AP launches new policy with aim of ramping up oxygen production

Amaravati, May 18 (PTI): Andhra Pradesh government on
Tuesday unveiled the AP Industrial Gases and Medical Oxygen
Manufacturing Policy 2021-22 with the main aim of augmenting
oxygen production capacity in the state from the present 360
tonnes to 700 tonnes in tune with the growing demand.
Chief Minister Y S Jagan Mohan Reddy unveiled the
policy here on Tuesday night, an official release said.
     The policy targets establishment of at least 50
Pressure Swing Adsorption technology oxygen plants in both
captive (in hospitals) and non-captive modes.
     Drafted by the Department of Industries, in concert
with the Department of Medical and Health, the new policy
will be in place for a period of one year, the release said.
     "The demand for medical oxygen in the state has
grown exponentially due to the COVID second wave and is
currently at 600-700 MT.The state's production capacity is
currently at 364 MT and the rest of the demand is being met
through supplies from Odisha, West Bengal and Karnataka," the
release added.
     It said the government has received intent from
some companies for production of oxygen at different
locations in the state to augment the capacities.
     Also, six sick PSA units have already been
identified and refurbished for producing oxygen.
     The government will provide an incentive of up to
Rs 30 lakh (capital expenditure) and power subsidy of up to
Rs 2 per unit (operational expenditure) to "allow the units
to maintain profitability during these uncertain times", the
release added.
     The new policy aims to support all technologies
like PSA, liquid oxygen and helium-mixed oxygen (Heliox).
     The 13 districts in the state have been classified
into three zones for effective implementation of the policy.

(This story has not been edited by THE WEEK and is auto-generated from PTI)