Skip to content
Amman —

A Draft Law to Regulate and License Gas Sector Activities in Jordan

A Draft Law to Regulate and License Gas Sector Activities in Jordan

The Council of Legislation and Opinion published, on Wednesday, a draft law on the conditions for granting licenses for gas sector activities, their duration, issuance, renewal, amendment, transfer, and cancellation for 2026, based on Gas Law No. 12 of 2026.

The draft aims to define the conditions and controls for granting, renewing, amending, transferring, and canceling licenses for gas sector activities, unifying and simplifying procedures, thereby enhancing the sector's efficiency and promoting investment.

Activities subject to the law include the construction, ownership, and operation of gas transportation and distribution facilities through pipelines, regasification or re-liquefaction and storage systems, storage facilities, and production plants, as well as wholesale and retail sales, non-pipeline transportation, the establishment of vehicle refueling stations and storage, gas export, and transit.

The draft excludes hydrogen and its derivatives and related activities, while the Energy and Mineral Resources Regulatory Commission studies licensing requests through a committee that includes representatives from the Commission and related parties, verifying the fulfillment of conditions, documents, and site inspections as necessary.

The draft requires applicants for licenses for construction, ownership, and operation of gas facilities intended for shared use to be a company registered under Jordanian company law, with at least five years of technical proficiency and operational experience, or through contracting with a specialized company, in addition to having an organizational structure and a study of the local gas market's needs.

According to the draft, the license applicant must submit a recent commercial register, the company's articles of association and bylaws, a specification of the land on which the activity is to be carried out, an economic feasibility study, a development plan, a technical study, a financing sources plan, and a marketing plan, along with the documents and information requested by the Commission.

The Commission reviews the license application within five working days of its receipt to ensure it includes the required documents, then it is referred to the Licensing Request Study Committee, which submits its recommendations to the Commission's Chairman for presentation to the Board of Commissioners to decide on approval or rejection.

The draft also regulates the procedures for obtaining an operating permit after meeting construction, inspection, testing, and obtaining the completion certificate and necessary approvals, and the licensee is not allowed to start commercial operation of the activity before obtaining the operating permit.

The draft specifies the provisions for renewing, amending, transferring, and canceling licenses, including submitting a renewal request at least three months before the license expires, while transferring a license requires the activity to have been practiced for five consecutive years and compliance with the provisions of the law, regulations, instructions, and license conditions.

The draft law was published for public consultation on September 23, 2026, and the deadline for receiving comments was set for October 3, 2026.

Know more about this story?Send us a tip

Al Rai

AI

Ask about this report — answers stay grounded in its text.

Answers are experimental and grounded in Al Rai reporting. Each question uses 2 credits.