When a new LPG bottling unit in Gujarat contacted Green Permits last year, their imported storage tanks were ready to install — but the consignment was held at customs.
Reason? Missing PESO approval for the tank design and valves. It cost them three months of delay, demurrage charges, and lost clients.
This scenario is common across industries that handle petroleum, gas, or explosives. Whether you’re manufacturing pressure vessels, operating fuel stations, or importing Ex-proof equipment, a valid PESO certificate is your gatepass for legal operations.
This 2025 guide explains everything businesses need to know about PESO approval — from step-by-step registration to fees, documents, and recent government updates — in simple, actionable language.
What is PESO?
The Petroleum and Explosives Safety Organisation (PESO) is India’s apex regulatory body that governs the manufacture, import, transport, storage, and handling of explosives, petroleum, compressed gases, and flammable substances.
Operating under the Department for Promotion of Industry and Internal Trade (DPIIT), PESO ensures industrial safety through multiple rules framed under the Explosives Act, 1884 and the Petroleum Act, 1934.
PESO’s Core Responsibilities
- Grant and renew licences for manufacture, storage, and import/export of hazardous materials.
- Approve designs of cylinders, pressure vessels, valves, and regulators.
- Certify flameproof and explosion-proof (Ex) electrical equipment.
- Conduct safety inspections and audits of licensed facilities.
- Enforce accident reporting, investigation, and compliance actions.
In essence, PESO ensures that every industrial setup handling flammable or explosive material meets the highest safety standards to prevent accidents, fires, and environmental harm.
PESO Rules and Legal Framework
Each industry category is governed by a specific set of PESO rules and Acts. Understanding which rule applies to your business is the first step toward compliance:
| Rule | Governing Act | Scope of Application |
|---|---|---|
| Explosives Rules, 2008 (ER-2008) | Explosives Act, 1884 | Manufacturing, storage, sale, transport, and import/export of explosives. |
| Petroleum Rules, 2002 (PR-2002) | Petroleum Act, 1934 | Storage and handling of petrol, diesel, kerosene, aviation fuel, etc. |
| Gas Cylinder Rules, 2016 (GCR-2016) | Explosives Act, 1884 | Design, manufacture, testing, and import of gas cylinders and valves. |
| Static & Mobile Pressure Vessel (Unfired) Rules, 2016 [SMPV(U)] | Explosives Act, 1884 | Pressure vessels for LPG, hydrogen, CNG, ammonia, and other gases. |
Each rule specifies licence types, inspection frequency, and documentation. Many industries fall under multiple rules simultaneously — for example, an LPG bottling unit must comply with both SMPV(U)-2016 and PR-2002.
Who Needs PESO Approval
If your business involves storage, manufacturing, transportation, or usage of flammable or pressurized materials, PESO approval is mandatory. Typical applicants include:
Industrial and Manufacturing Units
- LPG and CNG bottling plants
- Hydrogen storage and refuelling stations
- Petroleum refineries and oil blending plants
- Gas cylinder manufacturing and testing facilities
- Pressure vessel fabricators and valve manufacturers
Commercial and Retail Operators
- Fuel retail outlets and service stations
- Warehouses storing lubricants or kerosene
- Diesel generator storage tanks (above 2,500 litres)
- Industrial estates storing compressed gases
Importers and Exporters
- Importers of gas cylinders, valves, and Ex electrical apparatus
- Exporters of Indian-made pressure vessels or Ex equipment
Specialized Sectors
- Aerospace, defence, and chemical manufacturing units
- Offshore oil platforms and refineries
- Battery manufacturing and hydrogen energy startups
If your equipment falls within the definition of “pressure vessel,” “flammable liquid,” or “explosive,” PESO certification is legally required before it can be installed, sold, or used in India.
Step-by-Step PESO Approval Process (2025 Workflow)
PESO’s licensing has been completely digitized. All new and renewal applications are processed via the official portal or the National Single Window System (NSWS).
1. Register on NSWS or PESO Portal
- Visit https://online.peso.gov.in or log in through NSWS.
- Create your user ID and verify using OTP (email and mobile).
- Choose the relevant rule (ER, PR, GCR, or SMPV-U) and type of licence.
2. Select Appropriate Application Form
- ER-2008: AE forms for explosive manufacturing and storage.
- PR-2002: Form XI, XIV, or XIX for petroleum storage or transport.
- GCR-2016: Forms D to G for cylinder, valve, or testing station approvals.
- SMPV(U)-2016: Forms A/B for fabrication workshops or installation licences.
3. Upload Supporting Documents
Prepare and upload high-quality scanned copies of:
- Company documents: PAN, GST, CIN/IEC, Incorporation Certificate.
- Technical documents: Site plan, layout drawings, equipment specs.
- Legal documents: Land ownership/NOC from authority, fire NOC, consent under Air/Water Act from SPCB.
- Safety documents: Pressure test certificates, calibration records, TPIA reports, and safety audit plan.
4. Pay Fees Online
Use the PESO Fee Calculator to determine applicable charges.
Payment is made online via SBI Collect, debit/credit card, or NSWS payment gateway.
5. Application Scrutiny and Query Resolution
Your application is digitally reviewed by the PESO Circle/Sub-Circle Office.
If deficiencies are found, remarks appear in your dashboard for correction.
Respond promptly within 7 working days to avoid rejection.
6. Inspection and Verification
After initial scrutiny:
- A field or video inspection is scheduled.
- Inspectors verify layout, safety installations, and documents.
- Any non-compliance must be rectified before approval.
7. Grant of Licence and Certification
Once cleared, PESO issues a digital certificate containing:
- Licence number and rule type
- Validity period (usually 5 years)
- Scope of operations (manufacturing, storage, import, etc.)
