This law aims to promote efficient oil and gas recovery, prevent waste and pollution and to guarantee a safe work environment. It applies to the entire oil and gas sector, including petroleum exploration, development, transport, processing, refining, marketing and products derived from hydrocarbons.
Petroleum developments are subject to governmental authorisation and must use best available technologies and follow accepted international standards. Moreover, they shall take all the necessary measures to prevent pollution and damage to human life and the surrounding environment. The Ministry of Finance and Oil is the competent regulatory body, being responsible for issuing policies and regulations for the oil and gas sector.
Article 5 requires enterprises to periodically submit reports on operations and states that the Ministry of Finance and Oil has inspection powers and may take necessary measures to ascertain that the information provided within reports is correct.
This legislation also sets out penalties for non-compliance and pertaining sanctions.