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Justice GCC > Legislation > Oman Issues New Decision Expanding Work Injury Protections for Oil and Gas Employees
Legislation

Oman Issues New Decision Expanding Work Injury Protections for Oil and Gas Employees

NewsDesk
Last updated: August 29, 2026 2:30 pm
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Minister of Energy and Minerals Salim bin Nasser al Aufi issued Ministerial Decision No 1/2026 to introduce a comprehensive regulatory framework governing work-related injuries and occupational diseases, according to an HSER industry review. The provisions apply mandatorily to all Omani workers regardless of contract type, extending coverage to permanent, temporary and part-time employees as well as trainees and insured retirees who continue working. Employers must contribute 1 percent of each insured employee’s wage each month to the Social Protection Fund, which administers claims and benefits under the scheme.

The decision broadens the legal definition of work-related injuries to include those linked to work-related stress and fatigue, relapses or complications from previous injuries, and accidents occurring during or because of work activities whether inside or outside Oman, HSER reported. Workers are required to notify their employer of a work injury on the same day it occurs if their medical condition allows while employers must report injuries to the fund within five days and occupational diseases within 14 days of identification. The rules standardise protection across the labour market and strengthen oversight of occupational health and safety obligations.

Petroleum Development Oman updated its Health, Safety and Environment Code of Practice to version 7 in January, aligning the document with ISO 45001 and ISO 14001 standards, the company publication stated. The code establishes a framework to protect the health, safety and environment of employees, contractors, visitors and stakeholders while ensuring compliance with Omani law and company policies. It emphasises proactive risk management, prevention of incidents and continual improvement to safeguard people, the environment, assets and reputation.

The Environment Authority separately issued Decision No 16/2026 in February that requires owners and operators to report oil and chemical pollution incidents on land immediately with a written report submitted within eight hours, a Zawya dispatch indicated. The regulations cover both minor and serious incidents with heightened requirements for environmentally sensitive areas and impose administrative fines ranging from RO2,000 to RO5,000 for violations that double for repeat offences within two years. This step forms part of ongoing measures to improve environmental compliance and incident response in the hydrocarbon sector.

Oman’s oil and gas sector has set a target to reduce emissions by up to 48 percent by 2035 compared with a 2024 baseline, according to Ministry of Energy and Minerals figures. The ministry has noted that several operators have achieved a 50 percent reduction in routine gas flaring at certain sites through investments in gas recovery infrastructure that supports reuse in power generation and production. PDO has also raised its target to generate 30 percent of the energy used in its operations from renewable sources by the end of 2026.

A pilot project by PDO at the Dhulaima field employs carbon dioxide for enhanced oil recovery while advancing carbon capture utilisation and storage efforts, an Oil and Gas Middle East report stated. Wind projects in Block 6 with combined capacity of 200 megawatts reached approximately 42 percent completion and were scheduled to begin operations in the fourth quarter of 2026. These initiatives support Oman’s net-zero emissions goal by 2050 and its broader strategy under Oman Vision 2040.

The Oil and Gas Law requires concession holders to conduct operations with due care, diligence and good oilfield practice to protect the environment while the Labour Law sets out employer obligations to maintain worker safety and provide fit-for-purpose equipment, the International Comparative Legal Guides oil and gas report noted. The Environment Authority oversees environmental aspects of oil and gas development under the Law on Conservation of the Environment and Prevention of Pollution. Such measures collectively address health, safety and environmental standards across the sector.

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ByNewsDesk
Justice GCC NewsDesk is the desk responsible for Justice GCC's daily news coverage, monitoring and reporting developments across the Gulf from official sources, including national news agencies and government communications. Its focus is accurate, timely and factual coverage of the region.
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