Functions

According to Decree 714 of 2012, issued by the Ministry of Mines and Energy, the National Hydrocarbons Agency (ANH) is responsible for the following functions

1. Identify and evaluate the country’s hydrocarbon potential.
2. Develop, evaluate, and promote investment in hydrocarbon exploration and production activities in alignment with international best practices.
3. Design, promote, negotiate, execute, and oversee contracts and agreements for the exploration and production of hydrocarbons owned by the Nation—excluding association contracts executed by Ecopetrol prior to December 31st, 2003—while ensuring compliance with all contractual obligations.
4. Award areas for hydrocarbon exploration and/or production, in accordance with the contract types and modalities established by the ANH.
5. Support the Ministry of Mines and Energy in formulating government policies on hydrocarbons, developing sectoral plans, and achieving strategic objectives.
6. Conduct geological and geophysical studies to generate new insights into Colombia’s sedimentary basins, optimizing hydrocarbon resource management and fostering exploratory and investment interest.
7. Establish terms and conditions in exploration and production contracts that require contractors to implement programs benefiting communities in the areas of influence of the respective projects.
8. Assist the Ministry of Mines and Energy and other relevant authorities in matters concerning communities, environmental sustainability, and safety within hydrocarbon project areas.
9. Establish hydrocarbon prices for royalty settlement purposes.
10. Administer and manage the State’s participation—whether in kind or cash—of hydrocarbon volumes derived from exploration and production contracts, including royalties, and oversee their allocation through contractual agreements or transactions.
11. Collect, calculate, and transfer royalties and financial compensations to the Nation for hydrocarbon exploitation.
12. Retain and allocate the participations and royalties destined for specific funds, as mandated by the Political Constitution and applicable laws, and ensure corresponding transfers and reimbursements.
13. Implement necessary measures to guarantee an adequate supply of hydrocarbons to meet national demand.
14. Determine volumes of crude oil under concession that producers must sell for domestic refining.
15. Set the price at which concession crude oil destined for internal refining for processing or use in the country, and natural gas effectively used as a raw material in petrochemical industrial processes when applicable, must be sold.
    
16. Manage and allocate movable and immovable assets transferred to the State upon the termination of exploration and production contracts or the reversal of existing concessions—excluding association contracts executed by Ecopetrol before December 31st, 2003.
17. Monitor compliance with technical standards governing hydrocarbon exploration and production to ensure the rational and efficient use of resources.
18. Set export prices for crude oil for tax and foreign exchange purposes.
19. Supervise and coordinate matters related to surface fees applicable to concession contracts.
20. Verify compliance with specifications and intended use of imported materials in the hydrocarbon sector, to ensure eligibility for exemptions granted under the Petroleum Code or subsequent regulatory amendments.
21. Oversee compliance with technical standards and intended use of imported materials in the hydrocarbon sector for the purpose of applying exemptions provided for in the Petroleum Code or related regulations.
22. Perform all other activities necessary for the effective administration of the Nation’s hydrocarbon resources.
23. Perform additional functions assigned by law or delegated by the Ministry of Mines and Energy, in accordance with applicable regulations.