Indian petrochemical industry can set an example of the way industrial boom and environmental stewardship can coexist
The Indian petrochemical industry, a critical driven of economic boom, performs a pivotal function in supplying raw materials for numerous sectors, such as agriculture, healthcare, and production. However, its rapid growth additionally brings great environmental and social demanding situations. The need to align administration policies, regulatory frameworks, and global sustainability standards is paramount for the industry to obtain sustainable increase and preserve its international competitiveness.
In this context, the main professionals spoke at the second edition of PetroChem Summit 2024 at the inaugural session ‘Government Policies, Regulatory Framework and Global Sustainability Standards’ prepared by the Indian Chemical News in New Delhi on December 18, 2024.
In his inaugural speech, Prof. V. N. Rajasekharan Pillai, Vice Chancellor, Somaiya Vidyavihar University stated, “The definitions of sustainability are increasingly converting globally and the Indian petrochemical industry has been that specialize in advanced materials and specialty chemicals. It is important that Indian stakeholders recognize the worldwide sustainability standards which include ISO-14 and worldwide reporting tasks as there are quite a few conflicts occurring across the implementation. Most of the industries are aiming to fulfill UN Sustainable Development Goals (SDGs) and there are aims set for petrochemicals as well. When it involves rules and compliance, there are regional regulatory frameworks which includes the European Union’s REACH law and US-EPA. In phrases of carbon management and net zero chemical compounds, it is very important to understand the industry’s contribution to worldwide carbon emissions. There are a whole lot of tendencies in simple chemistry and superior bioplastics, agro based and bio based products. Even in the biomedical field, polymers play a key function. At our college, we have installed a chair for green chemistry and sustainability. There are many clusters and academic institutes operating in those areas.”
“When it involves academics, we want training courses and orientation training by way of industry. We have to teach engineers with diplomas and postgraduate levels. As in keeping with the new training policy, 40% of the college for technology related topics should be from industry. In the petrochemical industry there is no dearth of sources and there must be proper interactions with the enterprise specialists. Balancing sustainability and financial boom is a primary challenge and we have to adhere to worldwide standardization. We have to shift closer to bio based and renewable chemicals. The industry-academia collaborations and public private partnerships are very crucial,” delivered Prof. Pillai.
Deepak Mishra, Joint Secretary – Petrochemicals, DCPC, Ministry of Chemicals and Fertilizers, Govt. Of India stated, “The petrochemical field has confronted many demanding situations however those are short lived and will be over come soon. We think that the increase of the field is highly promising. There has been a shortfall for petrochemicals and when we projected the demand up to 2040, we listed the need for one cracker each year at an funding of as much as Rs 40,000 crore. In general, there’s a need for 11 crackers each year as of now. Many new ventures had been launched and there are many more within the pipeline. With developing call for, we are at the fourth position globally and we can reach third spot within the next decade. While we’re the third largest consumers of petrochemicals, the per capita intake is lesser in India. There is not any doubt that with a developing financial system, we are able to see the growing demand for plastics.”
Mishra delivered further: “From government side, it is a deregulated industry. Anyone can begin the plant and no permits are required for import or export except environmental policies. In the approaching years, extra guidelines will come in form of product designs, better quality, promoting greater recycling of give up of the existence products. Making our chemical substances more secure and with bio-primarily based feedstock in the coming 5 years. Industry have to prepare for the transition and we are facilitating it. We work closely with enterprise and help in solving the problems faced with the aid of it.”
“The challenges within the petrochemical industry may be converted into possibilities,” said Dhananjay Sahoo, Chief General Manager – Petrochemical, IOCL, “There was a chorus to ban Polyvinyl chloride (PVC) however we argued in its favour bringing up its usefulness. There are quite a few bad connotations and we need to work carefully with the government to do justice to the proper merchandise. New policies had been formulated and PCPR policy as well as incentives with the aid of the administration are a few examples. There are many opportunities in specialty chemical compounds. Similarly in agrochemical or KSM for pharma API, the government has come up with the PLI scheme. The streams required for those industries are Ethylene Oxide, Benzene and Toluene. Indian Oil will provide you with 50 KTA Toluene at its Paradip plant as a way to be available early next year. It can be transformed into the KSM for plenty pharma products. There is also increasing focus on shifting faraway from Chemical of Concern inclusive of phthalate. Those who are manufacturing polypropylene the usage of phthalate as catalyst at the moment are moving away to options together with Succinate or Di-Ether and additionally to BPA free and HCN derivatives.”
