CPCL wants to be part of renewable energy growth path: H. Shankar

Refinery to Energy Hub: A Vision of the Future : N. Ravikumar, Senior Associate Editor, The Hindu, in conversation with H. Shankar, Managing Director, Chennai Petroleum Corporation Limited at the Sustainability Summit 2026 held at ITC Grand Chola, Chennai on 23 September 2026. | Photo credit: B. Jothi Ramalingam

Chennai Petroleum Corporation Limited (CPCL) Chief Executive Officer H. Shankar said on Wednesday (September 23, 2026) that the company is considering how it can be part of the renewable energy growth path. “CBG (Compressed Biogas) is a fuel that can be a good form of energy that we can invest in. With SAF (Sustainable Aviation Fuel) we can be a part of aviation fuel sustainability,” Mr. Shankar said during a fireside chat during CPCL-The Hindu Sustainability Summit 2026 with The Deputy Editor-in-Chief N. Ravikumar.

This August was a very important milestone in the automobile sector, when more renewable, hybrid EV (electric vehicles) and CNG (compressed natural gas) vehicles were registered than vehicles using hydrocarbon derivatives as fuel, Mr. Shankar said.

“We are watching the transition that is happening now. Although the impact is more on two- and three-wheelers, it is only a matter of time before it (renewable energy) really changes the larger means of transportation as well. Refineries will continue to thrive despite the shift of cars from fossil fuels to renewable energy. We will change our refining from fuel to petrochemical, said Mr. Skar, according to the needs of our customers.

Talking about CPCL’s refinery in Manali, Mr. Shankar said that the company is building its own infrastructure requirements for direct import of green energy and has started using green energy in its day-to-day operations. “So in this way we are also preparing for the transition from fossil fuels to renewable energy as a means of supplying energy for processing needs,” he said.

In Nagapattinam, where CPCL is in a joint venture with Indian Oil Corporation Limited (IOCL) and originally proposed a nine-million-tonne-a-year refinery and a small polypropylene component with petrochemical feedstock, the company is taking an alternative route. “When we look at the internal rate of return that flows from the project, we are looking at an opportunity to go directly into the petrochemical sector,” Mr Shankar said.

On the company being given the ‘Navratna’ status, Mr. Shankar said it was a recognition from the Government of India that brought many benefits as well as many responsibilities and accountabilities. “Our board now has the power to approve project approvals without any restrictions on a stand-alone basis. We also have a lot of flexibility in terms of creating joint ventures to move forward,” he said.

“Earlier, our proposals of ₹ 500 crore and above went to IOCL for further approval. Now all the power is on us. So we have to do our own due diligence thoroughly because whatever we do, it goes directly into the execution mode. And our responsibility to the stakeholders also increases manifold,” Mr. Shankar said, adding, “So, I would say we have a lot of responsibility, we are ready.”

The Summit is supported by Chennai Petroleum Corporation Limited (CPCL) as Presenting Partner, with NLC India Limited, Larsen & Toubro (L&T), Navin’s, WABAG, Tamil Nadu Newsprint and Papers Limited, Indian Bank, Urbando and State Bank of India as Associate Partners.

The summit’s sustainability partnerships include Thermax as Sustainable Cooling Partner, Treeni as Intelligence Sustainability Partner, Chennai Port Authority as Blue Economy Partner and Tamil Nadu Green Climate Company as Climate Action Partner.

Mangaldeep is the Perfume Partner, Puthiya Thalaimurai the TV Partner, Federal the Digital TV Partner and Communitree the NGO Partner.

Published – 23 Sep 2026 23:30 IST