DPIIT Rolls Out Major Regulatory Relaxations to Boost Industrial Supply Chains

These initiatives range from customs duty waivers to expedited licensing under the Petroleum and Explosive Safety Organisation (PESO).

Nidhi Kesarwani, Joint Secretary, DPIIT, during an inter-ministerial briefing on Wednesday, said, "Under Petroleum and Explosive Safety Organisation, PESO, multiple activities and facilitated orders have been issued which are oriented towards uninterrupted supply of fuel and gas."

The government has prioritised the expansion of gas infrastructure, processing 467 applications for Compressed Natural Gas (CNG) and Compressed Biogas (CBG) stations since late March. The turnaround time for these applications has been reduced to less than 10 days, resulting in 157 final licenses and 38 prior approvals for new dispensing units.

To support the logistics of fuel distribution, temporary storage relaxations were granted for kerosene, while a ban on ammonium nitrate exports secured domestic availability.

"In the light of demand for kerosene, the temporary relaxations or storage relaxations have been granted for superior kerosene oil storage up to 2,500 litres. And a one-time relaxation for 5,000 litres of PDS kerosene has been given for ensuring last-mile continuity. The domestic availability of ammonium nitrate has been secured by imposing a ban on exports in the month of March," Kesarwani said.

The industrial relief extends to the manufacturing sector, where the government issued advisories to state authorities under the Boilers Act. High-capacity boilers in power plants, refineries, and fertiliser units have received three-month temporary extensions on their certificates, subject to external inspections.

Additionally, the DPIIT extended the Quality Control Order (QCO) timelines for induction cooktops to assist manufacturers in meeting energy efficiency deadlines amidst supply challenges.

Significant fiscal interventions were highlighted for the leather, footwear, and paint industries. Basic Customs Duty (BCD) on critical inputs like EVA and various polymers was reduced to zero.

In the paint sector, the allocation of industrial LPG was increased from 50 per cent to 70 per cent of pre-March consumption levels to maintain production momentum.

Kesarwani noted, "With respect to the tyre industry, the BCD on various chemicals have been relaxed, polybutadiene styrene, butadiene rubber, and resins, which are now. For the glass industry, the uninterrupted furnace operations were becoming a challenge. So thereafter, in consultation with MOPNG, the availability of PNG at 80 per cent of the average consumption of the previous six months has been ensured and notified."

In the ceramic hub of Morbi, authorities addressed pricing disparities and supply gaps for the 80 per cent of units that previously relied on propane or LPG. Long-term measures also include new guidelines for the installation of District Pressure Regulating Skids and the use of cryogenic cylinders for LNG to facilitate gas supply in remote, non-pipeline areas.

- ANI