“The feed-inventory going to be available in surplus through 2035 or beyond because oil intake isn’t always plateaued out. Aromatic Naphtha goes to be available in plenty and we can use it. At Indian Oil, we have got envisaged in a small way the cluster based approach in which 6-7 units can come up in a land space. We plan to apply it in an effective way and produce down Capex through 50%. At Paradip, Indian Oil is the anchor tenant and we have a huge land parcel and the government is giving incentives along with waivers on electricity, 30% tax rebate on gadget and machinery to folks who are interested by setting in place units. While Dahej SEZ with 3-40 companies has many top offers but at Paradip, the government is putting in place CETP Chemically (Enhanced Primary Treatment),” brought Sahoo.
Ajay Sardana, President & Head – Strategy and Business Development – Polyester Business, RIL opined, “The increase in petrochemicals has a direct correlation with the country’s GDP increase. We have seen that if the GDP grows by using 6-7 %, the petrochemical industry grows by double digits at 10-11%. With plenty of opportunity in specialty chemical compounds, specifically in carbon fibre, Reliance Industries is placing up a carbon fibre plant in Baroda, Gujarat under PLI scheme. We are manufacturing many specialty chemical compounds and have a bouquet of products. We have large faith within the growth of this industry and feature therefore announced growth plans in the goods which include PTA, polyester, PVC, PPP which can be the backbone of the chemicals and petrochemical industry.”
“The want of the hour is implementation of Quality Control Order (QCO). The industry is looking ahead to the implementation of Polypropylene QCO in December and PVC QCO is in the pipeline. PET desires to be sent to the WTO. With a degree gambling area, Indian marketers will make investments and grow rapid. The duties in the finances want to be addressed as India gives simply 5% to 7% duty protection as compared to nations consisting of Brazil that has increase the duty protection from 12.4% to 24% There isn’t any doubt that we can be developing fast. With huge over capability in China, there is a want for such measures. We are within the proper area on the right time and we will genuinely take India’s boom story forward,” added Sardana.
Nipun Kapila, Head – Sales & Marketing, Payal Group, “Reduce, Reuse and Recycle are sacred to sustainability as is a periodic table to a chemist. I am adding greater phrases, Recover and Responsibility to it. Recover is to make sure that nothing is going to waste. Responsibility way being sustainable as a survival method for the chemical industry. Embracing sustainability is not an alternative but an imperative. The global chemical industry contributes to over 20% of greenhouse gas emissions, making it critical for us to stability progress with maintenance. With this circularity is gaining momentum. By 2030, it is projected that approximately 40% of plastic will come from either recycled or bio-based assets. Another vicinity is transition to green energy. The improvement of bio primarily based chemical substances is predicted to grow at 10% with the aid of 2034. These aren’t simply environmentally friendly but economically prudent.”
“Our industry must combine the green projects and adoption of predictive analytics. Technology has to be an enabler for our worldwide aspirations. At Payal institution, we are that focusing in phthalate loose merchandise. We have soybean and sunflower oil primarily based plasticizers and are running toward extra bio primarily based plasticizers. We are also strolling our zero discharge plan also. In terms of coverage tasks, the PCPIR version, green hydrogen project and funding in CCFU are paving the way forward for sustainability. Let’s be the generation now not to leave the mess for upcoming ones to smooth up. As innovators, leaders and policymakers, it is the time to turn chemistry into a pressure for right,” brought Kapila.
PetroChem Summit 2024 themed ‘Identifying New Opportunities For Value Creation’ turned into supported by using the industry institutions consisting of Alkali Manufacturers Association Of India (AMAI) and Chemicals & Petrochemicals Manufacturers’ Association (CPMA). The Platinum Sponsor of the event become Somaiya Vidyavihar University and Gold Sponsor became Tubacex Group.
