Kochi Salem Pipeline Private Limited (KSPPL): Putting India’s Pledge of Global Energy Transition to Net Zero Emissions on the LPG-Powered Pedestal

On the path to a future of sustainability powered by clean, green, and easily accessible energy of Liquefied Petroleum Gas (LPG), driving India’s pledge of zero carbon emission by 2070 mission is Kochi Salem Pipeline Private Limited (KSPPL).

It is a 50:50 Joint Venture (JV) of Bharat Petroleum Corporation Limited (BPCL) and Indian Oil Corporation Limited (IOCL), which was incorporated on 22nd January 2015 to set up the LPG pipeline in the States of Kerala and Tamil Nadu (TN) with an intention to transport LPG to the hinterlands, informs KSPPL CEO Karvana Narender Babu.

He adds, “We feel proud to be contributing to the Govt. initiative scheme of Pradhan Mantri Ujjwala Yojana with a motive of smokeless & healthy India by ensuring more LPG connections to the rural part of India wherein traditional cooking fuels like coal, wood, cow-dung cakes etc., had detrimental impacts on the health of rural women as well as on the environment.” Recent reports say that LPG connections have more than doubled in the last decade from 15 Cr to 33 Cr connections, which is really a significant jump.

Transitioning Towards a Holistic Energy Model

Narender shares that taking the cue from last year’s theme of LPG Week- Energy for all, LPG is an exceptional fuel source due to its benefits and applications in the industry. LPG is a clean, lower-carbon, efficient, and innovative energy source that emphasizes the immense benefits of LPG in ensuring widespread access to clean energy globally. LPG is a versatile and clean-burning fuel well-suited for both urban and rural areas. With its environmental benefits, natural co-product origin, transportation flexibility and diverse applications, LPG plays a pivotal role in the transition towards a more secure, sustainable, and competitive energy model. By expanding access to LPG, KSPPL fosters a more inclusive and sustainable energy future for all.

This JV of BPCL and IOCL was entrusted to lay the pipeline of approximately 459km (213 km in Kerala and 246km in Tamil Nadu) with a design throughput of 1.53 MMTPA. The pipeline will have LPG injection points from the IOCL import terminal at Kochi and the BPCL Kochi Refinery, connecting the bottling plants of IOCL and BPCL across Kerala and Tamil Nadu.

The salient features of the pipeline are as follows:

The Kerala section of the project (203km) consists of three phases and I am proud to say that all are now under safe operations:

• Phase I: A 12km pipeline from BPCL Kochi Refinery to IOCL bottling plant, Kochi, was commissioned on 20-08-2017 and is being operated successfully.
• Phase II: A 152.3 KM pipeline from BPCL Kochi Refinery to BPCL receipt station Palakkad, Kerala. It was commissioned on 26-08-2023 and is being operated successfully.
• Phase III: A 38.6 KM pipeline from IOCL import terminal, Kochi, to BPCL Kochi Refinery, Kochi, was commissioned on 17-10-2023 and is being operated successfully.

Mapping the hinterlands with Clean and Green Energy

This overall 203 km pipeline in Kerala portion has been established for connecting Kochi Refinery (BPCL) and Puthuvypeen Import Terminal (IOCL) for evacuation of LPG to plants at IOCL Udayamperoor & BPCL Palakkad. The main objective of the project is to reduce LPG transportation through tankers, which is a major concern for the State Government too because of the increasing number of road accidents. Further, the pipeline is getting extended beyond Kerala, i.e. Tamil Nadu section of the project (256km).

It goes without saying that LPG is a fuel that is here to stay and will be for a long time. The future of LPG is indeed bright, and so is that of KSPPL, ready to expand beyond boundaries and establish a wide pipeline network for LPG transportation in South India, he adds.

KSPPL was created primarily to transport LPG through underground cross-country pipelines for better and more efficient logistics for BPCL & IOCL. In the case of the value chain of any downstream energy company like BPCL/IOCL, refineries and marketing divisions are vital units that cater to the needs of the energy-hungry Indian market. These two units need to work seamlessly to ensure the placing of products at the right time and right place, which needs a robust and reliable logistics arrangement wherein the role of the pipeline becomes pivotal.

