Developments in Tamil Nadu

As the Petroleum Minister of India he had a clear vision to bring reforms and developments in this Sector at the country level but like any other person he never forgot his home State Tamil Nadu. He was keen to take up important petroleum industry projects which were always close to his heart to Tamil Nadu. On his directive, the Indian Oil Corporation developed a new pilot project for supply of LPG to the rural areas through mobile bottling units. The pilot project was inaugurated at Mappilainaickanpatti near Thanjavur by then Chief Minister, Tamil Nadu, Dr. Kalaignar M. Karunanidhi in xxxx.

In those days getting a domestic gas connection was a rare and prestigious matter and people had to wait for years after registering their request with the oil companies. With a view to ensuring that people get gas connections immediately and on demand across the counter, T.R. Baalu gave direction to the Ministry and oil companies to put in place an Action Plan that would ensure people to get gas connections on demand and that the Action Plan must be implemented within a period of 2 years. Despite reservations of the Ministry and oil companies due to additional subsidy burden on the Government, Baalu took an uncompromising stand and stuck to his orders that the action plan should be developed and implemented in the given time frame. Because of the seeds sown by him in 1996, concerted actions were taken by the Petroleum Ministry and as his wishes fulfilled, today one can probably say in this country gas connections are available almost across the counter without much of a difficulty.

Another important project gifted by him to Tamil Nadu was the petroleum product pipeline from Chennai to Trichy and then to Maduarai. Even though, Tamil Nadu is a major petroleum products consumer State, and having two refineries, one at Chennai and the other at Nagapattinam, the distribution of petroleum products like petrol, diesel etc. was through road/rail transport only. Transportation of hazardous and inflammable materials through pipeline is the safest and most environmental-friendly mode. He, therefore, directed the Indian Oil Corporation to set up petroleum product pipeline from Chennai Refinery to Trichy and Madurai. This product pipeline constructed at a cost of around Rs.500 crores, is now in operation. As part of this project, a branch pipeline from Perambalur to Sangari has also been constructed.

T.R. Baalu was very keen to set up a grass root refinery at Nagapattinam. In deference to his wishes, the Indian Oil Corporation had prepared a project report. However, after he demitted office as Petroleum Minister this project was not pursued. Likewise, he was extremely keen to set up an LNG terminal at Ennore Port. The Petronet LNG Ltd., a new joint venture company promoted by ONGC, GAIL, IOC and BPCL was given the mandate to take up this project. However, the Government of Tamil Nadu felt that the project should be developed through a global tendering process. By the time the issues could be resolved, the availability of gas in the international market as also the price of LNG had become dearer and the project could not be taken up. Today, IOC is keen to set up this project through a joint venture with the same PLL after a lapse of nearly more than a decade. Perhaps, had the project been taken up by the PLL as originally decided by the Petroleum Ministry, the State of Tamil Nadu would have derived the benefit of getting LNG like Gujarat and other northern States that have been benefiting from the Dahej LNG facility.