Page 12 - DGH_Annual_Report

12 INDIA'S HYDROCARBON OUTLOOK 2024-2025

1.8.1 Mandate and Objectives: • Serve as the government’s technical arm for
upstream policy and regulatory oversight.
• Promote optimal and environmentally
responsible development of India’s • Ensure reservoir health, data management,
hydrocarbon resources. and transparency in operations.
1.8.2 Key Functions:
DGH-Objective
• Appraising exploration and development
To promote sound management of plans.
the Indian Petroleum and Natural Gas
resources having a balanced regard for • Evaluating reserves and exploitation strategies.
the environment, safety, technological • Managing geoscientific data, licensing
and economic aspects of the petroleum rounds, and operator compliance.
activity.
1.8.3 Governance Structure:

• Advisory Council: Comprising eminent
industry experts, chaired independently with
the Director General as Member Secretary.

• Administrative Council (since 2001): Chaired
by the Secretary (MoP&NG), with members
from MoPNG, OIDB, and DGH, responsible
for budget, staffing, and performance
oversight.
DGH has since become the cornerstone
institution guiding India’s upstream regulatory
architecture.

Monitor Promote Regulate Advise

Monitor Exploration Investments Regulate, Advise Government
& Development in Indian E&P preserve, on offering
operations/ sector upkeep of of acreages,
activities of geological data exploration
companies holding of the country strategies and
acreages production

1947-1990 1990-2010 2016 onwards
PRODUCTION REVENUE
NOMINATION SHARING SHARING
BASIS
CONTRACTS CONTRACTS

1.9 Opening Up the Sector: New Exploration Licensing Policy (NELP) (1997–1999)

Launched in 1997 and implemented in 1999, NELP replaced nomination-based acreage allocation
with open, competitive bidding. Both NOCs and private/foreign companies competed equally for
blocks under a Production Sharing Contract (PSC) model.