BPCL Unveils Ambitious 10-Year LPG Infrastructure Plan
State-run Bharat Petroleum Corporation (BPCL) has charted a significant 10-year expansion strategy, earmarking ₹4,600 crore in capital expenditure to meet the escalating demand for liquefied petroleum gas (LPG). The oil marketing company's move is primarily driven by the growing consumption among beneficiaries of the Pradhan Mantri Ujjwala Yojana (PMUY) and increased LPG penetration across India.
Driving Demand and Capacity Expansion
Recent consumption figures highlight the necessity for enhanced infrastructure. PMUY beneficiaries are now consuming an average of 4.47 cylinders annually, a record high for fiscal year 2025, while non-PMUY users average 6.64 cylinders. Public sector oil marketing companies collectively sold over 31.2 million tonnes of LPG in FY25, marking a more than 5 percent year-on-year growth.
BPCL itself registered its highest-ever packed LPG sales of 8,339 thousand tonnes in FY25, securing a record 27.49 percent market share and achieving the industry's top sales growth of 5.19 percent. The company also led in Domestic, Packed, Bulk, and Total LPG categories. Its customer base now stands at 9.46 crore, including approximately 2.68 crore PMUY beneficiaries.
Multi-pronged Infrastructure Investment
The ₹4,600 crore capital expenditure will focus on augmenting import facilities and expanding storage capacities. A key project involves enhancing the LPG import facility at JNPT Uran, with an ₹1,800 crore investment planned to double its storage capacity from 30,000 tonnes to 60,000 tonnes by 2026. This project aims to debottleneck cryogenic facilities and ensure supply chain robustness.
Further expansion includes adding 22,000 tonnes of additional storage for ₹700 crore, 95,000 tonnes of cavern storage along pipeline routes for ₹2,000 crore, and 80,000 tonnes of storage at new import terminals on the West or East Coasts for ₹1,700 crore. Additionally, BPCL plans to invest ₹230 crore in new LPG bottling plants with 9,000 tonnes of storage capacity.
Modernization and Value Addition
BPCL's current distribution network comprises over 6,250 LPG distributorships and 56 bottling plants. Sales have shown robust growth, rising nearly 7 percent year-on-year to 2.35 million tonnes in Q2 FY26 and 9 percent year-on-year to 4.48 million tonnes in H1 FY26.
The company is also actively enhancing its presence through value-added products, including the energy-efficient Bharat Hi-Star LPG stove and Bharatgas Insta, an AI-powered smart vending machine for 24x7 cylinder purchases or exchanges.