Paradip: Three public sector oil companies in this port town will draw water from the Taladanda Canal to meet their needs, and to tackle potential fire mishaps in future, a report said. The matter came out after the oils firms signed MoU with the state water resources department last week and deposited security money. The water will be supplied to them in the next six months.
Indian Oil Corporation Ltd (IOCL), Hindustan Petroleum Corporation Ltd (HPCL) and Bharat Petroleum Corporation Ltd (BPCL) have established oil terminals at Bauria Palanda here.
The oil terminals store several lakh tonnes of refined oil which is transported in tankers to destinations in and outside the state.
A gas terminal also exists at the same place. The huge amount of refined oil and gas stored at the terminals are highly inflammable, and the possibility of a fire mishap can never be ruled out. However, the oil firms lack sufficient water to fight fire in their terminals.
The move came after Collector Guha Poonam Tapas Kumar, expressing concern over media reports, directed the factories and boilers (F&B) department to conduct a probe and submit a report to her.
The reports by the F&B department warned about the looming threat of a major fire mishap in these oil terminals as they lack sufficient water.
The F&B department conducted a probe and hinted at the water scarcity plaguing the terminals.
The department also directed the three oil firms to make alternative arrangements for water, Chandrakant Dalei, assistant director of the department, said.
The oil firms will now draw water from the canal by paying a price.
The three firms have been drawing water from the Paradip port since 2003. The port uses 3 MGT untreated water daily and also supplies it to the oil firms.
The port authority restricted water supply to the oil firms after then water resources secretary Vishal Gagan found severe irregularities in water sale to the firms and in installation of water meters.
He found that Paradip Port is drawing double the amount of water than the prescribed limits of 3 MGT.
He imposed a penalty on Paradip Port and the latter stopped supplying water to oil companies. The port authorities also restricted water supply to residents in the port town to once a day.
The oil terminals after being denied water supply by the port authorities are now purchasing water in tankers to meet their needs.
An engineer in the Public Health Engineering Department (PHED) warned that with the Mahanadi drying up in summer the residents of the port town are likely to face severe water shortage in future.
The people have asked the state government and the port authorities to make alternative arrangements for water before the situation worsens.