There is good news for Amethi - the constituency of Congress MP Rahul Gandhi - with Bharat Petrochemicals Ltd (BPCL) being asked to prepare the blueprint for setting up an oil refinery there, official sources say.

A highly placed source in the petroleum ministry told IANS, "A preliminary survey report has already been submitted to the petroleum ministry. A large chunk of land has been identified in Kathaura village." 

Sonia Gandhi, Congress party president, and her son and MP, Rahul, have repeatedly criticised Uttar Pradesh Chief Minister Mulayam Singh Yadav for neglecting Amethi.

And this is not the first time such a proposal has been mooted either. Way back in 1991, a similar move had been initiated by the then P.V. Narasimha Rao government.

Then Amethi MP Satish Sharma who was also petroleum minister at one time had promptly gave a go-ahead to the proposal, but certain objections were raised about the economic viability of the project, following which it was shelved.

Subsequent non-Congress governments allowed the proposal to gather dust until the party's return to power at the centre last year.

Asked about the viability of the project, the official said, "Since 70 percent of India's oil requirement comes from other countries by sea, oil refineries have been more suited in coastal areas." 

But, he said, "Amethi is ideally suited for another reason - the proximity to large parts of eastern Uttar Pradesh and Bihar would facilitate cheaper transportation costs to these areas."

What is further being argued in favour of Amethi is the "easy availability of 3,000 acres of land". Since the area is sparsely populated, it will not require any major displacement of people.

"As per our study, it will entail the displacement of just about 360 people," the source said.

But what about the poor availability of power, which has held back industrial development in the area? During his last visit to the constituency, Rahul had declared he would push a few federal schemes to augment the availability of power in the area.