Revamping Petroleum and Pure Gasoline Rules: Hardeep Singh Puri Proclaims 2025 Overhaul

Union Minister for Petroleum and Pure Gasoline Hardeep Singh Puri (File photograph/PTI)

Union Petroleum and Pure Gasoline Minister Hardeep Singh Puri on Thursday introduced a sweeping set of amendments to the Petroleum and Pure Gasoline Guidelines, 2025, describing the transfer as a significant step towards enhancing ease of doing enterprise and strengthening India’s home hydrocarbons ecosystem.

In an X submit, the Minister wrote that India “continues to strengthen the infrastructure for home exploration and manufacturing of hydrocarbons as we transfer forward in direction of attaining vitality safety below the dynamic management of Prime Minister Narendra Modi”.

Calling the amendments a “landmark second”, Puri outlined a complete overhaul of procedures, rights and compliance necessities governing petroleum leases.

Based on Puri, one of the vital important modifications is the enlargement of the rights accessible below a single petroleum lease.

“With broader spectrum of rights below one petroleum lease, the lessees can have the fitting to hold out all forms of mineral oil operations below one petroleum lease.”

“As well as, they might undertake decarbonization and complete vitality initiatives at oilfields,” he mentioned.

The change is designed to consolidate operational permissions and cut back administrative fragmentation for firms looking for to undertake various petroleum-related actions.

The Minister additionally emphasised that timelines for approvals have now been streamlined.

As per the amended guidelines, “software for grant of petroleum lease can be determined inside 180 days”, with long-term leases of as much as 30 years permitted.

These leases “could also be prolonged as much as financial lifetime of the sphere, permitting lessee to make deliberate funding determination,” he mentioned, noting that the revised framework goals to assist long-horizon planning for exploration and manufacturing entities.

Puri additional highlighted new transparency and capacity-sharing necessities.

“Lessees shall make an annual declaration to GOI of the put in, utilised and extra capability of the infrastructure amenities owned by it. Permits lessees to collectively develop or share infrastructure amenities by mutual settlement,” he wrote.

This provision seeks to make sure optimum utilisation of crucial infrastructure whereas enabling collaborative growth amongst leaseholders.

On dispute decision, the amended guidelines now specify that the seat of arbitration for contractual disagreements can be New Delhi when all lessees or contractors concerned are Indian firms.

“The place any member is a international firm as outlined in Corporations Act, a impartial seat of arbitration could also be opted,” Puri famous.

He added that “lease codecs have been launched for uniformity and ease of administration,” and that the foundations now mandate an in depth discount plan with “time-bound discount targets and milestones to attain zero gasoline flaring and discount of greenhouse gasoline emissions”.

The amended guidelines additionally impose enhanced reporting obligations on Nationwide Oil Corporations.

They have to “promptly notify all present and new discoveries, submit subject growth plans inside prescribed closing dates, receive Central Authorities approval for growth areas, and often report growth and manufacturing actions,” the Minister mentioned.

Penalties for non-compliance have been “enhanced to Rs. 25 lakh and in case of continuation of contravention to Rs. 10 lakhs per day,” he added.

Puri mentioned the great revisions replicate the federal government’s intent to streamline processes, promote accountable vitality growth and assist the nation’s broader vitality safety objectives.