CPCL to Compete in Retail Fuel Sector.

Chennai Petroleum Corporation Ltd (CPCL) is poised to enter the retail fuel market, announcing its plans to soon sell petrol and diesel directly through its own branded outlets. This marks a significant shift for the refiner, a subsidiary of Indian Oil Corporation Ltd (IOCL).

The crucial approval for CPCL to exercise Retail Marketing Rights for Motor Spirit (MS) and High Speed Diesel (HSD) was granted by the Ministry of Petroleum & Natural Gas on Tuesday. CPCL made the announcement to the National Stock Exchange (NSE), signaling its impending foray into fuel retailing.

Currently, CPCL operates a refinery with a capacity of 10.5 million tonnes per annum (mtpa) at its Manali factory in North Chennai. Historically, the entire volume of refined products, including petrol, diesel, and LPG, has been supplied to its parent company, Indian Oil, for retail distribution. With this new approval, CPCL will now have the ability to market these products under its own brand, potentially leading to a new dynamic in India's competitive fuel retail landscape.