Sections 18 explained: this guide covers what it means, who it applies to, the step-by-step process, documents required, fees, due dates and penalties in India — so you can stay compliant with confidence and avoid costly mistakes.
The last six sections of the PLI Act deal with procedure and machinery. Section 18 says who can complain of an offence. Section 19 lets the Central Government delegate its powers. Section 20 protects action in good faith. Section 21 provides an advisory committee on insurance. Section 22 makes the Act prevail over inconsistent laws. Section 23 is the rule-making power, which now covers the amount of relief, the insurance cap and the manner of adjudication.
This article is current as amended up to the Jan Vishwas (Amendment of Provisions) Act, 2023 (in force for this Act from 1 April 2024). That Act substituted section 23(2)(a), added clauses after section 23(2)(e), and omitted the Schedule of relief rates. Later amendments and notifications should be checked. If you are working out which rules govern your insurance and claims position, our legal consultation team can help.
No court takes cognizance of an offence under the Act except on a complaint by the Central Government or its authorised authority or officer, or by a person who has given at least sixty days' notice (section 18). The Central Government may delegate its powers except the rule-making power (section 19). The Act has overriding effect (section 22). Relief is no longer fixed by a Schedule: the Schedule was omitted in 2024 and the amount of relief and other figures are matters for rules under section 23.
Section 18: cognizance of offences
"No court shall take cognizance of any offence under this Act except on a complaint made by—
- (a) the Central Government or any authority or officer authorised in this behalf by that Government; or
- (b) any person who has given notice of not less than sixty days in the manner prescribed, of the alleged offence and of his intention to make a complaint, to the Central Government or the authority or officer authorised as aforesaid."
The offence that now remains under the Act is failure to pay a penalty within ninety days, in section 17B; see sections 16 to 17B. The penalties in sections 14, 15 and 17 are imposed by an adjudicating officer and are not tried as offences. A private person must give the notice of not less than sixty days, in the prescribed manner, before complaining.
Section 19: power to delegate
"The Central Government may, by notification delegate, subject to such conditions and limitations as may be specified in the notification, such of its powers and functions under this Act (except the power under section 23) as it may deem necessary or expedient to any person (including any officer, authority or other agency)."
The delegation is by notification, can be to any person, officer, authority or other agency, and excludes the rule-making power in section 23. This is how powers such as entry, inspection and information in sections 9 to 13 reach officers on the ground.
Section 20: protection of action taken in good faith
"No suit, prosecution or other legal proceeding shall lie against the Government or the person, officer, authority or other agency in respect of anything which is done or intended to be done in good faith in pursuance of this Act or the rules made or orders or directions issued thereunder."
Section 21: advisory committee
Section 21(1). The Central Government may, from time to time, constitute an Advisory Committee "on the matters relating to the insurance policy under this Act".
Section 21(2). The Committee consists of:
| Clause | Members |
|---|---|
| (a) | Three officers representing the Central Government |
| (b) | Two persons representing the insurers |
| (c) | Two persons representing the owners |
| (d) | Two persons from amongst the experts of insurance or hazardous substances, appointed by the Central Government |
Section 21(3). The Chairman "shall be one of the members representing the Central Government, nominated in this behalf by that Government".
The Committee's remit is the insurance policy, which links it to the duty in section 4. Owners have a seat, with two representatives.
Section 22: effect of other laws
"The provisions of this Act and any rules made thereunder shall have effect notwithstanding anything inconsistent therewith contained in any other law."
This sits alongside section 8, which preserves the claimant's other rights to compensation; see sections 7A and 8.
Section 23: power to make rules
Section 23(1). The Central Government may, by notification, make rules for carrying out the purposes of the Act.
