Total and Adani join forces for LNG and Fuel Retail in India
Retail Network of 1,500 service stations envisaged over 10 years
Total and Adani Group have signed an agreement to jointly develop multi energy offers for the Indian energy market. This cooperation includes Liquefied Natural Gas (LNG) and Fuel Retail.
The partnership has set a target of developing various regasification terminals including Dhamra LNG, on the East coast of India.
Total and Adani will create a Joint Venture to build a retail network of 1,500 service stations over the period of 10 years, on the main roads of the country, such as highways and intercity connections. These new service stations, in line with international standards, will offer Indian customers Total’s full lineup of fuels, lubricants, as well as a broad range of other products and services.
“India’s energy consumption will grow among the fastest of all major economies in the world over the next decade. The partnership between Total and the private Adani Group illustrates our joint commitment to assisting India to diversify its energy mix and to ensure a supply of reliable, affordable and clean energy to consumers. We are thrilled to build this broad partnership with the Adani Group, benefitting from its in-depth knowledge of the Indian energy market, as well as its access to infrastructures through a significant footprint in several of the country’s key ports,” said Patrick Pouyanné, Chairman and CEO of Total.
“I am delighted to partner with Total, one of the biggest energy companies in the world. The collaboration enables us to associate with Total’s century-old legacy, global presence, scale and unparalleled go-to-market expertise. The global synergy between the two groups presents widespread benefits and long-term value for the economy and the people of India. We are looking forward to this opportunity to touch millions of lives by leveraging our collective footprints and domain expertise in the energy sector. It also enables the Adani Group to be part of the country’s vision in adopting cleaner energy,” said Gautam Adani, Chairman of the Adani Group.
With deregulation of petrol in June 2010 and diesel in October 2014, private players have expanded their market share in fuel retailing in India.The joint venture will tap into a market growing at 4% per year driven by the development of road infrastructure and the emergence of middle class.
The share of private fuel companies in petrol retailing increased to 6.8 per cent during financial year 2017–18 from 3.5 per cent during the financial year 2015–16.
