| Directorate General of Hydrocarbons (DGH)

 

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Creation
Role & Functions
Staffing
Funding
Governance

1.1 Background of the Handbook

This information Handbook has been prepared in pursuance of Section 4 of the Right to Information Act, 2005 (RTI Act, 2005) to provide information in respect of objectives, functions etc. of the Directorate General of Hydrocarbons (DGH), India.

1.2 Objectives

To provide access to information under the control of office of the Director General, Directorate General of Hydrocarbons, India and to promote transparency in the working. To provide maximum information suo-motu or sources thereof so that information seeker have minimum resort to use of the RTI Act.

1.3 Intended Users

This Handbook is useful for the industry including small/medium entrepreneurs and individuals working in the related areas and public in general seeking interested in information related to E&P industry.

1.4 Contact Persons for getting more information

Please contact the Public Information Officer/concerned Assistant Public Information Officer(s) in the office of the Directorate General of Hydrocarbons, India, as detailed in Chapter – 17 below.

1.5 Definitions/Abbreviations used

(a) “APIO” means Assistant Public Information Officer(s) designated under Section 5(1) of the RTI Act;
(b) “AA” means Appellate Authority to whom an appeal can be submitted under Section 7(8)(i i) of the RTI Act;
(c) “DG” means Director General, Directorate General of Hydrocarbons, India;
(d) “EXIM Policy” means Export/Import Policy;
(e) “PIO” means Public Information Officer designated under Section 5(1) of the RTI Act;
(f) “RTI Act” means Right to Information Act 2005;
(h) “GOI” means Government of India;
(i) “DGH” means Directorate General of Hydrocarbons, India;
(j) “PSC” means Production Sharing Contract;
(k) “NELP” means New Exploration Licensing Policy;
(l) “EC” means Essentiality Certificate;
(m) “OIDB” means Oil Industry Development Board;

1.6 Procedure and fee structure for getting information which are not available in the Handbook

Any person who wishes to seek information under the RTI Act, 2005 can file an application in Form-A, attached with this Handbook, to the PIO or APIO concerned. Forms are available free of cost in the Office of DGH. It can also be downloaded from the DGH website. A fee of Rs. 10/- (Rs. Ten only) per application will be charged for supply of information other than the information relating to Tender Documents/Bids/ Quotations/ Business Documents in addition to the cost of document for the photocopies of document/information, if any. A sum of Rs. 2 per page and binding cost will be charged for supply of photocopy of document(s) under the control of office of DGH. The fee/charges payable as above shall be in the form Demand Draft/Indian Postal Order (IPO) drawn in favor of Directorate General of Hydrocarbons and payable at New Delhi. Subject to the provisions of the RTI Act, DGH will endeavor to reply/provide the information as early as possible, and in any case within time limit as prescribed under RTI Act 2005.

2.1 Background of DGH

The liberalized economic policy adopted by the Government of India (GoI) in July 1991 sought to deregulate and de-license the core sectors (including the petroleum sector) with partial disinvestments of government equity in Public Sector Undertakings along with other measures. The upstream petroleum sector was largely a monopoly of public sector companies till then and the sector was being increasingly opened up to new operating companies in the private and joint sectors. Thus a need was felt to establish an agency that could effectively supervise the activities of all these companies in the national interest. The same was elucidated by the committee headed by late Dr. A. B. Dasgupta, which had reviewed the management of the Bombay High reservoir, had recommended the creation of an autonomous conservation board to oversee and review that oilfield development programs conform to sound reservoir engineering practices in line with national interests. Subsequently, a committee was constituted in 1992 under the chairmanship of late Shri P. K. Kaul, former Cabinet Secretary, to examine the need for restructuring ONGC’s organizational structure. This committee also recommended the establishment of an independent regulatory body called the Directorate General of Hydrocarbons (DGH) for discharging the regulatory functions of leasing and licensing and also development, conservation and reservoir management of Hydrocarbon resources in India.. Accordingly, Directorate General of Hydrocarbons was set up through GoI resolution No. O-20013/2/92/ONG-III dated 08.04.1993 under the administrative control of the Ministry of Petroleum and Natural Gas.

2.2 Objectives of the DGH

The objective of the Directorate General of Hydrocarbons is to promote sound management of the Indian petroleum and natural gas resources having a balanced regard for the environment, safety, technological and economic aspects of the petroleum activity.

