Home / Business and Economy / AP Govt Forgoes ₹20 Cr Duty for BPCL Refinery
AP Govt Forgoes ₹20 Cr Duty for BPCL Refinery
10 Feb
Summary
- Stamp duty and registration fees over ₹20 crore exempted.
- BPCL to establish a greenfield refinery near Ramayapatnam Port.
- The project involves an investment of nearly ₹97,000 crore.
The Andhra Pradesh government has exempted stamp duty and registration fees totaling over ₹20 crore for Bharat Petroleum Corporation Ltd (BPCL) to establish a major greenfield refinery and petrochemical complex near Ramayapatnam Port. This exemption covers the transfer of over 600 acres of land, a crucial step for the project's realization.
The refinery and petrochemical complex represents a substantial investment of approximately ₹97,000 crore. This financial incentive is part of the Andhra Pradesh Industrial Development Policy 4.0, launched in October 2024, signaling the state's commitment to attracting large-scale industrial ventures. The exemption specifically relates to land allocated from the Andhra Pradesh Maritime Board to BPCL through the Andhra Pradesh Industrial Infrastructure Corporation.
BPCL is slated to invest heavily over the coming years, with significant capital expenditure planned through FY30. The project aims to develop a 9 to 12 MMTPA capacity refinery. The state anticipates substantial economic benefits from this venture, including capital subsidies and GST refunds, as per the approved industrial policy.
