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Indian Oil cuts capacity utilisation by 25-30% as fuel demand falls

Indian-oil-agencies
The entire country is in lockdown in a bid to counter the proliferation of coronavirus. This has affected demand for petrol, diesel, fuel oil, bitumen, jet fuel and other petroleum products.
NEW DELHI: Indian Oil Corp, the nation's largest refiner, has cut capacity utilisation by 25-30% at its refineries as demand for petroleum products have dramatically fallen in the wake of the Coronavirus pandemic, the company said in a statement.

"Upliftment of finished products from them in the last one week has helped up country bulk storage locations of the Corporation build up their stocks for future-readiness once the countrywide lockdown is lifted and the demand picks up again. The Corporation is keeping a close watch on global cues and the changing market scenario and initiating actions accordingly," Indian Oil said.

The entire country is in lockdown in a bid to counter the proliferation of coronavirus. This has affected demand for petrol, diesel, fuel oil, bitumen, jet fuel and other petroleum products. But the demand for cooking gas, or the liquefied petroleum gas (LPG), has risen as households scramble to ensure enough gas supply amid lockdown.

"To meet the rising demand for LPG, Indian Oil is taking steps to increase LPG production in its major refineries by optimising operations, improving LPG yield in LPG producing units like FCC/Indmax, etc. Bottling plant operations and LPG refill deliveries are being streamlined accordingly," Indian Oil said. "Adequate stocks are available and there is no need for panic-booking by LPG customers."

The company's bulk storage installations, LPG bottling plants, fuel stations and LPG distributorships have been advised to operate under the advisory of their respective State Governments/local administrations to maintain essential services in their geographies, Indian Oil said. The fuel stations are operating with skeletal staff to ensure personal hygiene and social distancing norms, it added.

" In the wake of the countrywide lockdown, the Corporation is addressing several issues related to movement and turnaround time of petroleum tank-trucks; restricted mobility and attendance of work-force at LPG distributorships and fuel stations; and restricted business hours of fuel stations at a few places," it said.

Adequate work-force is being deployed at critical refining, supply & distribution locations, with all health, hygiene and safety measures in place, Indian Oil said. Manning has also been rationalised in round-the-clock shift operations, fire & safety, medical and other essential services.
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