2.3 Functions of the DGH

a) to provide technical advice to the Ministry of Petroleum and Natural Gas on issues relevant to the exploration and optimal exploitation of hydrocarbons in the country and on the strategy of taking up exploration and exploitation of oil and gas reserves abroad by the national oil companies;
b) to review the exploration programmes of companies operating under Petroleum Exploration Licenses granted under the oil fields (Regulation and Development) Act 1948 and the Petroleum and Natural Gas Rules, 1959 with a view to advising Government on the adequacy of these programmes;
c) to reassess the hydrocarbons reserves discovered and estimated by the operating companies in discussion with them;
d) to advise the Government on the offering of acreage for exploration to companies as well as matters relating to relinquishment of acreage by companies;
e) to review the development plans for commercial discoveries of hydrocarbon reserves proposed by the operating companies and advise Government on the adequacy of such plans and the exploration rates proposed and matters relating thereto;
f) to review and audit concurrently, the management of petroleum reservoirs by operating companies and advise on any mid course correction required to ensure sound reservoir management practices in line with the optimal exploitation of reserves and the conservation of petroleum resources;
g) to regulate the preservation, upkeep and storage of data and samples pertaining to petroleum exploration, drilling, production of reservoir etc. and to cause the preparation of data packages for acreage on offer to companies;
h) All other matters incidental thereto and such other functions are be assigned by Government from time to time.

