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Overview of the Petroleum Act, 1934

The Petroleum Act of 1934 was passed to consolidate and amend laws related to the import, transport, storage, production, refining and blending of petroleum. The previous Indian Petroleum Act of 1899 had become unsuitable due to major developments in petroleum use. To ensure uniformity across British India, the 1934 Act centralized rule-making powers with the central government. It contained three chapters on controlling petroleum, testing petroleum, and necessary penal provisions. Since its passing, various amending acts and orders had to be passed due to political and circumstance changes both before and after Indian independence.

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5 views1 page

Overview of the Petroleum Act, 1934

The Petroleum Act of 1934 was passed to consolidate and amend laws related to the import, transport, storage, production, refining and blending of petroleum. The previous Indian Petroleum Act of 1899 had become unsuitable due to major developments in petroleum use. To ensure uniformity across British India, the 1934 Act centralized rule-making powers with the central government. It contained three chapters on controlling petroleum, testing petroleum, and necessary penal provisions. Since its passing, various amending acts and orders had to be passed due to political and circumstance changes both before and after Indian independence.

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INTRODUCTORY

The Petroleum Act, 1934, is an Act to consolidate and amend the law relating to the import,
transport, storage, production, refining and blending of petroleum. Petroleum may be any liquid
hydrocarbon or mixture of hydrocarbons, and inflammable mixture (liquid, viscous or solid)
containing any hydrocarbon, and includes natural gas and refinery gas.
The Indian Petroleum Act, 1899 was passed at a time when the use of petroleum,
especially dangerous petroleum or petrol, was limited and with the great developments in the use
of petroleum it had become unsuitable in several ways. The attention of the Government of India
was drawn to the inconveniences caused due to the existence in different provinces of separate
sets of rules regulating the importation, possession and transport of petroleum. The Indian
Petroleum Act, 1899 did not permit the issue by the Government of India of a set of rules
applicable throughout British India, and the only way in which it had been possible to secure
uniformity had been made by the issue by Local Governments from time to time of similar rules
with the sanction of the Central Government. This led to consultations of the Local Governments
and it was felt necessary to revise the Act in 1925-26. As a result the Local Governments agreed
that the rule-making power should be transferred to the Central Government. In addition, a
number of changes had been suggested.
Thus in order to secure the uniformity, the Central Government was empowered to frame
rules applicable throughout India. The Petroleum Act, 1934, was assented by the then GovernorGeneral on 6-9-1934, and it came into force with effect from 30-3-1937. The aim and object of the
Act stated was to consolidate and amend the law relating to import, transport, storage,
production, refining and blending of Petroleum and other inflammable substances as they existed
then. In addition to the `Preliminary' portion and the final `Supplemental' Chapter, it contained
three separate chapters. Chapter I relating to Control of Petroleum and Chapter II to its testing
while Chapter III contained the necessary penal provisions.
Subsequently due to the political changes in the set up and the prevailing circumstances
various Amending Acts and Adaptation Orders had to be passed both in the pre-Independence
period and thereafter.
This booklet reproducing the Petroleum Act, 1934, with short comments along with
Petroleum Rules, 1976 would serve the purpose of having an overall view of the subject in issue.
A creative feedback from the learned readers, bringing to our notice any mistake, error or
omission or discrepancy that might have crept in this book in spite of our sincere efforts to avoid
those, is most welcome, for it will help us improve the quality, style and presentation of the book
in the forthcoming editions.

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