PESO License for dispensing of CNG as Motor Conveyances - Procedure, Documents Required, Fee Charges, and Validity

Updated on December 18, 2024 04:23:21 PM

The Petroleum and Explosives Safety Organisation (PESO) is the statutory control and regulating body for handling, storage, & dispensing of petroleum and explosives, including CNG, in India. When CNG has become a favored type of fuel for not only petrol and diesel vehicles but also motor vehicles as it is environmentally friendly and cheaper, the need for suitable equipment to deliver CNG has risen. CNG dispensing cannot be done without a PESO license, and it is a protective investment as it awards a seal of approval to qualified entities and guarantees public safety and compliance with safety standards. CNG dispensing, on the other hand, consists of working with high-pressure systems that have a number of precautionary measures to avoid any mishaps, failures, or any other calamity.

The PESO license ensures that the facility is in compliance with regulations for the design of dispensing stations or dispensing equipment, current practice, and operational procedures. This license proves that the concerned facilities are willing to follow all the national safety rules and thus ensure that their workers, clients, and the environment are protected from incidents. Further, the PSO license also helps in easy functioning as it grants the legal cover to handle the dispensing of CNG safely. In more detail, this page will unlock the PESO licensing requirements for CNG dispensing and specifics regarding the most drastic steps, documents, and compliance standards required to accomplish so.

What is a PESO license?

A PESO license is an essential license needed to store, transport, use, and handle petroleum, explosives, and compressed gasses in India. The organization is under the Department for Promotion of Industry and Internal Trade (DPIIT), Ministry of Commerce and Industry.

Thus, the PESO license covers mandatory requirements for assessing safety standards laid down in the Petroleum Act of 1934, the Explosives Act of 1884, and the Gas Cylinders Rules of 2004. It is compulsory to industries, gas agencies, fuel stations, and even persons who deal in LPG, CNG, petroleum products fireworks, etc.

In order to obtain a license, one is supposed to fill out an application, in which details are entered on PESO’s official site, and these include the type of substance, facility, and measures being taken. When it comes to setup, the application is followed by inspections and approvals to ensure that setup complies with the safety standards meant to prevent risks such as fire, explosion, and harm to the environment.

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Benefits of obtaining PESO License

Some of the major advantages that can accrue to any business enterprise, for instance, those involved in the storage, handling, and filling of hazardous products are such as:

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Procedure to obtain PESO License for dispensing of CNG as Motor Conveyances

To obtain a PESO license for dispensing of CNG as motor conveyances in India, certain steps need to be followed to get passed through various safety and environmental issues in the country. Here’s a step-by-step procedure:

Step 1: Determine the Type of License Needed

  • Petroleum License: For storage, distribution, and handling of petroleum products.
  • Explosive License: For manufacturing, storage, and handling of explosive substances.
  • Compressed Gas License: For storage and handling of compressed gasses.

Step 2: Prepare Required Documents

Typical documents include:

  • Application form (available from PESO or its regional offices)
  • Proof of identity and address
  • Site plan/layout
  • No Objection Certificate (NOC) from local authorities
  • Details of safety measures and equipment
  • Technical qualifications of the responsible personnel

Step 3: Submit Application

  • Online: Through the PESO online portal (if available) or the Ministry of Commerce and Industry’s website.
  • Offline: Submit the application form and documents to the nearest PESO regional office.

Step 4: Inspection

  • The PESO officials will visit the site to ascertain levels of compliance safety regulations and requirements.
  • The report of the inspection shall form part of the assessment.

Step 5: Fee Payment

  • Submit the appropriate fee as is mentioned in the fee structure of PESO. The fee of the service is dependent on the type and nature of the license being sought.

Step 6: Review and Approval

  • All the submitted papers containing the application documents along with the report following the inspection conducted through PESO shall be delved into.
  • If all papers are correct, then the license will be issued.

Step 7: Issuance of License

  • Once the license is approved, PESO will be the one to grant it.
  • The license may have certain stipulations that make it renewable after specific durations and may contain compliance checkups.

Step 8: Compliance

  • Comply with all the safety and operation requirements provided by the license and regulation.
  • The compliance checks as well as inspection may be carried out by PESO on a regular basis.
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Documents Required to obtain PESO License for dispensing of CNG as Motor Conveyances

To obtain a PESO license for dispensing CNG as motor conveyances, the following documents are typically required:

  1. Application Form
  2. Identity and Address Proofs of the Applicant
  3. Recent Passport-size Photographs
  4. Affidavit with Proper Notarization
  5. NOC from the District Magistrate (specifying the site and PESO-approved plan)
  6. Details of CNG Cascades and Compressors (including specifications and capacities)
  1. Safety Assessment Report
  2. Fire Safety Measures Documentation
  3. Material Safety Data Sheets (MSDS) for CNG
  4. Emergency Response Plan
  5. Compliance with Safety Regulations Documentation
  6. Proof of Ownership or Lease Agreement for the Dispensing Facility
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Fee Charges for PESO License for dispensing of CNG as Motor Conveyances

The government fees for a Petroleum and Explosive Safety Organisation (PESO) license are:

  • Initial Approval: 1,000 rupees
  • Grant of License: 1,000 rupees
  • Amendment: 1,000 rupees
  • Renewal: 1,000 rupees

Note: Professional fee charges for PESO license is @₹49,000

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Validity of PESO License for dispensing of CNG as Motor Conveyances

A PESO license for dispensing of CNG as motor conveyances can be obtained from the Petroleum and Explosives Safety Organization (PESO), and this license is issued for a period of 3 years and can be renewed every 3 years. The renewal application has to be made in the manner as prescribed under Rule 165 of the Explosives Rules, 2008.

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Conclusion

In order to get legal permission to distribute CNG as motor conveyances in India, the company must have a PESO license since safety rules and laws are particularly strict in the country. Some of the licensing procedures include the filing of the required documents, physical inspection of intended stations, and conformity to measures that will address the high risks associated with CNG. A PESO license improves operational safety, compliance with the law, and new opportunities for entering the developing CNG market. Periodically one has to renew the license, which is the key factor to navigate hrs and other regulatory standards while working in the hazardous materials industry; the license is issued for three years.

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Frequently Asked Questions

What is a PESO license for dispensing CNG as motor conveyances?

A PESO license is a statutory permit required to cover CNG dispensing facilities from the Petroleum and Explosives Safety Organization to bring into blind conformity to the existing legal requirements. It provides for the safe use, storage, and transportation of CNG for motor vehicles.

Why is it important to obtain a PESO license for dispensing CNG?

Having a PESO license assures that a CNG dispensing facility follows closely measures that are taken to prevent the occurrence of accidents of leaks or other dangers. It also gives legal more permission for operating and to liable Indian laws and regulations for handling hazardous substances.

How long is the PESO license valid for?

Licenses from the PESO to dispense CNG are for a period of three years. It can only be renewed after the expiry through a process that will be covered in the Explosives Rules of 2008.

How do I apply for a PESO license for dispensing CNG?

The application can either be lodged online through the PESO website or manually in the chosen PESO regional office. The steps involved include tendering in the application forms, physical submission of other documents, inspections of the proposed sites, and fees.

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