2.4 Organizational Structure (as on 1st January 2020)

DGH Image

Sno. Department Function of Department
1 Administration & HR • Handle Administration and HR matters, Advisory Council, Administrative Council, Executive Committee matters
• To maintain documentation/library
• To facilitate clearances from various Ministries/Departments
2 Alternate Energy (CBM, Shale Gas, Gas Hydrates) • Enabling formulation of policy frame work for unconventional hydrocarbons like CBM, Shale Gas/ Oil Shale, Gas Hydrate etc. for systematic exploration and exploitation of these resources
• Acquiring geo-scientific information, integration and systematic studies for evaluation of prospective areas of these studies
• Estimation of alternate hydrocarbon energy resources
• Enabling pilot studies/ projects including drilling of wells and steering of National Gas Hydrates Programme
• Offer of blocks/ areas for exploration & development
• Enabling simultaneous operations of multiple resources over the same surface area
• Subsequent monitoring of operations/ contracts
3 Audit • CAG para & draft report
• PAC observations/ reports/ recommendations
• Coordinating with MOPNG in providing ATN to CAG/ PAC Para/ reports
• Coordinating compliance audit of DGH by CAG
• Enabling Government audit of PSCs including appointment of Govt. auditors, notifying audit exceptions and settlement thereof
• CAG audit facilitation
4 Contract Finance • Review of chart of accounts
• validation of Bank Guarantees (BG)
• Adoption of audited accounts of Exploratory and Producing blocks
• Maintaining contract finance related MIS such as investments, Royalty, CESS, Profit Petroleum etc.
• Monitoring of remittances such as Royalty, PEL fees, Profit Petroleum etc received by MOP&NG.
• Participation in MC meetings, review minutes as finance representative and handling issues arising there from.
• Working out the liquidated damages/unfinished work cost and validating the same
• Differential royalty calculations for payment to States
• Handling of arbitration & court cases, disputes relating to commercial issues arising out of contractual obligations.
• Economic evaluation of DOC & FDP
5 Discovered Small Field • Identification of un-monetised small fields/ discoveries
• Implementation of Discovered Small Field Policy and DSF bidding rounds
6 Drilling • Review all drilling proposals including new wells and re-entry wells
• Technical validation of expenditure accounts of wells
• Estimation of drilling time (on dry well basis) for undrilled/partially drilled wells for assessment of liquidated damages.
• Maintaining MIS for drilling related activities and dissemination of related information.
• Related technology scouting & assimilation.
7 Environment • Monitoring the process of approvals of environmental clearances and subsequent six monthly reports on the status of the environment
• Monitoring of Mobilization capabilities of Tier I, OSR Tier II & Tier III in association with OISD and Coast Guard.
• Coordinate with MOP&NG, OISD, Coast Guard and other agencies with regard to monitoring of Marine Oil Spills
• Maintaining laison with Coast Guard, OISD and other statutory Central Pollution Control Board (CPCB)/ State Pollution Control Boards (SPCB) etc. in connection with related activities
• To liaise with MOEF, Wild life Board for facilitating clearances.
• To coordinate with Operators to provide information to Ministry of Science & Technology about presence of Helium in Natural gas as and when detected
• Monitor compliance of EIA recommendations and need for repeat EIA studies (through MOEF) as & when warranted
• Review and approve and monitor site restoration /abandonment plans/ operations
8 Finance and Accounts • Prepare annual budget and revised budget estimates for DGH activities.
• Manage accounts of DGH and maintaining DGH Accounts in Tally Accounting System.
• Financial concurrence for various proposals
• Handle various taxation matters and payment towards contractual services & staff
• Raising fund requirement on OIDB to get grants for DGH activities
• Verification and scrutiny of proposals for processing of payments.
• Deposit of TDS under IT & GST, and filing of related returns thereof.
• Finalisation of annual accounts of DGH and preparation of Balance Sheet and accounting schedules thereof.
• Maintaining Fixed Asset Register.
• Enabling audit of DGH accounts by Statutory Auditor and C&AG and replying to their queries.
• Recording sales proceeds in respect of DGH’s share from sale of speculative survey data, if any.
• Refund of EMD & security Deposit and reconciliations thereof
9 Geology, Geophysics, Petrophysics & GDA • Formulate plans for geoscientific surveys in terms of technology parameters and execution mode (speculative or contractual)
• Enabling conduct of geophysical surveys, processing and interpretation.
• Reprocessing & interpretation of old geophysical data
• Quality control of G&G & GC data
• Integration of newly acquired data with existing data for enabling new geological model.
• Maintaining geophysical data sets and archival of data
• Evaluate the additional exploration inputs required for unexplored/poorly explored areas from G&G perspective
• To evolve new geological model based on updated reprocessed & reinterpreted data of relevant areas
• Review/evaluation of exploratory, appraisal & development locations
• Provide G&G inputs for reserve assessment/reassessment of new discoveries and producing fields/blocks
• Evaluation of discovery notifications, potential commerciality, appraisal programs, declaration of commerciality and Field Development Plans (FDP) proposed by operators from G & G angle
• Examination of geoscientific reports from operators viz integrated interpretation, petroleum system modeling, geological evolution etc. for planning and evolving of effective exploration & development strategy
• Technical scrutiny of reserves assessment by third parties, if any, of producing fields
• Evaluation of G & G projects proposed by various government agencies/academic institutes
• Quality control checks and archival of log data. Petrophysical evaluation of well logs.
• Scouting, assimilation and possible application of related technologies
• Well log analysis
• Petrophysical evaluation through review of discoveries and related plans.
Geo-scientific review of subsurface project proposals from E&P Operators as a part of technical assurance on behalf of MoP&NG.
10 Information Technology The IT Department in DGH supports various activities in the following areas viz Software development and support, Application, System and Database Administration, IT support, IT Security, Maintenance of Hardware, Network and other Infrastructure, Inventory Management, Receipt & Issue of consumables, Internet & E-Mail and others including
• IT Resource Planning, budgeting & Procurement
• Outsourcing and coordination of IT services & AMCs for G & G Centre, VRC Centre Processing & Others
• Overall Management of IT hardware, Software & Network
• Network firewall and Security management
• Servers monitoring and patches up gradation
• SSL-VPN management for ECMS online application software
• Antivirus support for Server and Clients
• New device installation and implementation
• Manage Lease line links for office internet connectivity
• Check all escalations from Support team and give them training & solutions
• Managing Electrical Installations, projection Systems, Video Conferencing & Communication System
• E-clearance of IT Hardware/Software for EC
