HPCL Petroleum Startup Fund

HPCL Petroleum Startup Fund

HPCL Petroleum Startup Fund

The startup scheme of Hindustan Petroleum Corporation Limited (HPCL) is a program which funds the innovators and entrepreneurs to work on innovative projects. Under this start-up scheme, HPCL grants fund for the entrepreneurs who have established proof of concept (POC) for the successful commercialization of innovation. In this article, we look at the HPCL Petroleum Startup Fund in detail.

Objectives of the Scheme

The objectives of the HPCL start-up fund scheme is given below:

  • To provide fund for the projects in energy and hydrocarbon by promoting the creation of new start-ups and establishing or validating proof of concept (POC) leading to business development.
  • To promote innovators and entrepreneurs or projects have established proof of concept (POC) with commercial potential to eventual commercialization/implementation.

Eligibility Criteria

Individual

To apply for assistance under this scheme, an individual should possess the following criteria:

  • The individual must be an Indian citizen, including NRIs who are willing to work in projects with innovative technologies.
  • The applicant should be employed or registered as a student with a profit/non-profit academic or research organization.
    • ┬áIn such cases, the student has to produce a No Objection Certificate (NOC) from the head of the organization, indicating that the organization allows the applicant to participate in startup scheme and undertake HPCL projects.
  • In case of an employee, the applicant should provide the resignation/relieving/retirement letter as supporting document before final approval of the fund.

Company

To apply for startup assistance under this scheme, the company should possess the following criteria:

  • The company must be registered under the Indian Companies Act.
  • The company must be owned and controlled by an Indian citizen.
  • The company should have Research and Development facilities that are functional and adequate to execute the project. If the company does not own a functional laboratory of its own, then it should have plans for incubation with institutions/centres/ organizations with adequate laboratory facilities.

Note: If a company has already availed HPCL support, then the company will not be eligible for this support again.

Nature of Projects

The below-listed project areas are supported under this fund:

  • Any projects that propose a product innovation with significant impact or commercial potential.
  • Any projects with clear technology objectives.
  • Any projects focused on establishing or validating proof-of-concept for an innovative idea.
  • Any projects proposed to reduce uncertainties in technology.
  • Any projects focused on providing the scientific data needed to demonstrate an idea to potential licensors/investors, etc.
  • Any innovative ideas which are relevant to HPCL’s line of business/petroleum industry/future areas of the industry.

Note: It does not apply to:

    • basic projects that aim to exhibit scientific principles without technology commercialization objectives.
    • projects without any ideas for promoting commercialization.
    • projects with no element of innovation.
    • projects with ethical severe and Environment Health Safety (EHS) risks.
    • projects which are not similar to the objectives of the Start-up India scheme.
    • projects which have received funding for the same objectives from other companies.
    • projects which are in kind of Research and Development with no potential for commercialization.
    • projects which are not connected to the nature of HPCL business or allied services.

Note: Funding under this scheme cannot be used to support PhD student research or any other academic research.

Focus Sector

The following are the areas that will be supported under the HPCL Start-up scheme:

  • Alternate Usages of Petroleum Products, Lubes & Base Oils.
  • Automation/Robotics – LPG, Retail, Refineries.
  • Business Analytics, including IOT.
  • Business process/re-engineering software/IT and logistics related development.
  • Cashless payments solution – Retail.
  • Cost Optimization solution – Storage/Logistics/Usage/Packaging.
  • Cross country pipelines security & safety.
  • Customer Loyalty Program
  • Development of a device for cracks/leak detection in pipelines.
  • Gas/liquid leak detection and protection system.
  • Improved Asset Utilization.
  • Innovative scheme for zero effluent in refineries.
  • Innovative storage solution – Energy, Petroleum Products, Lubes, Base Oils.
  • Inventory Management – Petroleum Products, Lubes, Base Oils.
  • Lightweight LPG cylinders with improved safety measures.
  • Low-cost fuel quality monitoring and onsite detection devices.
  • Low-cost Model for Waste to Energy.
  • Low-cost on-site lube condition monitoring techniques.
  • Low-cost process for desalination of sea water.
  • Low-cost synthetic Lube base stocks Polyalpha Olefins (PAOs)/Esters and friction modifiers.
  • Lube Packaging.
  • Manufacturing of biofuels, including Ethanol.
  • Manufacturing of NanoMaterials/Catalysts.
  • Non-fuel business model for Retail Networks/LPG.
  • Portable bio-toilets for Retail Outlets.
  • Replacing the heat source in refineries by renewables.
  • Secured Digital Marketing solution.
  • Significant reduction in emissions.
  • Waste disposal.
  • Other open areas related to the petroleum refining, marketing and alternative energy.

Project Lead

Every proposal must identify a Project Leader who will take responsibility for the technical and managerial aspects of the project execution. The project leader must satisfy the below-mentioned criteria:

  • The Project Leader should be technically qualified to undertake the project.
  • The Project Leader should have completed a graduate/post-graduate course in engineering/chemistry/biotechnology/sciences.

Documents Required

The following documents are to be furnished at the time of submitting the application form:

  • Copy of letter of commitment from scientific advisors to serve as honorary advisors, if applicable.
  • Copy of letter of intent of key members of the team.
  • Copy of letter of interest/intent from the incubator, if any.
  • Evidence of access to key facilities needed to execute a project.
  • Letter of acceptance or Memorandum of Understanding (MoU) with the incubator, if any.
  • Formal agreements/MoUs with other key facilities/suppliers.
  • Any other due diligence documents if required by HPCL.

Application Procedure

To apply for the HPCL startup scheme, the applicant has to visit the HPCL Start-up portal and enrol as the new user by filling the new user registration form. After registering into the portal, the applicant has to fill the application form with the required details and then upload all the necessary documents and submit your application online. After submitting the startup application form, you will receive an acknowledgement for further reference.

Evaluation Criteria

The proposals are evaluated based on the following criteria:

  • Feasibility of the idea
  • Novelty/Innovation
  • Importance and potential impact
  • Strategy for commercialization
  • Barriers/Risks and strategies to address them
  • Team profile and capabilities
  • Project plan

Selection of Beneficiaries

Applications that are received under the HPCL Start-up portal will be considered for monitoring, evaluation and selection. The proposal will then be reviewed based on relevance, business potential, deliverables and scalability for shortlisting. Due-diligence of the shortlisted proposals will be carried out along with finalisation, schedules and agreements. The final selected proposals will be intimated to the applicant for further start-up proceedings, including the signing of an agreement with HPCL.

There are similar startup programme by other oil companies. For Indian Oil startup fund, please refer this link: https://www.indiafilings.com/learn/indianoil-startup-fund/

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Post by Karthiga

IndiaFilings is India's largest online compliance services platform dedicated to helping people start and grow their business, at an affordable cost. We were started in 2014 with the mission of making it easier for Entrepreneurs to start their business. We have since helped start and operate tens of thousands of businesses by offering a range of business services. Our aim is to help the entrepreneur on the legal and regulatory requirements, and be a partner throughout the business lifecycle, offering support at every stage to ensure the business remains compliant and continually growing.