Regulatory Landscape

There are many regulations in India that are required to be followed by industrial gases players. The Gas Cylinders Rules 2016, The Factories Act 1948, The Environmental Protection Act 1986, The Hazardous and Other Wastes (Management and Transboundary Movement) Rules 2016, are few examples of such regulations. Some of the important considerations for the industrial gases producers are:

  • The Gas Cylinder Rules, Fiscal 2016, under the Indian Explosives Act, 1884, were established to ensure safe handling, transportation, storage, and use of gas cylinders. License is mandatory for manufacturing gas cylinders, valves, or regulators. The application must be submitted to the Chief Controller of Explosives. The storage license is required for storing gas cylinders beyond prescribed quantities.
  • The foundation for environmental regulation and protection is provided by the Environmental Protection Act, 1986, which was further extended in 2022. In order to minimize the influence on the environment, it enforces stringent environmental standards and requires the installation of pollution control measures.
  • The management and disposal of hazardous wastes are governed under the Hazardous and Other Wastes Act of 2016. By ensuring that industrial gases containers, cylinders and associated debris are disposed of and recycled properly, it reduces environmental risks.
  • Health, safety, and welfare regulations as well as labor laws are enforced in industries by The Factories Act, 1948. In industrial gases plants, ensuring safe working conditions, lowering occupational dangers, and advancing worker welfare are the main priorities.
  • The Manufacture, Storage and Import of Hazardous Chemicals Rules, 1989, defines Hazardous Chemicals under Section 2(e) by laying down certain criteria in the Schedules of the Rules. Hydrogen forms a part of the list, and the manufacturer has to identify and report major accidental hazards and take adequate steps to prevent such major accidents and to limit their consequences to persons and the environment and provide to the persons working on the site with the information, training and equipment including antidotes necessary to ensure their safety.
  • For cryogenic storage tanks, the manufacturers need to get Petroleum and Explosives Safety Organization (“PESO”) accreditation, guaranteeing that the tanks and cylinders meet safety requirements in terms of construction, testing, and operation. PESO certification is required for cryogenic tankers, trailers, cylinders that are used to transport liquid gases in order to guarantee that they adhere to safety and operational regulations.
  • Apart from above important regulations, there are many standards set by Bureau of Indian Standards which are relevant for gas manufacturers. One such example of BIS standard is IS18149:2023 Transportation of Dangerous Goods which guides for the safe handling and transportation of hazardous materials across the country.