• Issues related to Data centre, networking, VRC, Communication, Air conditioning etc.
• Managing inventory & stocking of IT/Electrical consumables, Accessories & spares
• Planning & executing technical design and maintenance for DGH’s website
• IT software support to various DGH departments
• Maintaining SW projects carried out by outside agencies
• Developing/Maintaining SW projects carried out by DGH’s in-house resources
• Archidoc Document Management System Support
• Oracle database administration
• Tender preparation/evaluation for NDR
• E&P data management support to NDR
11 Essentiality Certificate • To issue essentiality certificates for duty free import of goods & services used for petroleum operations
• Digital Essentiality Certificate (EC) are issued—for Indigenous & Imported Goods
• Digital No Objection Certificate (NOC) are issued for transfer of goods.
12 Legal • Legal opinion on contractual issues
• Handling court cases and arbitration matters
• Handling of matters relating to amendment of PSCs.
• Scrutiny of assignment proposals form legal angle.
• Vetting of various documents submitted in connection with contractual obligations including Bank Guarantees, Financial Performance Guarantees, MOUs/Agreements, Tender documents etc.
• Research of case laws
13 Materials Management • Procurement/provisioning, tendering, inventory management etc.
14 National Data Repository • Operationalizing the NDR and Secondary Data Center (SDC) at Bhubaneswar
• Requisition of all geo-scientific present and past data raw as well as processed and interpreted data generated by all the companies in Indian basins in respect of conventional and non-conventional hydrocarbon energy resources. Loading the data in work station after quality checks.
• Archival of entire country’s past geo-scientific data and geo-scientific data library
• Securitization of data
• Indexing & retrieval system for enabling systematic dissemination to stakeholders as per rules/regulations
• E&P, Data Assimilation, Disclosure, Sharing, Accessibility & Dissemination through National Data Repository (NDR) at DGH as per policy
• Data Package Preparation for DSF & OALP Bid Rounds
• Hosting of Data Room for DSF & OALP Bid Rounds
• Validation and Updation of lease boundary(PEL/PML)
• Develop guidelines for Submission of E&P data of Nomination Fields by National Oil Companies (NOCs)
• Implementing a private Cloud Solution
• Data Analytics endeavors to gain insights from vast amount of E&P data
15 Hydrocarbon Exploration Licensing Policy (HELP) • Implementation of HELP, floating of bid rounds through OALP and finalisation of contracts to awardees.
16 NOC Monitoring, PEL/ML • Monitoring of exploration blocks (PELs) of NOCs under nomination regime
• Review of exploration work programmes and budget
• Monitoring of operations and practices including measures for environment protection
• Extension of PELs/exploration periods, if warranted
• Review of notification of hydrocarbon discoveries by NOcs
• Monitoring of appraisal programs of new discoveries of NOCs
• Evaluate techno-economic viability of commercial discoveries during exploration phase
• Witnessing production testing operations
17 Policy & Planning Cell • Submission of replies /information to Ministry of Petroleum on the questions raised in Parliament related to E&P Industry in India
• Work Related to Committees on Monitoring of Country Level E&P Activities through Digital Dashboard, Roadmap for Digital E&P Industry in India, E&P Vision 2024, 10 % Import Reduction
• Providing timely replies/inputs to Parliamentary Committees, VIP References, MoP&NG Correspondences on the issues related to E&P Industry in India
• Database Management including dissemination of Information related to E&P Industry of the Country to various stakeholders of Oil & Gas Industry
• Providing information /replies related to E&P Industry of the Country to the concerned Person/Institution under the RTI Act
18 Production • Evaluation of DOCs & FDPs including production profiles of oil, gas, condensate, surface and transportation facilities for oil & gas & CBM etc.
• To review & evaluate well competition/well testing/ artificial lifts/ workover and stimulation/ hydro-frac plans/ programs proposed by operators.
• To review & evaluate petroleum measurement methodology in line with PSC provisions and global best industry practices.
• Balance reserves calculation and future production projections
• Scouting, assimilation and possible application of production related technologies.
• Matters related to Offshore Security Co-ordination Committee, JVOPAC etc.
• To monitor production performance in line with the development plan and targets and issue alerts.
• Metering validation
• Review of work programme and budget related to production operations of fields
• Monitoring of Production fields PSC, CBM and DSF contract regimes.
19 Production Sharing Contract (PSC) • Management of all exploration blocks under PSCs on behalf of Government and participation in Management Committee Meetings
• Enabling approval/issuance of MC resolutions
• Review of exploration work programmes and budget of NOC blocks/ fields
• Monitoring of operations and practices and ensuring compliance with PSC provisions with regard to timelines for various activities
• Review of notification of hydrocarbon discoveries
• Monitoring of appraisal programs of new discoveries
• Evaluate techno-economic viability of commercial discoveries during exploration phase (upto FDP stage)
• Witnessing production testing operations
• Enabling resolution of PSC related issues
20 Producing Fields (PSC regime) • Interface between DGH/MoP&NG and Operator for PF Blocks under the PSC Regime.
• Recommendation for PML.
• Review and Approval of Annual Work Program & Budgets and monitoring the progress through Quarterly/Half Yearly Reviews.
• Follow up with the Operator for timely submission of various proposals for Exploration, Development & Production related activities as per PSC provisions.
• Monitoring of various contractual provisions (timelines etc.) under PSC for compliance.
• Witnessing Measurement of Petroleum, Physical Verification of Assets and Inventories, Field Surveillance etc.
21 Reservoir • Periodic evaluation of reservoir health of producing fields and review of reservoir management process/schemes/projects proposed/undertaken by operators.
• Evaluation of mid-course corrective measures as proposed and undertaken by the operators.
• Review/evaluation of declaration of commerciality (DOC) from reservoir angle
• Review evaluation of development plans of new discoveries & redevelopment plans for existing oil & gas fields including evaluation of production profiles from reservoir angle
• Reserve validation of ‘to be developed discoveries’ including FDP numbers of oil, gas & CBM blocks
• Generate possible reserve estimation profiles for to be offered HELP/ OALP blocks
• Scouting, assimilation and possible application of reservoir related technologies
• Routine review/monitoring of reservoir performance
• Field surveillance for on the spot inspection/assessment of related operations including testing
• Review of periodic reservoir related reports by exception, if any
• Evaluation and Review of Reservoir Models (Static and Dynamic) - Numerical and Analytical Simulations, Decline Curve Analysis (DCA), Production profile and Reserves.
• Review of Enhanced Recovery study
• Review of Third Party In-place, Reserves/ Resource Audit Report.
• Evaluation of EOR screening reports.

