After Officers, 9 Major IOCL Pipeline Unions Write To PM Modi Seeking Immediate Appointment Of Director (Pipelines)

Close on the heels of the Indian Oil Officers’ Association raising concerns over vacancies in top management, nine major recognized unions of the Pipelines Division of Indian Oil Corporation Limited have now written to Prime Minister Narendra Modi seeking urgent intervention for immediate appointment of Director (Pipelines) and protection of the division’s existing operational structure.

In a joint representation, the unions said the Director (Pipelines) post has remained vacant for over five months despite shortlisted candidates being available and PESB having already announced interview dates. The signatories expressed concern over reports that the post may be abolished under IndianOil management’s proposed “Synergy System” restructuring, calling such a move “a disastrous step” without sound rationale.

The unions stated that IndianOil currently operates more than 20,000 km of petroleum product pipelines and 7,000 km of CGD gas pipelines, forming a combined network of over 27,000 km traversing nearly 12,500 villages across the country. They said the Pipelines Division has built unmatched institutional expertise over nearly six decades in maintaining high-pressure hydrocarbon pipelines and handling innumerable incidents of pilferage attempts every year.

According to the letter, the proposed Synergy System seeks to merge around 40 pipeline locations with marketing locations and align pipeline operations with marketing functions. The unions have opposed this proposal, saying Pipelines Division manpower is barely around 10 per cent of IndianOil’s total workforce of approximately 32,000 employees and therefore such restructuring would have limited impact on cost optimization while risking the technical expertise built over decades.

They said handing over operations of nearly 20,000 km of underground pipeline network to the Marketing Division would undermine safety, security and efficient functioning, especially when the marketing vertical is already dealing with its own market-share and business challenges.

The unions further stated that a single lapse in pipeline integrity could have catastrophic consequences for millions of citizens living along IndianOil pipeline Right of Way corridors, including fires, explosions and environmental damage. They said the proposed restructuring could dilute emergency response capability, weaken statutory compliance and compromise public safety.

Drawing a comparison, the signatories pointed out that GAIL (India) Limited, which operates around 10,000 km of pipelines, functions as a separate Maharatna company with a CMD-led board and five functional directors, whereas IndianOil’s much larger pipeline network is facing uncertainty over continuation of a dedicated Director post.

The unions also opposed the proposed relocation of Pipelines headquarters from Barauni to Patna and from Mourigram near Kolkata to Durgapur, stating that such shifts would lead to unnecessary expenditure of crores of rupees of public money without any tangible operational benefit. They said the present locations are strategically placed close to refinery and operational hubs and changing them would adversely affect efficiency.

In their representation, the unions requested the Prime Minister to ensure three immediate measures — expeditious appointment of Director (Indian Oil Pipelines Division), non-implementation of the proposed Synergy System restructuring, and retention of the existing Pipelines headquarters at present locations.

The letter has been jointly signed by office-bearers of Indian Oil Corporation Pipelines Workers Union, Indian Oil Pipelines Employees Union, Petroleum Employees Union Koyali-Ahmedabad Pipeline, Indian Oil Pipeline Employees Association, Indian Oil Corporation Mazdoor Union, Southern Region Pipelines, Indian Oil SERPL Employees Union, Pipeline Head Office Employees Association and Indian Oil Pipelines Permanent Workers Union.

The unions said they remain committed to safeguarding the integrity of India’s IndianOil pipeline network and serving the nation with the highest standards of safety, efficiency and reliability.

www.indianpsu.com has learnt that the twin representations from officers and pipelines unions within days of each other have significantly raised the temperature inside IndianOil, with the issue now no longer being viewed merely as a personnel vacancy but as a test case of how India’s largest oil PSU intends to balance restructuring ambitions with operational safety and strategic accountability.

www.indianpsu.com will continue to track developments on this emerging governance issue.

WE REPORT - YOU DECIDE...