BPCL Kochi Refinery File | Photo
Kerala

How Kochi refinery helped Kerala tide over LPG crisis

It shut down its PDPP plant that produces niche petrochemicals and increased production of LPG to 4,700 tonnes a day

Manoj Viswanathan

KOCHI: Not a single LPG tanker has docked at Kochi port since the escalation of the West Asia conflict. How did Kerala then manage to tide over the cooking gas shortage during the past three months? While the shortage of LPG for commercial use forced many eateries to shut down, and the state witnessed protests, the supply of LPG for domestic use remained unaffected. The answer lies with BPCL Kochi Refinery, which stepped in to support the state during the crisis.

The Kochi refinery, located at Ambalamugal, which normally supplies around 3,500 tonnes of LPG per day, decided to shut down its Propylene Derivatives Petrochemical Project (PDPP) plant that produces niche petrochemicals and instead increased the production of LPG to 4,700 tonnes a day. As the refinery started supplying LPG to entire Kerala and parts of Tamil Nadu and Karnataka, the Indian Oil Corporation (IOC) was able to divert its stock to other parts of the country.

“The West Asia conflict had landed the country in a crisis as LPG imports declined by around 50%. Having received a directive from the Centre to increase LPG production, we maximised the severity of our units and stopped the operations of the PDPP plant for conversion and diversion of propylene for the production of LPG. The production of LPG at the refinery increased by 35% from 3,500 tonnes to 4,700 tonnes a day,” BPCL Kochi Refinery executive director Chacko M Jose told the TNIE.

Though there was no capital expenditure, the decision to jack up production of LPG led to an increase in operating expenditure. There are some technical issues caused by the shutting down of the PDPP plant. As signs of de-escalation of conflict in West Asia emerge, the BPCL is hoping that the availability of LPG will increase and the company will be able to restart production at the PDDP plant.

Prior to the West Asia crisis, the refinery supplied 1,800 tonnes of LPG to IOC and around 800 tonnes to Hindustan Petroleum. BPCL used to supply around 900 tonnes in the state. IOC imports LPG through the Puthuvype terminal and distributes it through a pipeline to Palakkad and by truck to Coimbatore.

“As a public utility, it is more a social responsibility for the BPCL to support the state during a crisis. Worldwide, LPG is used as a feedstock for petrochemical products like polypropylene and polyethylene used in the cracker industry. Western countries generally rely on PNG and natural gas for cooking,” Chacko said.

The Rs 5,246-crore petrochemical complex, opened in 2021, produces acrylic acid, oxo alcohols and acrylates used for the production of paint, super absorbent polymers, adhesives, printing ink, detergent chemicals, resins, and water treatment chemicals.

Increased output

  • LPG production at Kochi refinery per day prior to West Asia Conflict: 3,500 tonnes

  • LPG production from March 2026: 4,700 tonnes

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