Move to make Gujarat a petrochem hub

Gujarat energy and petrochemicals minister Saurabh Dalal said that his ministry was moving forward towards making Gujarat a petrochemical state.

The minister was speaking at the quarterly general meeting of the Southern Gujarat Chamber of Commerce and Industry (SGCCI) on Thursday.

Speaking on the occasion, Dalal said, "Our immediate goal is to transform Gujarat Electricity Board (GEB), which is making losses at the moment, into a profit-making body. The usage of coal has decreased in recent months and hence coal transportation charges have come down a great deal. We have decided to purchase only 'wash' coal from now onwards."

"Gujarat is the only state where the agreements with multi national companies and industrial units have been altered after negotiations, because of which, the energy department is saving crores of rupees on an annual basis," he said.

Talking about the Jyotigram Scheme, Dalal said, "Around 4,000 villages in the state are being supplied three-phase power round the clock under this scheme. Taking a cue from the success of the scheme, the Karnataka government too has started it's implementation."

Dalal also appealed the industries to establish gas-based power plants.

"Power generated by gas-based power plants would be much cheaper as compared to coal-based or other captive power plant. This would increase profitability of industries. If gas-based power plants are set up, the industries also get benefits such as government subsidies," he said.

Dalal said, "Gujarat is considered the petrochemical hub of the country. We are also moving ahead in oil and gas sectors. We are offering incentives to the industries for establishing gas grids, which will help them compete at the global level."

Earlier chamber president Dinesh Mandalaywala welcomed Saurabh Dalal and other guests at the general meeting.

Mandalaywala said, "When Saurabh Dalal took over as the energy minister, the total deficit of GEB was Rs 2,542.80 crore, but the same has come down to Rs 485.81 crore at present. GEB has made recovery of Rs 907 crore during July."

Mandalaywala said, "To survive the onslaught of global competition, it is essential for industries to reduce manufacturing costs. Power prices account for a major portion of the overall production cost and hence in the interest of the industries, I appeal to the energy minister to supply power to the industries at lesser prices."