PM Modi inaugurates India’s first Greenfield integrated refinery-cum-petrochemical complex in Rajasthan: Read how this project is a major milestone for India’s energy security 

· OpIndia

On Saturday, 4th July, Prime Minister Narendra Modi formally inaugurated the integrated refinery-cum-petrochemical complex at Rajasthan’s Pachpadra after touring the sprawling complex. Along with the refinery, he also inaugurated and laid the foundation stone for several other development projects related to urban transport, railways, highways, renewable energy and power transmission. 

He dedicated the country’s first greenfield integrated refinery-cum-petrochemical complex to the nation at Pachpadra in Rajasthan’s Balotra district, marking a major milestone for India’s energy sector and industrial development. The massive refinery project, which has been under development for several years, is expected to transform the economy of western Rajasthan and emerge as one of the country’s largest integrated refinery-cum-petrochemical complexes.

These projects are aimed at strengthening Rajasthan’s infrastructure while boosting industrial growth and employment opportunities in the region.

PM Modi says India overcame the biggest energy crisis of the 21st century 

Addressing a public gathering after the inauguration, Prime Minister Modi said India had successfully overcome what he described as the biggest energy crisis of the 21st century, triggered by the conflict in West Asia. He credited the country’s success to timely decision-making, strategic planning and India’s growing diplomatic influence.

“The willpower and efforts of the new India of the 21st century have overcome the biggest energy crisis of the 21st century,” the Prime Minister said.

He explained that while many countries struggled with fuel shortages and rising energy prices during the conflict in West Asia, India managed to protect its citizens by taking the right decisions at the right time.

“We assessed the crisis in time, prepared an effective strategy, made balanced use of our national resources and used the strength of our diplomacy to overcome this challenge,” he said.

Taking a swipe at the opposition, PM Modi said that while “some forces” were busy spreading rumours and creating panic during the crisis, his government was working continuously to ensure that the country’s energy needs were met without disruption.

“The work done during that difficult period, the patience shown and the sensitive policy and diplomatic decisions taken by our government will be remembered in history,” he added.

Diplomacy helped India maintain fuel supplies 

The Prime Minister highlighted India’s dependence on imported energy, particularly Liquefied Petroleum Gas (LPG), saying that the country imports nearly 60% of its LPG requirements. He pointed out that the temporary closure of the Strait of Hormuz during the West Asia conflict had created the possibility of a major energy crisis across the world.

However, he said India’s diplomatic efforts helped the country avoid serious disruptions.

“Our diplomatic relations with foreign countries helped us overcome the crisis. During the war, Indian diplomacy displayed its strength,” PM Modi said.

He added that India managed to source fuel from nearly 40 countries despite disruptions in global supply chains.

The Prime Minister also said domestic LPG supplies remained uninterrupted throughout the crisis. Referring to recent government measures, he noted that commercial LPG cylinder prices had been reduced significantly, providing relief to businesses. According to him, the government managed the LPG crisis within just seven days.

PM Modi further revealed that public sector oil marketing companies suffered losses of more than ₹75,000 crore during the global energy crisis. Instead of passing the burden on to consumers, the government absorbed the losses to protect people from the sharp rise in international fuel prices.

Refinery strengthens India’s journey towards self-reliance

Linking the refinery with India’s vision of self-reliance, PM Modi said true national pride comes only when a country becomes self-dependent.

“Today, from this land, a big step has been taken towards self-reliance,” he said while describing the Rajasthan refinery as an important milestone in India’s journey towards energy security.

The Prime Minister also highlighted the government’s focus on completing projects instead of merely announcing them.

“You know me. The project whose foundation stone I laid is also inaugurated by me,” he remarked, drawing applause from the gathering.

He also inaugurated the new terminal building at Jodhpur Airport and said the modern facility had already become a major attraction on social media.

Targeting the previous Congress government in Rajasthan, PM Modi said that the refinery project had remained stalled for years before work accelerated after the BJP came to power in the state. He credited the progress to what he described as the “double-engine government.”

A long journey filled with political and technical challenges 

Although the refinery has now become a reality, its journey has been anything but easy.

The project was originally proposed in 2012 and has taken nearly 15 years to reach completion. During this period, it witnessed political controversies, land disputes, repeated delays and rising costs.

The inauguration itself had earlier been scheduled for 21st April this year. However, the event had to be postponed after a fire broke out on 20th April due to a leak in one of the refinery’s processing units.

The refinery was initially planned at Lilana village in Baytu. However, after reports of large-scale land purchases by influential individuals and land speculators, the Rajasthan government shifted the project to Pachpadra, where sufficient government land was available.

The decision sparked major political controversy at the time. Former Baytu MLA Colonel Sonaram Choudhary openly opposed shifting the refinery and accused the then state government of trying to benefit Jodhpur district. The issue even led to protests and political resignations.

One of India’s most advanced refineries

Today, the Pachpadra refinery stands as one of the country’s most technologically advanced refining facilities.

The refinery is a joint venture between Hindustan Petroleum Corporation Limited (HPCL), which holds a 74% stake, and the Rajasthan government, which owns the remaining 26%. The complex integrates refining and petrochemical production, with a petrochemical capacity of 2.4 MMTPA.

After an additional investment of over ₹42,229 crore beyond the original estimated cost, the project has become one of India’s biggest industrial investments.

One of its biggest strengths is its Nelson Complexity Index (NCI) of nearly 17, making it one of the most sophisticated high-conversion refineries in the country. A higher NCI indicates that the refinery can process a wide variety of crude oil and convert even low-quality, heavy crude into high-value products such as petrol, diesel and petrochemicals.

The refinery has also become an example of the “Make in India” initiative. Most of its large reactors, processing columns and storage tanks have been manufactured within India. At the same time, advanced control systems and high-pressure compressors have been sourced using technologies from the United States, Japan and several European countries. International experts also contributed to maintaining world-class construction and welding standards.

Since the crude oil transported to the refinery has a wax-like nature, a specially designed heated pipeline has been constructed from Mundra in Gujarat to Pachpadra. Equipped with thermal insulation and heating stations, the pipeline ensures that the crude oil remains at the required temperature throughout transportation.

A major economic boost for Rajasthan

The refinery is expected to significantly change Rajasthan’s industrial landscape.

Until now, Rajasthan has primarily been known as a crude oil-producing state. With the commissioning of this integrated refinery-cum-petrochemical complex, the state will also begin producing value-added products such as polypropylene, polymers and other petrochemical products.

This is expected to attract large investments in downstream plastic, chemical and manufacturing industries, creating thousands of direct and indirect employment opportunities. The project is also likely to strengthen India’s energy security while reducing dependence on imported petroleum products and supporting the country’s broader goal of becoming more self-reliant in the energy sector.

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