French energy major, Total SA and Adani Gas have decided to seek government’s nod to open retail fuel stations in India to become a full-service operator providing a multi-fuel offering. The joint venture (JV), Total Adani Fuels Marketing Private Limited, will shortly apply for a licence under the new liberal fuel retailing rules.
In October 2019, Total SA had acquired a 37.4 per cent stake in Adani Gas Limited for about Rs 57 billion, marking a huge bet on India’s push for clean energy. The government had eased fuel retailing norms, allowing non-oil companies to set up petrol pumps to boost competition, in October last year. Recently, in June 2020, the government has also allowed entities to set up liquefied natural gas stations anywhere in the country with an aim to raise share of gas in India’s energy mix to 15 per cent by 2030 from the current 6.2 per cent.
These measures have made India an attractive destination for oil majors. In July 2020, the British oil major, BP and India’s Reliance Industries (RIL) also formalised their joint venture Reliance BP Mobility Limited (RBML) wherein BP holds 49 per cent stake while RIL holds the rest. The RBML has plans to expand fuel retail outlets to over 5,500 from the present over-1,400. Further, another oil major, Adani Gas Limited has also planned to sell liquefied natural gas for transportation.