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Alleged Irregularities in Digboi Refinery Expansion Trigger Local Outrage

Assam-based suppliers claim their identical material samples were rejected without justification, suggesting a bias in the selection process.

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HT Digital

GUWAHATI, APR 7: Serious concerns have been raised by unemployed youths from the rural areas of Digboi in Assam’s Tinsukia district, over alleged irregularities in the awarding of contracts for the Digboi Refinery Expansion Project.

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The ambitious Rs 740.20 crore project aims to increase the refinery’s capacity from 0.65 to 1 million metric tons per annum. However, instead of generating local employment, many claim the project has become a symbol of favoritism and exclusion.

According to allegations, the initial contract was awarded to Keller Ground Engineering India Pvt. Ltd., but the actual work was then passed on to a few selected parties, including businessman Hemanta Agarwal and three others.

Local contractors and unemployed youths say this process bypassed several capable local firms and individuals, denying them fair opportunities to participate in the large-scale project.

A major point of contention is the sourcing of over 6,000 cubic feet of minor minerals—essential materials for the expansion—which are reportedly being supplied exclusively from crusher mills based in Roing, Arunachal Pradesh.

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Assam-based suppliers claim their identical material samples were rejected without justification, suggesting a bias in the selection process.

In a move that has further raised eyebrows, the district administration reportedly held a meeting after which 33% of the civil work was handed over to a group called the Unemployed Union of Digboi.

This decision has sparked outrage, with many questioning the legitimacy of the group and alleging that deserving local youths were sidelined in favor of an organized syndicate.

Amid growing frustration, various media groups, student organizations, and concerned locals have stepped in to demand transparency and fairness in the entire contracting process. A formal plea has been submitted to top government officials, including the deputy commissioner and Assam’s industries minister, calling for urgent intervention and corrective action to ensure justice for the region’s unemployed youths.

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