4.1 Administrative Council

As per the Govt. of India order O-32012/1/95-ONG.III dated 02.02.2001, Administrative Council for DGH was set up to guide and take care of all administrative aspects of its functioning. The Administrative Council, in particular, takes decisions on various matters concerning establishment and budget, as also under takes periodic review of the functioning of DGH.

Documents used by DGH

i) The GOI resolution dated 8 April 1993.
ii) Notification of GOI, Ministry of Finance (Department of Revenue) No. Customs dated 1.3.2002 for issue of Essentiality Certificate.
iii) Model and all PSCs signed under Pre NELP, NELP and CBM rounds.
iv) Bank Guarantees and Performance Guarantees from operators.
v) MOUs signed between DGH and various agencies.
vi) Model and other contracts signed under DSF rounds and HELP rounds.

No document of Public interest is held by DGH with the exception of promotional document pertaining to NELP rounds

No such arrangement is called for at present.

8.1 Administrative Council

The Chairman and Members of the Administrative Council are appointed by the GOI. The Administrative Council is headed by Chairman of the council. C omposition of the Administrative Council of DGH is given below:
1) Secretary P&NG – Chairman
2) Addl. Secretary, MOP&NG – Member
3) Secretary OIDB – Member
4) JS (E), MOP&NG – Member
5) AS (F&A), MOP&NG – Member
6) Director General, DGH – Member

DGH does not have its own cadre and the entire manpower is drawn from various PSUs on ‘deputation’. Therefore, salary administration is regulated through respective PSU.

(i). DGH office located at Noida (UP) and is run through grant from OIDB.
(ii). Secondary Data Centre at Bhuvneshwar

DGH have no such programmes.

i) ECs issued on behalf of Ministry of Finance.
ii) Clearances issued on behalf of MOD/MOHA for engaging vessels for seismic surveys/ drilling / production operations and for engaging expatriates.

The following documents are held by DGH:
i) Production Sharing Contracts (PSCs) under Pre-NELP & NELP rounds
ii) Bank Guarantees of the operators
iii) Modalities for applying & issuance of Essentiality Certificate for E&P operations
iv) RSC under HELP & DSF
v) CBM Contracts

No library/reading room as such is maintained for public. However, DGH website is dedicated to impart information to relevant organizations / individuals, who intend to get information.

APPELLATE AUTHORITY IN DGH

Smt. Tinku Sengupta Nischal, CGM (Production)
Directorate General of Hydrocarbons
(Under Ministry of Petroleum & Natural Gas, Govt. of India)
OIDB Bhawan, Plot No.2, Sector-73,
Noida (UP) India – 201301
Phone: +91-120-2472094
Fax: 0120-2472049
Email: tinku.nischal@dghindia.gov.in

Name and contact no. of Public Information Officer and Assistant Public Information Officers in DGH are as follows:-

CPIO
Sh. Ajay Kansal, GM (Production)
Directorate General of Hydrocarbons
(Under Ministry of Petroleum & Natural Gas, Govt. of India)
OIDB Bhawan, Plot No.2, Sector-73,
Noida (UP) India – 201301
Phone: +91-0120-2472031
Fax: 0120-2472049
Email: akansal@dghindia.gov.in

APIO

Ms. Vishakha Gupta, Dy. Chief Geophysicist
Directorate General of Hydrocarbons
(Under Ministry of Petroleum & Natural Gas, Govt. of India)
OIDB Bhawan, Plot No.2, Sector-73,
Noida (UP) India – 201301
Phone: +91-0120-2472472
Fax: 0120-2472049
Email: vishakha@dghindia.gov.in