Skip to content Skip to navigation

Danger looms over existence of century old oil refinery


Established in 1901 Digboi oil refinery is not only India’s, but Asia’s first oil refinery, which is now losing its glory due to present marketing policy and mismanagement. According to the workers of the refinery the journey of oil industry in India began from Digboi in Assam. After long sixty years, Indian Oil Corporation Ltd (IOCL) came into existence in 1962, with its first refinery at Guwahati. Under the IOCL and even prior to that there was no effort by the management to increase the production capacity of this refinery. Whereas, for the survival of refinery its capacity should have been increased to 9 million MT, it came down to 0.65 million tons. In the meantime, the IOCL increased the capacity of outside refineries, but for Digboi, it maintained the plea of scarcity of crude oil and the market.


Mineral Oil Workers Union (MOWU) representing the workers of Digboi refinery have now demanded to establish a separate Assam Oil Marketing Division for the Northeastern region, with its Head Quarters at Guwahati. It has argued, when IOCL could supplying crude oil from Mumbai seashore to the Mathura refinery in Uttar Pradesh and from Haldia sea port to Barauni refinery in Bihar, why the Assam Oil Company could not get fair treatment from the government. Recently, IOCL has prepared a project report to increase the production of Numaligarh refinery from 3 million metric ton to 8 million metric ton, but it has shown its inability to increase the capacity of century old Digboi refinery on various grounds. The Union has alleged that the Centre and state governments, IOCL and AOC high officials are playing discriminatory role in respect of Digboi refinery.


It may be mentioned in this context that Assam Oil Marketing Division was brought under the Indian Oil Corporation Ltd, in the year 2008 and in the name of North East Integrated State Office (NEISO), an office was opened at Guwahati. This office is controlled by Kolkata based marketing division’s Eastern Division Office. The workers of Digboi were given to understand that there would be no change in the Assam Oil Division (AOD) marketing and by cutting down the expenses the profit would be increased. This assurance did not carry any meaning and the AOD marketing has been lost, the union alleged. Losses have increased due to reduced production and Assam Oil Company (AOC) and its historic sign of Rhino have now been removed. A number of workers and officials from IOC have occupied the positions in AOD offices.


Further, due to Eastern Regional Divisional office operating from Kolkata all the functions related to appointments, contracts, printing and miscellaneous items’ purchases are done at Kolkata. As a result the people of the Northeastern region are deprived of these opportunities. Even now, Assam Oils’ LPG plant, distributional terminal, retail outlets are more than the IOCL Marketing Division. The office establishment of AOD is also better than the IOCL Marketing Division.


It is vital to remember that Assam Oil Company was nationalized in 1981 and it was recognized as a division of Indian Oil Corporation (IOCL), because it has its refinery, pipelines as well as marketing network. At this stage, if it loses marketing network, there would be no Assam Oil Division, workers fear. The refinery would have to depend on production of .65 million MT oil refining capacity and incurring heavy losses which would let the factory die. There would be no Digboi without Assam Oil. Besides, not a single industry came up in Digboi during last one century, except the Assam Oil refinery. Till now there is no downstream industry and day by day the number of workers in the refinery is going down. Since the year 2006 more than five hundred workers have retired from the services and at present the number of workers stands at 1700 only. The doors are closed for new appointments and very shortly the number of workers is likely to go down to 1000. Under the circumstances, the Mineral Oil Workers Union has demanded that Indian Oil Corporation should constitute a separate division for North Eastern Region with its headquarters at Guwahati to do entire marketing works. The Assam Oil Division is confident of doing successful business in the Northeastern region. The Union has also demanded that till the constitution of a new division AOD should be given the responsibility of marketing in the region.




Add new comment

Random Stories

Preparation for National Youth Festival

National Youth festival in Guwahati

7 Jan 2015 - 8:55pm | Abdul Gani
The 19th National Youth Festival 2015 starts from Thursday at Nehru Stadium in Guwahati. The union ministry of sports and youth affairs in collaboration with the Assam directorate of...

Raised latrine with hand-wash facilities in disaster prone installed by NGO

14 Apr 2012 - 2:07pm | editor
Flood is a common phenomenon in the state of Assam which hit the large majority of its riverine community every year. The rapid climate change, dynamic monsoon rainfall, unique environmental...

BSNL employees observes 48 hours strike

20 Aug 2009 - 4:37am | bishwajeetsinha
The public sector telecom company BSNL witnessed total shut-down of work today, when its BSNL Employees Union members under the banner of United Forum of BSNL Unions observed 48 hours strike in...

Mass signature campaign against Citizenship Bill

28 May 2018 - 1:20am | Shajid Khan
Udalguri AGP conducted mass signature campaign against the Citizenship (Amendment) Bill 2016, in Tangla on Sunday. The Citizenship (Amendment) Bill 2016 seeks to grant Indian citizenship to illegal...

