GoM has proposed that the new regulator should take over critical functions of the DGH.

DGH reports to the oil ministry, and is its technical arm for issues involving oil and gas exploration and production contracts.

DGH is currently under the scanner of investigative agencies over allegations of malpractices by the former head of the body, VK Sibal.

CAG has criticised the DGH and oil ministry for their handling of the contracts with private companies including Reliance Industries.

Oil ministry argues that policies such as the New Exploration Licensing Policy and Coal-Based.

Methane already provided a level-playing field to all companies The recommendation for a new upstream regulator was made to the GoM by the Committee on Allocation of Natural Resources.

It was asked to suggest a clean-up act in critical sectors like oil, gas, spectrum and land.

GoM accepted several proposals like clear separation of roles of the policymaker (the oil ministry), the regulator & the operator.

The committee argued that the current system of overseeing oil and gas blocks with help of a Management Committee was opaque.

The panel also asked the govt to shut the ‘revolving door’ that allows oil industry executives to work at the DGH on deputation and go back to their firms.

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