Rajya Sabha Passes Key Amendment Bill for Oilfield Regulation
The Rajya Sabha approved the Oilfields (Regulation and Development) Amendment Bill, 2024, redefining mineral oils to include petroleum, natural gas, and other hydrocarbons. This legislation empowers the government to regulate exploration, extraction, and environmental conservation, while imposing severe penalties for non-compliance and resolving disputes efficiently.
- Country:
- India
In a significant move, the Rajya Sabha has passed the Oilfields (Regulation and Development) Amendment Bill, 2024. Introduced by Union Minister Hardeep Singh Puri, the bill aims to broaden the scope of mineral oils by officially incorporating petroleum, natural gas, and other hydrocarbons under its purview.
Key features of the amended legislation include a detailed definition of mineral oils, now encompassing hydrocarbons like coal bed methane and shale gas/oil, excluding coal, lignite, and helium. The bill establishes provisions for mining leases covering exploration to production, replacing the term 'mining lease' with 'petroleum lease' for specific activities.
The bill empowers the central government to set regulations on leases, conservation, and extraction methods while managing royalties and taxes. It also introduces stringent penalties, raising fines to up to Rs 25 lakhs for violations, ensuring strict compliance, and appoints officers for dispute resolution, with appeals directed to a tribunal.
(With inputs from agencies.)