities, and expanding CGD networks with a capital outlay plan of over ₹ 375 billion. The merger with Bharat Gas Resources Limited (BGRL) strengthens BPCL’s gas portfolio.
In non-fuel retailing, BPCL is expanding its presence in the FMCG sector, particularly in rural markets, with in & out stores operational in rural India. The company is creating village eco-centers, training rural women to become village-level entrepreneurs.
Petrochemicals play a crucial role in BPCL’s growth strategy, with a significant investment of ₹ 490 billion approved for an ethylene cracker project at Bina. This project aims to increase the share of petrochemicals in the company’s product portfolio to approximately 8%.
BPCL’s green energy initiatives include providing electric vehicle charging facilities at 7,000 energy stations, progressing towards achieving higher ethanol blending, setting up renewable energy projects, and producing compressed bio-gas (CBG) from various sources.