Oilfields Amendment Bill 2024 Introduced in Rajya Sabha

Union Minister Hardeep Singh Puri introduces the Oilfields (Regulation and Development) Amendment Bill, 2024 in Rajya Sabha. The bill proposes delinking petroleum from mining operations, expanding the definition of 'mineral oils', introducing 'petroleum lease', and focusing on energy transition and investor-friendly policies.

On Monday, Union Minister for Petroleum and Natural Gas Hardeep Singh Puri presented the Oilfields (Regulation and Development) Amendment Bill, 2024, in the Rajya Sabha. The proposed amendments aim to separate petroleum operations from mining activities, expand the definition of 'mineral oils,' introduce the concept of 'petroleum lease,' and offer leases on stable terms.

The bill also aims to bolster petroleum operations through rules governing various aspects such as lease grants, extensions, renewals, production sharing, and infrastructure safety. Additionally, it seeks to facilitate energy transition by enabling comprehensive projects for wind and solar energy alongside mineral oil extraction. Originally combined under the Mines and Minerals (Regulation and Development) Act, 1948, oilfields were later regulated by the Oilfields (Regulation and Development) Act, 1948.

In 1957, a new Mines and Minerals Act was enacted, focusing solely on mines and minerals. The amendment aims to meet the current needs for energy access, security, and affordability. The government highlights the urgency to boost domestic oil and gas production, reduce import dependence, and attract investments for advanced technology and capital. The bill promotes an investor-friendly environment, ease of doing business, exploration prospects, and next-gen cleaner fuels.

(With inputs from agencies.)