The Lifelines and Energy Highways of the Present and the Future

According to Narender Babu, pipelines are literally the lifelines and energy highways for any oil and gas industry, ensuring seamless energy transportation across the length and breadth of the country. The reliability of energy sourcing through pipelines is unparalleled, so even during natural calamities, the energy supply will be least affected. Narender Babu says, “We can take the example of any sort of recent floods or incessant rains or even COVID-19 times wherein pipeline operations have been uninterrupted.”

Due to the adoption of the most modern technologies in pipelines intertwined with 24 x 7 monitoring, pipelines exhibit not only operational excellence but also robust reliability.

KSPPL encourages SMART working (Specific, Measurable, Achievable, Relevant, and time-bound) for all. In line with that, the company has designed its core values, which mainly reflect various strengths such as sustainable growth, quality work, integrity, alliances with stakeholders, and dedication to the nation.

He adds, “We always believe in sustainable growth in tandem with the Company’s tagline—Delivering Energies—Sustainably.” With steadfast commitment, KSPPL is spearheading the pipeline network, driving economic growth and sustainability.

Teamwork Has Always Been the Key to Success

The organization exhort quality jobs on all fronts, viz., projects, operations & administrative jobs. Narender is overwhelmed to share that recently KSPPL has been accredited with ISO certification (ISO 9001:2015-quality management system, ISO 14001:2015- Environment management systems, ISO 45001:2018-Occupational health and safety management systems) from renowned accreditation organization M/s Bureau Veritas which is a testament of reinforcing KSPPL’s commitment towards operational excellence ensuring quality management in all fronts.

Teamwork of the diligent team of KSPPL has always been a binding strength for the success of the company. The values of unity and integrity have been inculcated into the work culture by management demonstrating collaborative leadership. KSPPL upholds and embodies the qualities of honesty, righteousness, and adherence to moral principles.

Also, it always ensures cordial alliance with all its stakeholders. The company encourages regular interactions and networking to expand its business. According to Narender, they always look for a partnership that can pave the way to redefine possibilities and set new benchmarks for KSPPL. “I am proud to say that our team always demonstrates an unwavering commitment to work, thereby ensuring continuous LPG supply to our promoters, ultimately contributing to national growth and serving the general public at large.”

Driving Tomorrow’s Energy Transcendence

KSPPL is a nurturing company that emerged out of two oil behemoths-BPCL & IOCL, which in itself is a unique identification for the company in the market. This convergence has brought in expertise from both giants, and this can lead to the creation of powerful collective visions that have the potential to bring about positive change in every realm.

Narender Babu states that they have a powerful mission to strengthen the synergy of the oil and gas industry by embarking on opportunities for the cohesive functioning of various verticals across India. This will enable India to meet its growing energy demands and strive for sustainable energy implementation that is reliable, affordable, environmentally friendly, and clean energy supply.

“Our long-term vision is to be the leader in providing efficient, reliable, secure and sustainable energy solutions so that KSPPL’s transcendence is magnified, not only for our employees involved but for the whole nation as well. Currently, we are proud to be the operators of one of the longest LPG pipelines in South India.”

Technovating the Times Forward

Narender Babu further says that technology and innovation can be referred to as two sides of a coin, and they always coexist to propel societies and economies forward. “We can say that technology enables innovation, and innovation pushes the boundaries of what technology can achieve, and they are always intertwined.”

Narender believes that digital transformative initiatives are always an enabler of staying competitive and boosting the productivity and efficiency of the whole working system. “We are in the continuous process of transformation to digitalize all the processes and functions across various verticals, which will not only boost the performance but also ensure the sustainability of our company.”

Additionally, KSPPL’s pipelines are also equipped with State-of-the-Art, modern technologies, wherein the operations are completely automated and parameters are intricately and continuously monitored, ensuring safe and seamless pipeline operations.

“Regarding innovations, I would like to quote what Albert Einstein said, ‘If you always do what you always did, you will always get what you always got.’ I always tell my team that if we want to expand our horizons, then we should go beyond our limits. We have developed a system wherein employees are free to put their thinking caps and pour in as many suggestions as possible. The best suggestions are rewarded as well.”

An Empowered Workforce Means Excellency

The workforce is the cornerstone of any successful organization. As one of the leaders in the oil and gas industry, Narender has always believed in developing human skills. Reports say that 85% of the success of a company depends on the soft skills of employees. “As a CEO, I have emphasized that everyone adopts the MASK strategy, which means Motivating oneself and others, developing a good Attitude, investing in Skill enhancement, and increasing Knowledge.”

