Odisha Cabinet Repeals Diesel Dealers’ Licensing Order to Ease Business Regulations

Bhubaneswar: In a move aimed at simplifying business procedures in the petroleum sector, the Odisha Cabinet has approved repeal of the decades-old “Odisha High Speed Diesel (Dealers’ Licensing) Order, 1979”, eliminating the requirement of a separate Retail Sale License (RSL) for sale of High-Speed Diesel (HSD) in the state.

The decision was taken following an advisory issued by the Ministry of Petroleum and Natural Gas, Government of India, urging states and Union Territories to remove licensing requirements for retail sale of diesel to promote ease of doing business and reduce regulatory hurdles.

As part of the reform, the state government will issue a new notification titled “The Odisha High Speed Diesel (Dealers’ Licensing) Repeal Order, 2026”, officially repealing the earlier licensing framework notified under the provisions of the Government of India’s Essential Commodities Act, 1955.

Officials said the move is expected to streamline approval processes, reduce duplication in regulatory clearances and create a more liberalised environment for petroleum retail operations in Odisha.

At present, retail fuel outlets are already required to obtain No Objection Certificates (NOCs) from district collectors and magistrates before establishment. These approvals are granted after clearances from departments such as Fire Services, Works, Revenue and the Petroleum and Explosives Safety Organisation (PESO).

With the repeal of the licensing order, retail outlets will no longer have to obtain the same set of clearances again for diesel sale licences, thereby reducing procedural delays and administrative burden.

The government clarified that while the licensing order has been repealed, provisions of the Essential Commodities Act relating to regulation and monitoring of High-Speed Diesel sales will continue to remain in force as earlier.

Officials said the decision aligns with the Centre’s broader policy push towards deregulation and facilitation of business activities in the fuel distribution sector.