December 30, 2025

Introduction

PESO License, short for Petroleum and Explosive Safety Organization, operates as the Chief Controller of Explosives (CCOE), overseeing regulatory oversight and safety protocols within the petroleum and explosives industry in India. It holds responsibility for regulating the manufacture, importation, exportation, sale, storage, transportation, and handling of explosives, flammable materials, pressure vessels, petroleum, and compressed gases. Additionally, it supervises petrol stations across the country. PESO functions as an autonomous regulatory body under the purview of the Department for Promotion of Industry and Internal Trade, within the Ministry of Commerce and Industry.

What is a PESO License?

A PESO License is an official sanction granted by the Petroleum and Explosives Safety Organization (PESO), Government of India, Ministry of Commerce and Industry. It grants legal permission for the safe manufacturing, storage, transportation, importation, or handling of petroleum, compressed gases, or explosives.

The PESO License represents compliance with minimum national safety standards in the handling or operation of hazardous substances and minimizes the potential risk to life, property, and the environment. Any company handling hazardous materials; for example, gas cylinder manufacturers, fuel stations, and chemical manufacturers need to possess a valid PESO license to operate legally.

Mandatory License

  • Petroleum / Gas Cylinders / SMPV(U)
  • Explosives / Ammonium Nitrate
  • Degassing and Purging under SMPV(U)
  • Fabrication Shops
  • Gas Cylinder Testing Stations

SMPV (Unfired) Rules for PESO Certificate:

Static and Mobile Pressure Vessels (SMPVs) are vessels that are used to store liquids, gasses, or vapors at a pressure significantly greater than atmospheric pressure. The SMPV(U) rules associated with PESO certification ensure a strong structure and safety function. The following phrases can be used to describe the goal of these rules:

Safety: That is, preventing accidents based on by vessel pressure failure, whether it be an explosion or a leak.

Contamination Prevention: The objective of contamination prevention is to keep the substances pure and unpolluted.

The design, construction, testing, inspection, maintenance, and operation of pressure vessels are all covered by these SMPV(U) Rules. Regarding the administration of a PESO certificate, the response must be proper. The SMPV(U) requirements for obtaining PESO certification are completely strict and need to be handled with great care.

documents required

  • Application documents (application form, contract with AIR for min. 5 years, technical competence proof of AIR, etc.).
  • Business Licence of manufacturer, plant, and AIR.
  • Global organization chart.
  • Product ATEX/ IECEx certificates.
  • Test Reports, QAR/QAN.
  • Manufacturer profile.
  • List of production equipment and test instruments.
  • ISO Certificate.
  • Video of the Production facility.

Commercial information includes 3-year sales figures, a list of Indian customers, hazardous area installation information like installation location, the intended use of equipment, etc.

Procedure for Obtaining PESO License

Competent individuals can be recognized under the SMPV (U) Rules, 1981, through various procedures outlined in rules 18, 19, and 33. 

  • Application submission in Appendix IIIA requires documents such as a Qualification Certificate, two passport-size photographs, a specimen signature, and a scrutiny fee.
  • Alternatively, in Appendix IIIB, individuals with qualifications or equivalent experience in Chemical, Mechanical, Marine, or Metallurgical Engineering can apply along with the scrutiny fee.

If the Technical Person’s qualifications and experience meet the standards of Appendix II, they are called for an interview by the PESO Interview Board, comprising senior officers. These interviews are held quarterly.

The interview assesses the candidate’s expertise in design, fabrication, quality control, inspection, testing, operation, and maintenance of pressure vessels, along with their knowledge of relevant codes and inspection/testing procedures. The Board’s recommendations are then reviewed by the Chief Controller of Explosives for final approval under the SMPV (U) Rules, 1981.

  • Application Preparation: Gather necessary documentation including ATEX/IECEx certificates and test reports, ensuring that test reports are no older than two years. ATEX certificates signify equipment’s safety in hazardous atmospheres, while IECEx certification relates to standards for such equipment.
  • Application Submission: Submit the completed application to the PESO License authority, including pertinent commercial data such as sales figures, client rosters, and client feedback.
  • Scrutiny Process: PESO officials meticulously review the application and accompanying documents to ensure compliance with regulations.
  • Factory Audit: Certain products, notably pressure vessels, may undergo a factory audit to verify compliance with safety standards.
  • PESO License Certification: Upon satisfaction with the application and supporting materials, PESO issues the necessary certification.
  • Authorization: An Authorized Indian Representative is also granted a license in conjunction with the certification process.

Cost, Timeline, Validity and Renewal

CategoryDetails
CostThe cost for obtaining a PESO License depends on the type of business, nature of materials handled, and the license category. Additional fees may apply for inspection, documentation, or renewal.
TimelineThe approval process generally takes a few weeks to a few months, depending on the completeness of documents, type of application, and site inspection requirements.
ValidityA PESO License is typically valid for a fixed period as specified in the approval document, after which renewal is required to continue operations legally.
RenewalThe renewal process should be initiated before the license expiry date, requiring updated documents, compliance reports, and payment of renewal fees to maintain validity.