When an oil storage terminal in Gujarat faced delays due to missing PESO approvals, every extra week meant lakhs in idle logistics costs. The same story repeats across India — chemical warehouses waiting on clarifications, or explosive manufacturers losing tender eligibility.
That’s where PESO compliance becomes not just a legal formality, but a license to operate safely and profitably.
At Green Permits, we’ve helped clients from refinery operators to industrial gas bottlers navigate PESO’s complex rules — ensuring they meet every safety, design, and documentation norm before inspection even begins.
What is PESO and Why It Matters
The Petroleum and Explosives Safety Organisation (PESO), under the Department for Promotion of Industry and Internal Trade (DPIIT), regulates the storage, transport, handling, and manufacturing of petroleum, compressed gases, and explosives in India.
PESO ensures that every installation — from a small LPG filling station to a large refinery — adheres to explosion-proof design standards, pressure vessel integrity, and safe-distance criteria prescribed under laws like:
- Petroleum Rules, 2002
- Static and Mobile Pressure Vessels (Unfired) Rules, 2016
- Explosives Rules, 2008
- Ammonium Nitrate Rules, 2012
- Gas Cylinder Rules, 2016
Who Needs PESO Licensing
PESO licensing is mandatory for any entity involved in:
- Oil & Gas: refineries, fuel depots, LPG bottling plants, terminals, and petrol pumps
- Chemical Industry: storage of petroleum-based or flammable chemicals
- Explosives Manufacturing: detonators, fireworks, blasting agents, or AN-based chemicals
- Industrial Gas Sector: compressed-gas cylinder manufacturing, filling, or testing facilities
Operating without a valid PESO license can lead to plant shutdowns, penalty notices, or criminal liability under the Petroleum Act, 1934.
Types of PESO Licenses
Industry Segment | Applicable Rules | Common License Forms | Validity |
---|---|---|---|
Petroleum Storage / Retail | Petroleum Rules 2002 | Form XIV / XV / XVI | 3–5 years |
LPG / CNG Bottling, Gas Storage | SMPV(U) Rules 2016 | LS-1A, LS-2 | 5 years |
Explosives Manufacturing / Storage | Explosives Rules 2008 | LE-1, LE-3, LE-5 | 3 years |
Ammonium Nitrate Processing | AN Rules 2012 | Form P-1 | 3 years |
Gas Cylinder Testing Stations | GCR 2016 | GC-Form B | 3 years |
Each license is industry-specific, with site inspections, layout approvals, and equipment testing forming the backbone of approval.
Key Compliance Documents Required
- Site Layout Plan (as per OISD safety distances)
- Factory Licence / Consent under Air & Water Acts
- Third-party test reports for vessels and pressure systems
- NOC from District Authority / Fire Department
- Geo-tagged photographs and equipment test certificates
- Application via NSWS Portal → PESO Online System
Application Process (Simplified)
- Sign up on NSWS Portal → select PESO service → redirected to PESO portal
- Fill online application with all documents and drawings
- Submit processing fees and inspection request
- Technical scrutiny by PESO officers → correction requests (if any)
- Inspection & Approval → license digitally issued via portal
Average approval time: 30–45 working days for complete applications.
OISD Standards — The Hidden Backbone
The Oil Industry Safety Directorate (OISD) standards complement PESO regulations.
For instance:
OISD Standard | Focus Area | Linked Rule |
---|---|---|
OISD-144 | LPG bottling plant layout | SMPV(U) Rules 2016 |
OISD-118 | Petroleum product storage | Petroleum Rules 2002 |
OISD-105 | Fire protection system design | Petroleum Rules 2002 |
OISD-188 | CNG refueling stations | Gas Cylinder Rules 2016 |
Following these standards at the design stage cuts approval delays and avoids costly modifications later.
Risks of Non-Compliance
- Legal Action: suspension or cancellation of license
- Operational Loss: delays in commissioning or transport clearances
- Safety Risks: fire, explosion, or loss of insurance coverage
- Financial Impact: penalties, project delays, and liabilities
Early compliance protects your operations, workers, and reputation.
The Chemical Warehouse Case
A mid-sized solvent manufacturer in Maharashtra delayed PESO license renewal by 90 days — their entire 5,000 KL tank farm was sealed by the district administration. With Green Permits’ guidance, layout approvals were revised as per OISD-118, and the site secured renewal in just 21 days — saving over ₹30 lakhs in demurrage losses.
How Green Permits Helps
At Green Permits Consulting, we simplify PESO licensing and renewals through:
- Pre-inspection document verification & design compliance
- Coordination with PESO regional offices and OISD consultants
- Licensing for Petroleum, LPG, Gas Cylinders, and Explosives units
- Integration support with NSWS and SPCB consents
- Post-approval maintenance, renewals, and amendments
Conclusion
PESO compliance isn’t just paperwork — it’s the backbone of safe industrial growth. Whether you handle petroleum, LPG, or chemical products, securing the right license early prevents shutdowns, fines, and fire risks.
Green Permits helps you stay compliant, efficient, and inspection-ready — from concept to commissioning.
📞 +91 78350 06182 | 📧 wecare@greenpermits.in
Book a Consultation with Green Permits
Book a Technical Call with Expert
FAQs
Yes. Any flammable or petroleum-based chemical storage above threshold limits under Petroleum Rules 2002 requires PESO approval.
Most licenses are valid for 3–5 years and renewable upon inspection.
Yes. All new, renewal, and amendment applications are filed via NSWS → PESO Portal.
The facility may be sealed, and owners penalized under the Petroleum Act 1934 and Explosives Act 1884.
Yes. Foreign OEMs supplying to Indian projects can apply through authorized Indian representatives.