Indian Oil Corporation (IOC) plans to invest over Rs 2 trillion to reach the net-zero carbon emission target by 2046, its chairman S M Vaidya said in the annual general meeting.
“I would like to underline that we already have a well-crafted blueprint in place, with a multi-pronged approach to take us gradually towards the net zero destination. We have envisaged that an investment of over Rs 2 trillion will be required to achieve the target by the year 2046,” Vaidya said. India, as a whole, aims to achieve the net zero target by 2070.
Currently, IOC’s greenhouse gas (GHG) emission, emanating majorly from the company’s refining operations, stands around 21.5 million metric tonne of carbon dioxide equivalent (MMTCO2e) per annum. IOC is the largest refiner of the country with a capacity of 70 million tonne per annum (mtpa).
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“Out of the total emissions, 96% are on account of processes like direct fuel burning for deriving energy from heat, steam, electricity and cooling, that are part of operations. These constitute the scope-1 emissions. The balance 4% are on account of sourcing electricity from the grid which constitutes scope-2 emissions,” he said.
Vaidya said IOC plans to achieve two-thirds of emission reduction through energy efficiency, electrification and fuel replacement efforts, while about a third of the total emission would be mitigated through options such as carbon capture utilisation and storage (CCUS) route, nature-based solutions and purchase of carbon credits.
Nearly 31 million customers, on an average, buy fuels from IOC’s retail outlets daily and it delivers 2.5 million cooking gas cylinders every day.