KSPPL is a synergy company with people, including energetic officers from various engineering streams and the human resources department. HSE and Finance. “Adding to the workforce, we have deputationists from BPCL & IOCL, which facilitates fostering a work culture by adopting the best methods of both companies,” informs Narender. They, as a team, always try to bring in the best for KSPPL. Further, on-field and off-field training by in-house experts and subject matter experts from BPCL/IOCL is being imparted to all employees. “As the word TEAM itself defines that Together Everyone Achieves More, we conduct Team building exercises for our employees to boost the morale and maintain good work-life balance,” he adds.

Conquering Challenges Conjointly

Narender Babu says that when they look back the construction journey, KSPPL team had deputationists from BPCL and IOCL alongside experienced professions from oil and gas industry, few fresh Engineers and together they had embarked upon the project of laying LPG pipeline, first of its kind in the State of Kerala way back in 2015.

The journey of project execution has been nothing short of a roller coaster ride bombarded with challenges due to difficult geographical terrain, thick habitation, myriad socio-political issues and public dissent, apart from managing various contractors. To execute a project in a State like Kerala with challenges, many brainstorming sessions and innovations have been pumped. Due to dense habitations in Kerala, most sections of the pipeline have been laid with trenchless technology. The issues from public and various political interferences, which were major bottlenecks to project progress, were surpassed with the joint efforts of the team.

Even when the project faced multiple issues at times, it was only due to the sheer commitment and dedication of the KSPPL team that it could fight against all the slings and arrows that had been assailed. KSPPL is always indebted to stalwarts and experienced professionals from both BPCL and IOCL positioned in Top management viz. Chairman, Directors, CEO and CFO for their unwavering support and guidance. After overcoming all the challenges, with meticulous planning and coordination, KSPPL could commission 203km of pipeline in the State of Kerala by October 2023. Narender Babu adds, “I am also proud to share that KSPPL is slowly yielding the fruits of its hardwork as it started earning revenues, multiple folds compared to its history, which is really commendable.”

Embracing Evolution

KSPPL is further adapting its business model to incorporate new energy technologies and prepare for a lower-carbon future. As pipelines are the most environmentally safe way of transporting LPG, the Kochi Salem LPG pipeline of KSPPL has a major role in the reduction of CO2 emissions as there is a substantial reduction in truck lorry movement. By operating a pipeline of 203km in Kerala, KSPPL is Net Zero with savings of 6500 tCo2e. Almost 2 lakh LPG bulk truck trips were eliminated from roads. Once the whole pipeline of 459km is commissioned and operated, there will be substantial financial and logistics savings apart from socio-economic and environmental benefits in the form of less traffic congestion, which otherwise could have been caused by truck movements. Considering the ambitious plan of the Govt. of India to reach net zero by 2070, KSPPL can play a major role in reducing emissions.

Ample Opportunities for Worthy Startups

In his advice to other budding entrepreneurs who aspire to venture into the modern oil and gas industry, Narender says that overall, the oil and gas industry will witness a growth of 1 to 2% CAGR, which will enable the demand to increase from 220MMTPA to 450MMTPA by 2040. The industry is growing at a sustainable rate, enabling many small enterprises to venture into it for efficient functioning.

“I would like to say that the oil and gas industry is worth more than $300 Bn.” There are many cross-functional areas in which budding entrepreneurs can embark. The operation and maintenance in oil and gas installations warrant the need for various advanced inspection tools, tackles, instruments, safety equipment, coating technology, corrosion protection measures, aerial surveillance, and harnessing advanced technologies for increasing efficiency, wherein there will be ample scope for startup companies.

Fostering A More Inclusive and Sustainable Energy Future for All

Looking to the future, Narender Babu divulges their vision. KSPPL’s tagline, “Delivering Energies Sustainably,” implies its dream to be the leader in providing an efficient, reliable, secure, and clean energy supply for India. KSPPL looks for various strategic partnerships to strengthen the nation’s energy security, create opportunities for clean energy innovation, promote energy access to all industries and the general public, and create employment generation opportunities.

He adds, “I always encourage my team to adopt the 5D vision, which stands for Dedication, Devotion, Determination, Discipline, and finally, Daringness, which are vital for moulding the vision of this company.” KSPPL resonates with its core team, which has shared dreams and a collective passion for contributing to the global energy transition to ‘Net Zero emissions.’