If we talk about petrol pump business in india or across globe, this business of petrol pump is undoubtedly very profitable making ventures globally. The mid reason behind the growth of this petrol pump business is never ending demand of crude oil and the increase in the demand of transportation, vehicles and logistics sector with daily commuting purposes. As the profit margin is very high and this business stands amongst the top profit generating business across nation. In this business the paperwork also required are much more than the other sectors the legal formalities and the paperwork required and should be fulfilled accordingly .
The process involved for applying for a petrol pump delearship is not known by many people; therefore let’s discuss some of the important information for doing so.
Eligibility to apply for a Petrol Pump Dealership
The candidate it should be minimum of 21 years and a maximum of 55 years as per the age criteria
The applicant should be a Indian citizen if the applicant is NRI, the applicant should have state in India for more than 182 days.
He should have a minimum qualification of matriculation, he must have 10th class mark sheet. For General category he/she should be 12th pass and for SC/ST/OBC category
For applying for a petrol pump in urban areas the applicant should be a graduate degree.
Minimum investment amount should be Rs. 15 lakh onwards for dealership in rural areas
Maximum investment amount should be Rs 2 crore or more for dealerships in urban areas
Business area should not be in blacklisted or from excluded zones
Applicant should have land under his/her own name or areas where land can be taken on lease. There are two types of retail outlets that can be opened as per the location that are as follows:
For Regular Retails Outlets which should be National and State highways; Urban and Semi-urban areas
For Rural Retail Outlets which should be in rural areas but not on national highways
If we talk about the area appropriate for opening a petrol pump , the land should be of 800 sq. meters to 1200 sq. meters.
Before applying for a petrol pump dealership please also go through the License Cost of Petrol Pump
16/KL for high-speed diesel for ‘B’/’DC’ retail outlets site and Rs. 18/KL for motor spirit
41/KL for high-speed diesel for ‘A’/’CC’ retail outlet site and Rs. 48/KL for motor spirit
To open a petrol pump, an applicant needs to obtain certain certificates and permissions in order to run the dealership without getting any issues further. Below are given some of these certificates required
Location’s Certified copy
No Objection Certificate (NOC) from Licensing Authority
Permission from the Municipal Corporation Department (MCD) & Fire Safety Office
Certification and NOC from related authorities
The location choose for opening the petrol pump is the key aspect in the success or failure of the business. Choose the location accordingly as per the requirement of the dealership policies. A ideal petrol pump should be opened near state highway or national highway, near popular market areas, close to residential area or corporate areas and along road with higher traffic area. Acquiring the licence in the main process the candidate should go to after obtaining the licence the owner just need to install the petrol pump and oil bunkers as per the according to the OMC’s specifications and guidelines.