Oil and Gas Regulatory Authority (Ogra) is all set to grab the powers of inspection regarding safety matters of Liquefied Petroleum Gas (LPG) sector from the Explosives Department - a subsidiary of Ministry of Industries and Production.
The sources told Business Recorder on Wednesday that the Ogra has proposed certain amendments to the LPG (Production and Distribution Rules 2001) to Petroleum Ministry and Cabinet Division for approval and notification as per section 41 of the Ogra Ordinance 2002.
However, both the Petroleum Ministry and the Cabinet Division have expressed their unwillingness to act on Ogra''s proposal and advised the latter that proposed amendment to Rule 26 of the LPG Rules, 2001 also pertains to Ministry of Industries; hence their comments may also be taken.
The text of Rule 26 of LPG Rules 2001 is as follows: Protection of Public - (1) A- licencee shall locate, construct, maintain and operate his works connected with storage, filling and transportation of LPG in accordance with a licence granted by the Chief Inspector of Explosives under the Petroleum Rules, 1937, and shall comply with the provisions of the Gas Cylinder Rules, 1940, so as not to endanger the public health safety.
However, the Ogra has proposed the following amendment to the rules: Protection to public; (i) A licencee shall locate, construct, maintain and operate its works connected with storage, filling and transportation of LPG in accordance with the safety standards as set out in appendix -1 to the rules, so as not to endanger the public health or safety.
The Ogra is of the view that as per Ogra Ordinance 2002, the Department of Explosives does not have any role in the oil and has sector, including the LPG. It is also argued that in case of the LPG, the Department of Explosives was given some role in LPG Rules 2001, relating to safety matters due to the fact that at the time of promulgation of LPG rules in 2001, the LPG sector was being regulated by Ministry of Petroleum and Natural Resources which lacked technical capacity for safety of the LPG plants.
After setting up of the Ogra and appointment of technically competent third party inspectors, there remains to be no role of the Department of Explosives in the LPG sector. Therefore, necessary amendments to the LPG Rules, 2001 may be made. The Ogra has also recommended that clause 1(e) of appendix V, ie, an explosive licencee from the Chief Inspector Explosives, may be omitted. Regarding clause 4(b) of appendix V - LPG shall only be received in bowzers having valid licence/certification from the Chief Inspector of Explosives; it is proposed that it should be replaced with "LPG shall only be received in bowzers having valid licence/authorisation from the Authority."
The inspection matters of Compressed Natural Gas (CNG) have already been shifted to the Ogra despite resistance by the Ministry of Industries and Production. Former caretaker Minister for Industries and Production Shahzada Ahsan Ashraf Sheikh also made all-out efforts to bring the CNG inspection business back to the industries ministry but failed to convince the then caretaker prime minister.