Govt. plans petrochemical cluster in Nagapattinam

The Tamil Nadu Government is exploring the possibility of establishing a petrochemical cluster in Nagapattinam in the Cauvery delta region. It is attempting to capitalise on the construction of a 9-million metric tonne per annum refinery there by Chennai Petroleum Corporation Ltd. (CPCL), along with Indian Oil Corporation Ltd. (IOCL). The construction started last month, and is planned to be completed in 45 months.

The MSME Trade and Investment Promotion Bureau (M-TIPB) has called for bids for preparation of a detailed project report. The estimated investment in the CPCL-IOCL project, which will also have a petrochemical complex, is ₹31,580 crore.

A tender document referred to the project and noted, “An ecosystem in the form of a petrochemical cluster will facilitate micro, small and medium enterprises in the region to act as ancillary units to this plant as well as to the larger enterprises in the ecosystem.”

A senior official told

The Hindu that the plan was to establish the cluster by the time the construction of the plant would be completed. Asked whether the cluster would be possible since Nagapattinam is listed in the First Schedule of the Tamil Nadu Protected Agricultural Zone Development Act, 2020, the official said petrochemicals was not in the list of new projects or activity specified in the Second Schedule.