Section 23(2). Rules may provide for the following matters, among others:
| Clause | Matter |
|---|---|
| (a) | As substituted in 2024: "such amount under sub-section (2A) of section 4" |
| (aa) | The amount every owner pays for the Relief Fund under section 4(2C) |
| (ab) | The manner and period for the insurer to remit that amount under section 4(2D) |
| (ac) | Establishment and maintenance of a fund under section 4(3) |
| (b) | The form of application, particulars and documents for a claim under section 6(2) |
| (c) | The procedure for the Collector's inquiry under section 7(4) |
| (d) | The purposes for which the Collector has Civil Court powers under section 7(5) |
| (e) | The manner of notice of the offence and intention to complain under section 18(b) |
| (ea) | "amount or relief and any other loss or damage under sub-section (1) of section 3" |
| (eb) | Such other person under section 6(1A) |
| (ec) | The manner of allocating the Fund for restoration of damage under section 7(9) |
| (ed) | Any other amount from other sources under section 7A(1A)(d) |
| (ee) | "manner of holding inquiry and imposing penalty under sub-section (1) of section 15A" |
| (f) | Any other matter required or permitted to be prescribed |
The clauses (ea) to (ee) were added by the Jan Vishwas Act, 2023. They show where the amount of relief, the persons who may claim restoration, the allocation of the Fund and the adjudication procedure now come from: the rules.
Section 23(3). Every rule or scheme made under the Act is laid before each House of Parliament for a total period of thirty days; both Houses may modify it or agree that it should not be made, without prejudice to anything done earlier.
The Schedule
The Schedule to the Act, which printed relief rates, was omitted by the Jan Vishwas Act, 2023. Relief is now as section 3(1) provides ("such amount, or ... such other relief as may be prescribed"), and the prescribed amounts are in the rules. The Public Liability Insurance Rules and their 2024 amendment are not explained in this article.
Practical points
- Private complainants: give the sixty-day notice in the prescribed manner before filing a complaint.
- Owners: the insurance duty and the Relief Fund amount are fixed by rules; check the current rules before you buy cover.
- Claimants: the form of application and the Collector's procedure are in the rules made under section 23(2)(b) and (c).
- Note delegation: the person who inspects you may hold delegated powers by notification.
An example
A resident association wants to complain that Bhavani Chemicals Limited has not paid a penalty imposed under the PLI Act within ninety days. It gives notice of not less than sixty days to the Central Government or the authorised officer, in the manner prescribed under section 23(2)(e), of the alleged offence and of its intention to complain. After the notice period, the association may file its complaint under section 18(b).
Need help with PLI rules and procedure?
The Act leaves the figures and forms to the rules, so the working answer depends on the rules in force. Our legal consultation team can help you find them and apply them to your insurance and your claims.
Key takeaways
- A court takes cognizance only on a complaint by the Central Government, its authorised authority or officer, or a person who has given at least sixty days' notice.
- The Central Government can delegate its powers, except its rule-making power, by notification.
- The Advisory Committee on insurance includes representatives of insurers and owners.
- The Act and its rules override inconsistent laws.
- The Schedule was omitted in 2024; relief and related figures are in the rules, with new clauses added to section 23(2).
Read next
- Sections 1 and 2: definitions
- Sections 5 to 7: Collector's verification, claim and award
- Sections 16 to 17B: Government Departments, Relief Fund credit and failure to pay
- Public liability insurance Act, 1991: guide
Disclaimer: Based on the Environment (Protection) Act, 1986, the Air (Prevention and Control of Pollution) Act, 1981 and the Public Liability Insurance Act, 1991 as amended by the Jan Vishwas (Amendment of Provisions) Act, 2023 (in force for these Acts from 1 April 2024), the Water (Prevention and Control of Pollution) Act, 1974 as amended by its Amendment Act of 2024 (which applies only in the States and Union territories it names and in States that adopt it), and the National Green Tribunal Act, 2010 as amended by the Tribunals Reforms Act, 2021, as consulted on 3 October 2026. Later amendments, rules and notifications should be checked. This article is general information, not legal advice; check the official text before acting.