Chennai Petroleum to launch retail fuel outlets with Rs 400 crore capex commitment.

IndianOil's Chennai Petroleum Corporation Ltd is marking its 60th year by planning to open retail outlets for petrol and diesel. A senior official announced this initiative on Tuesday. The company, which operates refineries near Chennai, has allocated Rs 400 crore for expanding into retail business.

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“We are starting to open retail outlets,” said CPCL Managing Director H Shankar. “About 20 years ago, CPCL had a standalone outlet in Sriperumbudur. Now, we are returning to this growth path. We want to open some outlets during our Diamond Jubilee year, which is a special goal we are working toward.”

He didn’t specify how many outlets they plan to open initially. However, he mentioned that the first outlets could be launched during the Diamond Jubilee celebrations. “The outlets will sell petrol and diesel. We have received permission from the Ministry of Petroleum and Natural Gas to set up these outlets. We are moving forward with that plan,” he added. When asked about the number of outlets, Shankar said, “It’s a startup for us. We want to see how the market responds during this year. We've set aside Rs 400 crore for this, spread over two to three years.” He added that if the response is good, they could expand faster and open more outlets.