Licences are downloadable directly from the portal and can be verified online.
PESO Documents Checklist (By Business Type)
| Business Type | Key Documents Required |
|---|---|
| Manufacturer / Importer | PAN, GST, CIN/IEC, Factory Licence, Type Test Certificates, TPIA Report, Safety Declaration |
| Petroleum Storage | Site Plan, Ownership Proof, Fire NOC, PESO-Approved Tank Design, Calibration Chart |
| Cylinder / Valve Testing Station | Consent to Operate, Testing Equipment Details, Calibration Certificates, Employee Competence Records |
| Workshop (SMPV-U) | Welding Procedures, Material Certificates, QA Manual, Geotagged Photos/Video of Facility |
| Flameproof (Ex) Equipment | ATEX/IECEx Certificates, BIS Licence Copy, Product Drawings, Safety Test Reports |
PESO Fee Structure (2025)
| Rule | Approval Type | Approx. Fee (₹) | Validity |
|---|---|---|---|
| Petroleum Rules, 2002 | Storage Licence (Form XIV/XIX) | ₹5,000 – ₹25,000 per installation | 3–5 years |
| Gas Cylinder Rules, 2016 | Cylinder/Valve/Test Station Approval | ₹15,000 (new) / ₹7,500 (renewal) | 5 years |
| SMPV(U)-2016 | Fabrication Workshop Approval | ₹25,000 | 5 years |
| Explosives Rules, 2008 | Explosive Storage/Manufacture Licence | ₹20,000 – ₹50,000 | 3 years |
| Amendment / Renewal | Profile or licence changes | ₹3,000 – ₹10,000 | As applicable |
Note: Fees vary depending on capacity, product type, and state jurisdiction. Use the official PESO “Fee Calculator” for accuracy.
Timelines and Renewal Process
| Stage | Approximate Time |
|---|---|
| Application Review | 20–30 working days |
| Site Inspection | 15–30 days (depending on readiness) |
| Certificate Issuance | Within 60 days from submission |
| Renewal Application | At least 90 days before expiry |
| Physical Audit Cycle | Once every 2 years for high-risk industries |
Delays are often caused by incomplete submissions or missing fire/NOC documents — issues Green Permits routinely helps clients avoid.
Common Reasons for PESO Application Rejection
- Mismatch between GST address and site address.
- Missing calibration or inspection certificates.
- Layout drawings not as per Petroleum Rules.
- Expired test certificates for pressure vessels.
- No proof of land ownership or fire safety clearance.
Ensuring your documentation is 100% accurate and geotagged can reduce approval time by 40–60%.
Recent PESO Updates for 2025
- Hydrogen Fuel Integration: New Form-H module added for hydrogen compression and dispensing stations.
- QR/Barcode Mandate: All approved gas cylinders and valves must carry PESO QR codes and serials.
- Paperless Licensing: All Circle Offices now issue fully digital licences and inspection reports.
- Inspection Timeline: PESO directed all offices to process complete applications within 45 working days.
These updates reflect PESO’s shift toward digitization, transparency, and faster clearances.
Risks and Penalties for Non-Compliance
Running operations without PESO approval can result in:
- Immediate shutdown of the facility by local authorities.
- Cancellation of insurance claims in case of fire or explosion.
- Confiscation of non-compliant cylinders or storage vessels.
- Penalties under the Petroleum Act, 1934 — fines up to ₹1,00,000 and imprisonment up to 2 years.
- Import restrictions under DGFT for unapproved Ex equipment.
In short, non-compliance can cost far more than the licence itself — both financially and reputationally.
Business Advantages of PESO Certification
- Legal Operation: Ensures compliance with central laws and safety codes.
- Market Access: Mandatory for import/export and major industrial tenders.
- Insurance & ESG Compliance: Valid PESO approval supports corporate sustainability reporting.
- Operational Safety: Reduces risk of fire, explosion, or workplace injury.
- Brand Credibility: Demonstrates a company’s commitment to safety and environment.
For foreign manufacturers, PESO approval also serves as an Indian equivalent of ATEX/IECEx compliance, building trust among industrial buyers.
How Green Permits Simplifies PESO Compliance
At Green Permits Consulting, our experts assist from start to finish:
- Application Preparation: Portal registration, document collation, and technical forms.
- Design Compliance: Review of vessel drawings, Ex equipment specs, and safety layouts.
- TPIA Coordination: Liaison with authorized inspection agencies.
- Inspection Readiness: Mock audits and corrective checklists.
- Licence Renewal & Amendments: Timely renewals, expansion, or ownership changes.
Our team has helped over 250+ manufacturers, importers, and recyclers obtain PESO, EPR, and BIS approvals — ensuring compliance with zero rejection.
Conclusion
PESO approval isn’t just a formality — it’s a compliance backbone for any business dealing with petroleum, gases, or explosives.
Early registration safeguards your business from penalties, enhances credibility, and ensures safety at every stage of production or storage.
If you’re unsure which PESO licence applies to your operation, talk to the experts.
Green Permits can help you determine the right rule, prepare all documents, and get approval without delay.
📞 +91 78350 06182 | 📧 wecare@greenpermits.in
Book a Consultation with Green Permits to begin your PESO certification today.
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Add Your Heading Text Here
Most licences are valid for five years and can be renewed online before expiry.
Yes, but you must file an amendment request with supporting documents and fee.
Yes. Imported equipment must be approved under GCR-2016 before sale or use in India.
Typically 45–60 working days, depending on site readiness and document accuracy.
Not directly, but BIS covers product standards while PESO governs safety and installation. Many clients need both for full compliance.
