Decks are cleared for Petroleum, Chemicals and Petrochemicals Investment Region project in Orissa near Paradip, which is expected to attract investments to the tune of INR 274,000 crore with the Cabinet Committee on Economic Affairs giving the green signal.

Orissa has become the fourth state after Andhra Pradesh, Gujarat and West Bengal to have the Centre's nod for the PCPIR a Special Purpose Vehicle promoted by the state government on the lines of Pudong in China, Rotterdam in Europe and Houston in North America, accelerating the transformation of the state into one of the major manufacturing and commercial regions of the world within next two decades.

Mr Sourav Garg industry secretary said that proposed to be developed over 284.15 square kilometer in Jagatsinghpur and Kendrapara districts in two phases, the PCPIR has the Indian Oil Corporation’s refinery as the anchor project. IOC already has agreed to join the SPV in December 2007 and PPT has been approached to also join. Phase I work of the project is expected to be completed by 2015 while the entire project is scheduled for commissioning by 2030. Indian Oil Corporation Ltd, the anchor tenant of the PCPIR, will set up a 15 mln tpa grassroot refinery cum petrochemical complex 5 km south of Paradip, scheduled for commissioning by March 2012.

IOC is already coming up with 15 MMTPA grass root refinery cum petrochemical complex five kilometer to the south of Paradeep Port at an estimated cost of INR 25,646. For this, the state government has given incentives to IOC by exempting entry tax on crude oil and sales tax deferment for 11 years. The IOC already has got the required 3344 acres of land.

(Sourced from ET)