How to get a petrol pump license in India and apply online for dealership ?

Are you wishing to open a petrol pump in India? Are you looking for the detailed procedure to get a license for opening a petrol pump? Then you have searched the right page. Here we are having details regarding the process to open a general fuel station and getting dealership of Hindustan Petroleum (HPCL), Bharat Petroleum (BPCL), Indian Oil (IOCL), Essar Oil or any other oil company. Also know the guidelines and formalities for getting the license and license fees.

Willing to open a petrol pump station in India? Owning a petrol pump is one of the best business venture options nowadays. But getting its license from oil companies is not as easy as making a cup of tea! There are many formalities, guidelines and procedures to open a station. But don't worry. You have searched the right page as we are going to provide you with complete information under one 'roof'. 

Conditions or requirements to open a petrol pump station

Following are the eligibility requirements for individual applicants:

• You must be an Indian citizen and a resident of India as on the date of affidavit.


• Age of individual applicant must be 21-55 years (except for Freedom Fighter under CC2 category).


• Minimum educational qualification required for rural ROs is 10+2 examination conducted by a Board/University and Graduation/ Chartered Accountant/ Company Secretary/ Cost Accountant/ Diploma in Engineering for regular ROs. For candidates belonging to CC1 and CC2 category, minimum education required is Class 10th and Class 10+2 examination conducted by a Board/University for rural ROs and regular ROs respectively. However, this norm of minimum education is not applicable to freedom Fighters under CC2 category.


• Minimum fund requirement is Rs. 12,00,000 and Rs. 25,00,000 respectively for rural ROs and regular ROs. This fund can be in the form of savings accounts, deposits with bank/registered companies/postal schemes OR bonds OR shares of listed companies in Demat form OR mutual funds OR National Savings Certificates, etc. Please note that only 60% of the certified value of Shares, Mutual funds & Bonds will be taken into consideration for eligibility purpose.


• All applicants must possess suitable piece of land in the area mentioned in advertisement. You may either own it or have it on long term lease for minimum time period as specified in the notification.

Clarification: Regular ROs means locations on Highways (NH/SH) and Urban/Semi Urban areas while Rural ROs means locations in Rural areas but not on Highways (NH/SH).

What are the license fees and application fees for petrol pump station

At present, license fees is Rs. 18/KL for MS and Rs. 16/KL for HSD for dealer owned "B" / "DC" site ROs, while license fees is Rs. 48/KL for MS and Rs. 41/KL for HSD for corporation owned "A" / "CC" site ROs.

 

Application fees is Rs. 100 in case of rural ROs and Rs. 1000 in case of regular ROs. 50% concession is available for candidates belonging to SC/ ST. Application fees must be paid in the form of Demand Draft (DD) of schedule bank drawn in favour of concerned Oil Company. Fees is non refundable. Please note that one applicant cannot apply for more than one location. In other words, one application for one applicant for one location.

In case of Dealer Owned / Company leased sites, non-refundable fixed fees of Rs. 5,00,000 is required to be paid for rural ROs and Rs. 15,00,000 is required to be paid for regular ROs. In case of Corporation owned sites (other than CFS) which involves bidding for allotment, bidding amount of Rs. 10,00,000 and Rs. 30,00,000 is applicable for rural ROs and regular ROs respectively.

How to apply online for retail outlet of HPCL/ BPCL/ IOCL

First of all, you will have to look out for the release of an open advertisement by the oil company. Advertisements are published in all leading newspapers and on official websites of the concerned company. These advertisements or notifications inform the location/s where the company proposes to set up a retail outlet (which we generally call as a petrol pump). Interested candidates can apply for the license for opening petrol pump in desired state/ city/ town/ area. 

Online applications can also be submitted at official websites of oil companies. Applications must be submitted before the said last date of submission. Hard copies must also be submitted along with all relevant documents within seven days of the expiry of the last date of online application. Applications must be submitted in a sealed envelope mentioning the name and serial number of the location (as per the advertisement). Envelop must also be super scribed as "Application for Regular RO / Rural RO dealership at _________________ (location), ______________(District) of____________(Name of Oil Company)".

Disclaimer: The information provided in this article is accurate to the best of our knowledge. Any modifications can be made later by the companies. Readers are advised to use their own judgment skills.

Official websites to fill online application form for retail outlet dealership in oil companies are listed below:
http://www.hindustanpetroleum.com/retailpetrolpumpdealership
http://www.essar.com/section_level3.aspx?cont_id=tyN/VXziEDc=
http://iocl.com/Talktous/Guidelines.aspx