Other Contents by Author

Despite many differences with the sayings and doings of the Chief Minister, Tarun Gogoi, I share at least one of his views on an occasion that the people of Assam are ‘emotional’. He is right, I agree since watching the various affairs through which the state has passed and the CM has succeeded in having the reign of state administration successfully for about one and a half decades. Since the beginning of last phase of 20th century, I recall the memories of Assam agitation against the foreigners issue in the state right from  the year 1979. The students and the general public under the banner of All Assam Students Union (AASU) and Asom Gana Sangram Samiti (AGSS) brought the entire...
More than two hundred villagers and beneficiaries of Indira Awaas Yojana ( IAY ) scheme , under Raha revenue circle ,today staged a demonstration in front of the Block Development Office ,Raha.The demonstrators shouting slogans against Ataphoor Rahaman, BDO , Raha block alleged that their funds meant for the construction of their IAY house were not released for several months by the BDO due to the fishy deal between the BDO and Raha MLA Piyush Hazarika. Later , talking to the media the BDO also confessed the allegations leveled against him by the demonstrators and agreed to release the funds.
It’s rightly said, ‘where there is a will there is a way’. It has come true in the life of a school teacher from the remote northeastern state of Tripura, which lags behind the facilities in the field of development in many respect. Sujit Bhowmik, a retired science teacher from Government school, Agartala has earned a number of achievements to his credit during his tenure in service and has continued his efforts even after his retirement. He contributed a number of articles related to health, environment and wildlife etc; in English and Bengali language newspapers and periodicals. Several books he has got published so far with him minimum source of income.Now, he has come out with a single...
Recent controversy between Assam Governor, Padmanabha Balkrishna Acharya and Chief Minister, Tarun Gogoi over the issue of rhinos killings in state has brought a number of questions in the mind of the people regarding danger to the life of world famous one-horn rhinos.  A large number people have started thinking whether the elimination of the state symbol is ‘state sponsored’ one?. Large number of brutal killings of famous rhinos in the state have come into light through media continuously for a long time, but the state administration seems to be uncared and unmoved on this serious subject. The head of the state as a citizen of India has every right to express his views and anguish on...
For film enthusiasts of Assam and the Northeast  region of the country, an  intensive workshop has been designed and developed by the Institute of Moving Images, a well known film school from Mumbai, which will be conducting a workshop at the State Art Gallery from  March 15. The classes will be held for two months on every Saturday and Sunday from 2 PM to 7 PM.Pankaj Roy, the director of the IMI, a seasoned film and TV programme producer and director, addressing the  media persons at Guwahati on March 2, last informed that during the two months weekend workshop the members would write, shoot and edit four short films of their own and assist others in 20 student film...
In a significant development in which India failed to take-up issues with the Chinese government, Bangladesh has dared to push the issue relating to both the neighboring countries.  According to a media report Chinese government planned to construct several mega dams and hydro projects in Brahmaputra (Lohit) basin in Tibet’s Jangmu and Great Bend region. Bangladesh opposed the Chinese plan through a strong letter from Dacca to Beijing. A copy of the letter from Bangladesh’s foreign office was also sent to Bangladesh high commissioner’s office at New Delhi and Chinese embassy in Dacca. Bangladesh through this letter suggested to hold a three-party meeting among China, Bangladesh and...
Durniti Birodhi Manab Adhikar Suraksha Mancha (DBMASM), an NGO has challenged Assam forest minister, Rockybul Hussain, for his misleading and indecent behavior against Krishak Mukti Sangram Samiti (KMSS) leader, Akhil Gogoi as shown on a local leading TV channel recently. The Manch president, Pradip Baruah, has alleged in an open letter addressed to the forest minister on his claim as ‘absurd’ that he has proved hundred percent successful forest minister. Baruah has ridiculed the minister’s claim and asked him to prove his success in saving the rhinos or in getting them killed? He has drawn his attention on the regular media reports of killing rhinos in the state.The Manch president...
Assam Chief Minister, Tarun Gogoi, is perhaps the supreme stalwart in the country, who dared to under-estimate the Prime Minister, Narendra Modi’s dynamism, capability and strength. On most of the occasions, he seems to have challenged PM, Modi in order to prove ‘himself ‘ as better being’ proud’ of ruling the state of Assam for last fourteen years. He claims himself better administrator, because he has gained mastery in dividing the people on different issues, which he has hired from the past British rulers of the country. The simple and humble people of Assam fall prey of the false stories of development without moving out to find the truth about such developments. Those who oppose and...
India accounts for nearly 69 million people living with diabetes according to a report published by the International Diabetes Federation (IDF). According to latest IDF estimate the worldwide 382 million people are living with diabetes. India is known as the Diabetes capital of the world. November 14 is observed as the World Diabetes Day. The North Eastern Diabetes Society (NEDS), a non-profit organization of prominent diabetologist and endocrinologist of the North-east is celebrating this day in Guwahati in a grand way. This day was chosen as the birthday of Fedrick Banting, a medical scientist who co-discovered Insulin and was the first person to use it on humans.Diabetes in Indians is...
It is more than six months, when Guwahati Municipal Corporation (GMC) decided to construct four city markets buildings at a time and in a hasty action a ‘mockery of foundation stone’ laying ceremony of four markets were done by nobody else than the Assam Chief Minister, Tarun Gogoi himself at a single place located in densely populated area of Ulubari. The existing Ulubari GMC market had to bear the brunt of damages of the stalls created by the poor traders of the market for the function. GMC Commissioner and Mayor along with some other GMC officials approached the office bearers of the Ulubari Bazar Committee on March 4,2014, with the information that the foundation stone laying ceremony...