Lok Sabha Question No. 1676 (UNSTARRED), answered on 2022-12-16
Subject: Setting up of PCPIRs
Ministry: CHEMICALS AND FERTILIZERS
Asked by: Pinaki Misra, Pocha Brahmananda Reddy, Arjunlal Meena, Kuruva Gorantla Madhav

## GOVERNMENT OF INDIA MINISTRY OF CHEMICALS & FERTILIZERS DEPARTMENT OF CHEMICALS & PETROCHEMICALS

LOK SABHA UN-STARRED QUESTION NO. 1676 TO BE ANSWERED ON 16.12.2022

## Setting up of PCPIRs

1676.   SHRI PINAKI MISRA:

SHRI POCHA BRAHMANANDA REDDY:

SHRI ARJUN LAL MEENA:

SHRI KURUVA GORANTLA MADHAV:

Will the Minister of CHEMICALS AND FERTILIZERS, be pleased to state:

- a. the  current  status  of  PCPIRs  in  the  country  including  details  like  investments, manufacturing facilities established, production, infrastructure created, region-wise;
- b. the details of sites approved for setting-up of Petroleum, Chemical and Petrochemicals Investments Regions, State-wise;
- c. whether the Government is providing any grant to State Governments for setting up PCPIRs, if so, the details thereof and if not, the reasons therefor;
- d. the quantum of Government funding for development of infrastructure in PCPIRs in the last three years, region-wise;
- e. whether there are any approvals pending with the Government for proposals received with respect to the Vishakhapatnam-Kakinada region, if so, the details thereof;
- f. the measures  taken/proposed  to be taken by the Government  for  accelerated development of PCPIRs, especially in the Vishakhapatnam-Kakinada region; and
- g. whether the Government is planning to revise the PCPIR policy and if so, the details thereof along with the proposed changes and the timeline therefor?

## ANSWER

## MINISTER OF STATE FOR CHEMICALS AND FERTILIZERS (SHRI BHAGWANTH KHUBA)

(a)  to  (d):  Government  of  India  has  approved  setting  up  of  4  Petroleum,  Chemical  and Petrochemical Investment Regions (PCPIRs) in the States of Gujarat (Dahej), Andhra Pradesh (Vishakhapatnam-Kakinada), Odisha (Paradeep) and Tamil Nadu (Cuddalore- Nagapattinam). These PCPIRs are conceptualized in a cluster approach to promote Petroleum, Chemical and Petrochemical sectors in an integrated and environment friendly manner on a large scale. The current status comprising investment, manufacturing facilities established etc. is at annexureI.

As  per  the  PCPIR  Policy,2007  there  is  no  provision  of  grants,  however,  Government provides necessary funding in the form of Viability Gap Funding (VGF) to make such projects viable. In last 3 years, the Government has not provided any funding in the form of VGF to these PCPIRs.

(e) to (f): There is no approval pending with the Department in respect of VishakhapatnamKakinada region.

(g) : The Government is undertaking stakeholder's consultation for revising the PCPIR Policy, 2007. Till the policy is revised and notified, the existing provisions will prevail.

## Annexure-I

The status of implementation and execution of PCPIR projects is as follows:

| Indicator                               | Gujarat                                                                                                                                                     | Andhra Pradesh                                                                                                                                                                             | Odisha                                                            |
|-----------------------------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|-------------------------------------------------------------------|
| Location/ Region                        | Dahej, Bharuch                                                                                                                                              | Vishakhapatnam- Kakinada                                                                                                                                                                   | Paradeep                                                          |
| Approval of PCPIR                       | Feb, 2009                                                                                                                                                   | Feb, 2009                                                                                                                                                                                  | Dec, 2010                                                         |
| Total Area (in Sq. kms.)                | 453.00                                                                                                                                                      | 640.00                                                                                                                                                                                     | 284.15                                                            |
| Processing Area (in Sq.kms.)            | 230.00                                                                                                                                                      | 270.00                                                                                                                                                                                     | 123.00                                                            |
| Anchor Tenant                           | ONGC Petro Additions Limited (OPaL)                                                                                                                         | --                                                                                                                                                                                         | Indian Oil Corporation Ltd. (IOCL)                                |
| Anchor Project Status                   | Commissioned in March, 2017                                                                                                                                 | --                                                                                                                                                                                         | Commissioned in February, 2016.                                   |
| GoI share in form of VGF (Rs. crore)    | 80.50                                                                                                                                                       | 1206.80                                                                                                                                                                                    | 716.00                                                            |
| Total proposed investments (Rs. crore)* | 50,000                                                                                                                                                      | 3,43,000                                                                                                                                                                                   | 2,77,734                                                          |
| Investments made (Rs. Crore)            | 1,24,363                                                                                                                                                    | 18,148                                                                                                                                                                                     | 47,000                                                            |
| Employment generated (No.)              | 2,38,000                                                                                                                                                    | 1,41,204                                                                                                                                                                                   | 40,000                                                            |
| Major Production Unit                   | Reliance Petrochemical Complex, Petronet LNG Limited, Hindalco Industries Ltd , ABG Shipyard, BASF Styrenics Pvt. Limite, Gujarat Alkalis and Chemicals Ltd | Vijag Steel , NTPC, Sanvira Industries, Asian Paints Hetero Pharmaceuticals                                                                                                                | Indian Oil Corporation Ltd, Paradeep Phosphate, IFFCO Fertilizers |
| Status of Master Plan notification      | Development sanctioned.                                                                                                                                     | Plan Field Studies, village level consultations completed. Once the Anchor unit finalizes location, configuration and capacity of the Cracker Complex etc., Master Plan will be finalized. | Preparation of Master Plan is in process.                         |

Status of PCPIR in the State of Tamil Nadu:-

An area of about 23,000 Hectares of land covered in 45 villages in Cuddalore and Nagapattinam Districts were declared as "Local Planning Area" for the proposed PCPIR, vide Govt G.O. (Ms) No.108, H&UDD, Dated 20.06.2017.

Government of Tamilnadu has cancelled the declaration of "local Planning Area" vide Govt G.O. (Ms) No 36, H&UDD, Dated 21.02.2020 and the same has been published in Tamil Nadu Govt., Gazette dated 21.02.2020.