**Executive Summary**
The Oilfield (Regulation and Development) Amendment Act, 2025 (ORD Act) was enacted and came into effect in 2025. The Amended ORD Act aims to foster an investor-friendly environment that enhances Ease of Doing Business (EoDB) in the upstream Oil and Gas sector. This document outlines the HELP regime and its salient features for modernizing India's upstream sector. The information was provided by the MINISTER OF STATE IN THE MINISTRY OF PETROLEUM AND NATURAL GAS SHRI SURESH GOPI in a written reply in Lok Sabha.
**Key Points / Main Content**
**ORD Act 2025**
* Enacted and came into effect in 2025.
* Aims to foster an investor-friendly environment, enhancing Ease of Doing Business (EoDB).
* Petroleum and Natural Gas Rules reflect the Amended ORD Act's provisions.
**Joint Working Group (JWG)**
* Comprising representatives from Exploration & Production (E&P) operators and Government.
* Addresses issues affecting EoDB in the upstream Oil and Gas sector.
* Reforms approved include delivery points within/outside contract areas and transfer of Participating Interest (PI).
**Hydrocarbon Exploration and Licensing Policy (HELP)**
* Launched in 2016, including Open Acreage Licensing Policy (OALP).
* 172 exploration blocks covering 3,78,652 sq. km awarded under 9 bidding rounds.
* OALP Bid Round X offering 25 exploration blocks covering 1,91,986.21 sq. km has been launched, the largest acreage offered in a single OALP bid round under HELP.
**Salient Features of HELP Regime**
* Reduced Royalty Rates.
* No Oil Cess.
* Uniform licensing system.
* Revenue Sharing Model.
* Exploration rights on all retained area for full contract life.
* Concessional Royalty Rates in case of early commercial production.
* No Revenue Share based bidding in Category-II and III Basins.
* Extended and phased exploration for blocks in Category II & III basins.
* Originator Incentive Increased to 10 marks for Category-II & Category-III Basins
**Measures for Increasing Domestic Exploration**
* Policy for Relaxations, Extensions and Clarifications under Production Sharing Contract (PSC) regime for early monetization of hydrocarbon discoveries, 2014.
* Discovered Small Field Policy, 2015.
* Hydrocarbon Exploration and Licensing Policy (HELP), 2016.
* Policy for Extension of PSCs, 2016 and 2017.
* Policy for early monetization of Coal Bed Methane (CBM), 2017.
* Policy to Promote/Incentivize Enhanced Recovery Methods of Oil/Gas, 2018.
* Policy Framework for exploration and exploitation of Unconventional Hydrocarbons including CBM, Shale Oil and Gas etc under Existing Contracts and Nomination Fields, 2018.
* Release of about 1 million Sq. Km. (SKM) “No-Go” area in offshore in 2022 which were earlier blocked for exploration for decades.
* The Oilfields (Regulation and Development) Amendment Act, 2025.
**Impact Analysis**
**E&P Industry**
* **Impact:** HELP regime enhances the industry's capability to sustain and augment domestic production.
* **Action Required:** Stay informed about the incentives and reforms offered under the HELP regime.
**India (Overall)**
* **Impact:** Strengthens India's long-term energy security by increasing domestic hydrocarbon exploration and production.
* **Action Required:** N/A.
Key Entities Referenced
Hydrocarbon Exploration and Licensing Policy (HELP): A policy introduced in 2016 by the government to promote exploration and production in the oil and gas sector.
Oilfield (Regulation and Development) Amendment Act, 2025 (ORD Act): An act enacted in 2025 to foster an investor-friendly environment in the oil and gas sector.
Ministry of Petroleum & Natural Gas: The government body responsible for the administration of India's petroleum and natural gas resources.
Open Acreage Licensing Policy (OALP): A policy under HELP to award exploration blocks to successful bidders.
Ministry of Petroleum & Natural Gas
HELP Reforms Modernise India’s Upstream
Sector
प्रव तथ: 11 DEC 2025 6:58PM by PIB Delhi
The Oilfield (Regulation and Development) Amendment Act, 2025 (ORD Act) was enacted and came into
effect in 2025. The Amended ORD Act aims to foster an investor-friendly environment that enhances Ease
of Doing Business (EoDB). The Petroleum and Natural Gas Rules, accordingly reflect the provisions of
the Amended ORD Act.
Government had constituted a Joint Working Group (JWG), comprising representatives from key
Exploration & Production (E&P) operators and Government, to assess and address issues affecting the
EoDB in the upstream Oil and Gas sector. Pursuant to that, Government approved a set of reforms which
inter alia include delivery point(s) within and outside the contract area, transfer of Participating Interest
(PI) among existing PI holders under a contract and field handover process in DSF contracts etc.
Government have launched Hydrocarbon Exploration and Licensing Policy (HELP) in 2016. Under this
policy, Open Acreage Licensing Policy (OALP) was started. A total of 172
exploration blocks covering 3,78,652 Square Kilometer have been awarded to successful bidders under 9
bidding rounds. Further, OALP bid Round X offering 25 explorations
blocks covering 1,91,986.21 sq. km has been launched. It is the largest bid round so far in terms of acreage
offered in a single OALP bid round under the HELP regime.
The salient features of HELP regime are as under:
i. Reduced Royalty Rates,
ii. No Oil Cess,
iii. Uniform licensing system,
iv. Revenue Sharing Model,
v. Exploration rights on all retained area for full contract life,
vi. Concessional Royalty Rates in case of early commercial production,
vii. No Revenue Share based bidding in Blocks falling in Category–II and III Basins except in case of
Wind fall gain etc.
viii. Extended and phased exploration, bidding only 2D and 3D seismic and swapping of CWP with
other surveys are key additional features for blocks falling in category II & III basins.
ix. Originator Incentive Increased to 10 marks for Category-II & Category-III Basins
The measures for increasing the domestic exploration and production of hydrocarbon resources vis-à-vis
the expansion of refining capacity and to reduce dependency on import of oil and gas inter-alia include:i. Policy for Relaxations, Extensions and Clarifications under Production Sharing Contract (PSC)
regime for early monetization of hydrocarbon discoveries, 2014;
ii. Discovered Small Field Policy, 2015;
iii. Hydrocarbon Exploration and Licensing Policy (HELP), 2016;
iv. Policy for Extension of PSCs, 2016 and 2017;
v. Policy for early monetization of Coal Bed Methane (CBM), 2017;
vi. Policy to Promote/Incentivize Enhanced Recovery Methods of Oil/Gas, 2018;
vii. Policy Framework for exploration and exploitation of Unconventional Hydrocarbons including
CBM, Shale Oil and Gas etc under Existing Contracts and Nomination Fields, 2018;
viii. Release of about 1 million Sq. Km. (SKM) “No-Go” area in offshore in 2022 which were earlier
blocked for exploration for decades.
ix. The Oilfields (Regulation and Development) Amendment Act, 2025;
The policy reforms and incentives offered under HELP regime enhance the capability of the E&P industry
to sustain and augment domestic production, thereby contributing to the strengthening of India’s long-term
energy security.
This information was given by the MINISTER OF STATE IN THE MINISTRY OF PETROLEUM AND
NATURAL GAS SHRI SURESH GOPI, in a written reply in Lok Sabha today.
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MONIKA
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