Shri Goyal announced significant concessions in licensing fees: 80% for women entrepreneurs and 50% for MSMEs.
Union Minister of Commerce and Industry, Shri Piyush Goyal, chaired a Stakeholder Consultation in New Delhi to gather insights and feedback from leaders in the petroleum, explosives, fireworks, and related industries. The aim was to enhance the efficiency of the Petroleum and Explosives Safety Organisation (PESO). The consultation, organized by the Department for Promotion of Industry and Internal Trade (DPIIT), emphasized balancing industry compliance with public safety.
Shri Goyal announced significant concessions in licensing fees: 80% for women entrepreneurs and 50% for MSMEs. He directed PESO to create safety guidelines, in collaboration with the Central Pollution Control Board (CPCB) and Ministry of Petroleum and Natural Gas (MoPNG), for petrol pumps near habitations. Additionally, he mentioned the incorporation of QR codes for cylinders in the draft Gas Cylinders Rules (GCR), with final notification forthcoming.
To streamline processes, Shri Goyal proposed forming a committee to explore extending the validity of licenses for explosives, transport, and manufacturing to ten years. He also advocated for involving Third Party Inspection Agencies (TPIAs) more extensively and developing online permission modules for areas still offline. The minister emphasized the need to expedite the filling of vacancies in PESO.
Shri Goyal highlighted the need to amend Form XIV of Petroleum Rules 2002 and Form G of Gas Cylinders Rules to simplify the licensing process for petrol pumps and CNG dispensing facilities, reducing the compliance burden on PESO.
During the consultation, Shri Goyal stressed the importance of simplifying PESO’s processes and approvals and adopting best global practices. He directed PESO officers to adhere strictly to application timelines and proposed issuing FAQs for various approvals and licenses. He also recommended that NOCs by District Authorities be issued through the Licensing System for District Authority (LSDA) online system.
In response to industry suggestions, Shri Goyal directed MoPNG and relevant industry associations to form committees to detail the suggestions made. These committees will study and recommend best practices and standards, propose regulatory amendments, and streamline processes. He also directed DPIIT to form a committee including industry representatives, PESO officers, DPIIT officers, CPCB, MoPNG, and oil companies to work on suggested reforms.
The consultation saw participation from over 150 stakeholders representing various sectors. Industry associations such as the Federation of Agrivalue Chain Manufacturers and Exporters (FAME), Explosives Manufacturers Welfare Association (EMWA), Indian Ammonium Nitrate Manufacturers Association (IANMA), and All India Industrial Gas Manufacturers Association (AIIGMA) highlighted critical areas for regulatory improvement.
Recommendations included enhancing digitalization and transparency through the PESO online portal, ensuring quick responses to inquiries, and timely issuance of NOCs and licenses.
PESO, under DPIIT, administers regulatory frameworks established under the Explosives Act, 1884, and the Petroleum Act, 1934. Recent reforms include a paperless licensing system, adherence to strict approval timelines, and integration of TPIAs, all aimed at simplifying compliance procedures and enhancing safety standards.
The stakeholder consultation underscored collaborative efforts towards a conducive regulatory environment in the petroleum and explosives sectors. DPIIT remains committed to reducing compliance burdens, promoting ease of doing business, and safeguarding industry standards. Future priorities include adopting a risk-based regulatory approach, capacity building for regulatory bodies, and enhanced digital transformation.