The Minister for Petroleumand Natural Gas, Shri Hardeep Singh Puri has announced a series of revolutionarypolicy reforms to promote exploration and production as part of its resolve to accelerateoil and gas exploration. Under this, the Petroleum and Natural Gas Rules, 2025have been drafted and these amendments will significantly increase the ease ofdoing business for the project directors engaged in exploration and production inthe region.

The draftPetroleum and Natural Gas Rules, 2025 introduced by the Central Government aimsto modernise the sector by bringing about several major reforms under India’supstream oil and gas structure. Under this draft rule, for the first time, theproject director of the sector will be able to undertake solar, wind, hydrogen,and geothermal energy and such integrated renewable and low carbon projects inthe oilfield block. However, for this, the project directors will have to meetsafety standards and ensure that petroleum production is not interfered with.

The new rules willreplace the old Petroleum Concession Rules, 1949 and the Petroleum and NaturalGas Rules, 1959. These rules are in line with recent amendments to the OilfieldsRegulation and Development Act, 1948.

These rules havebeen implemented even before the start of Round X of the OALP (Open AcreageLicensing Policy) i.e., opening up sectors for petroleum and natural gasexploration and production.