Petroleum and Explosives Safety Organisation (PESO)

PESO: The Guardian of Industrial Safety in Petroleum, Gas, and Explosives Sectors

In India’s rapidly expanding industrial landscape, the safe handling of petroleum products, gases, and explosives is critical. Every day, thousands of industries from oil refineries and LPG bottling plants to fireworks manufacturers and fuel stations rely on stringent safety norms to prevent accidents and protect people and the environment.

The Petroleum and Explosives Safety Organisation (PESO) is the regulatory authority entrusted with this immense responsibility.

What is PESO?

The Petroleum and Explosives Safety Organisation (PESO) is a statutory body functioning under the Department for Promotion of Industry and Internal Trade (DPIIT), Ministry of Commerce and Industry, Government of India.

Established in 1898 as the Department of Explosives, PESO has evolved over more than a century to become the apex authority for regulating manufacture, storage, transport, import, export, sale, and usage of hazardous materials like:

• Petroleum and petroleum products
• Explosives and fireworks
• Compressed and liquefied gases (LPG, CNG, etc.)
• Pressure vessels and gas cylinders

The organization operates through its headquarters in Nagpur and a network of Circle and Sub-Circle offices across India to ensure nationwide enforcement of safety standards.

Legal Framework Governing PESO

PESO functions under various Acts and Rules that define safety protocols for hazardous substances. These include:

• The Explosives Act, 1884
• The Petroleum Act, 1934
• The Gas Cylinders Rules, 2016
• The Explosives Rules, 2008
• The Static and Mobile Pressure Vessels (Unfired) Rules, 2016 (SMPV Rules)
• The Calcium Carbide Rules, 1987
• The Ammonium Nitrate Rules, 2012

Each regulation covers different sectors and materials, ensuring comprehensive control over industrial safety and environmental protection.

Core Functions of PESO

PESO’s responsibilities extend across multiple sectors, ensuring that every activity involving hazardous materials meets national safety standards.

1. Licensing and Regulatory Approvals

PESO issues licenses for:

• Petroleum storage and retail outlets
• LPG bottling and distribution plants
• Explosive and fireworks manufacturing units
• Gas cylinder manufacturing and testing facilities
• Import/export of hazardous substances

These licenses are mandatory before any operation begins. Without PESO approval, no establishment can legally handle, transport, or store petroleum or explosives in India.

2. Safety Audits and Inspections

Regular inspections are conducted to assess compliance with the safety provisions of relevant Acts.
PESO officers verify:

• Proper installation of safety valves, earthing, and pressure relief systems
• Adequate separation distances between storage units
• Use of certified pressure vessels and fittings
• Adherence to fire safety and emergency preparedness protocols

2. Safety Audits and Inspections

Regular inspections are conducted to assess compliance with the safety provisions of relevant Acts.
PESO officers verify:

• Proper installation of safety valves, earthing, and pressure relief systems
• Adequate separation distances between storage units
• Use of certified pressure vessels and fittings
• Adherence to fire safety and emergency preparedness protocols

If discrepancies are found, the organization can suspend or cancel licenses and recommend corrective actions.

3. Equipment and Design Approval

Before commissioning any petroleum or gas installation, the equipment and layout design must be approved by PESO.
This includes:

• Storage tanks, pipelines, and pressure vessels
• Pumping and dispensing systems
• Safety relief devices and control mechanisms
• Electrical systems in hazardous areas

This ensures that all equipment used meets Indian or international standards such as BIS, API, ASME, or ISO.

4. Technical Advisory and Accident Investigation

PESO also acts as a technical advisor to various ministries, industries, and state governments. In the event of industrial accidents involving hazardous substances, PESO conducts root cause analysis to identify lapses and recommends preventive measures for the future.

Importance of PESO Certification

Obtaining PESO approval is not just a formality  it’s a symbol of trust, reliability, and operational excellence.

For Industries:

• Legal compliance with safety regulations
• Smooth approval for business operations
• Reduced risk of accidents, fires, and penalties

For Workers:

• A safer and more secure workplace
• Better training and awareness on handling hazardous materials

For Communities and the Environment:

• Reduced risk of explosions, leaks, and pollution
• Protection of public health and nearby ecosystems

In today’s era of sustainability and ESG (Environmental, Social & Governance) goals, PESO compliance plays a crucial role in ensuring responsible industrial operations.

Digital Initiatives and Ease of Doing Business

To promote transparency and faster service delivery, PESO has implemented several digital reforms under the Government’s Ease of Doing Business mission:

• Online Licensing and Renewal Portal: Simplified digital submission and tracking of applications.
• E-Inspection and E-Approval Systems: Ensure transparency in inspections and approvals.
• Integration with National Single Window System (NSWS): Enables businesses to apply for multiple clearances under one platform.
• Digitization of Legacy Records: Improved accessibility and efficiency in document management.

These steps have made PESO one of the most progressive regulatory bodies in India’s industrial ecosystem.

Step-by-Step Process for Obtaining PESO Approval

1. Application Submission:
   The applicant submits the required documents, layout plans, and safety details through PESO’s online portal.
2. Document Scrutiny:
   PESO officials review the design, drawings, and technical specifications to ensure compliance with prescribed norms.
3. Site Inspection:
   An on-site safety inspection is conducted by PESO officers to verify the actual setup.
4. Compliance Verification:
   Any deficiencies found during inspection must be corrected within the stipulated time.
5. License Grant/Approval:
   Once all safety conditions are met, PESO issues the relevant license or approval, allowing lawful operation.

Industries Regulated by PESO

PESO’s jurisdiction covers a broad spectrum of industries, including:

• Oil & Gas Refineries and Depots
• LPG/CNG Bottling and Distribution Plants
• Petrol Pumps and Fuel Retail Outlets
• Explosives and Fireworks Manufacturing Units
• Chemical and Fertilizer Plants
• Automotive and Equipment Manufacturers using pressure vessels or gas cylinders

In essence, PESO regulations touch every sector where flammable or explosive materials are stored, transported, or used.

Role of PESO in Sustainable Industrial Development

Beyond enforcing safety, PESO plays a significant role in supporting India’s transition toward safer, cleaner, and sustainable energy systems.
It helps industries adopt advanced safety technologies, risk-based safety management systems, and best practices aligned with global standards.

By ensuring compliance, PESO not only minimizes the risk of catastrophic incidents but also supports long-term industrial resilience and public confidence

Conclusion

The Petroleum and Explosives Safety Organisation (PESO) stand as a cornerstone of industrial safety in India. Its robust framework protects industries, workers, and communities from the risks associated with hazardous substances.
For any organization operating in the petroleum, gas, or chemical domain, PESO compliance is not optional, it’s essential for legal operation, risk mitigation, and sustainable growth.

At Aseries Envirotek India Pvt. Ltd., we help industries transform compliance into a competitive advantage by aligning with PESO standards and building safer operations for a sustainable future.