The petrol pump industry has seen a massive interest of people over the years, yet it is not an easy fish to catch and requires basic knowhow that could help you to get the dealership faster. Being one of the most lucrative business industries, it requires proper procedure and processes to get started with the dealership for the petrol pump, especially in India. To enter in this phenomenal field of owning a petrol pump, one needs an investment, along with an enthusiasm for ownership. As been reported, India has around 64,624 petrol pumps that are already running. With this massive number more and more companies are getting interested in becoming the retail maestros of the petroleum industry.
Hence, the expectations of this industry have risen, which might see exponential growth in the near future. If you possess an interest in opening a petrol pump, here is a small guide with criteria and steps that can help you get it in a much faster manner.
- Any Indian can apply for opening a petrol pump. If the applicant is a Non-Resident Indian, then he or she must live in India for at least180days before applying for the petrol pump dealership.
- The age of the applicant should be between 21 to 55 years. There have been some relaxations for freedom fighters’ families.
- A photocopy of the 10th mark sheet may be required as proof of birthdate.
- The applicant of the SC / ST / OBC category shall be 10th pass while for the general category the criteria are that he/she must be 12th pass
- The applicant must be a graduate if he/she wants to open a petrol pump in urban areas. Whereas, the criteria of minimum qualification is not applicable in the case of freedom fighters.
By focusing on some of the above points for eligibility you can get associated with a few of the biggest refineries in India. To further the process of dealership one has to move through various other stages;
The requirement of funds:
The applicant will have to spend a minimum of Rs 15 to 20 lacs to open a petrol pump in rural areas while for urban areas this cost may be around Rs 30 to 35 lacs.
The investment can be in the form of
- Mutual Funds
- Saving accounts, deposits with banks / Postal Scheme/Registered Company
- National Saving Certificates
- Share of listed companies in Demat account
The requirement of Land:
The applicant’s land should have a clear title or he should take the land on lease for at least the minimum specified period. Another requirement regarding the minimum area for the dealership is that it should be between 800 square meters to 1200 square meters, considering where you plan to set up your petrol pump.
The location of petrol pump is a very crucial decision which has to be taken while choosing the area, the person should keep in mind that the companies prefer the place which is near residential locality, busy market areas or on the highways because these places contribute in the revenue of the company.
Once the applicant meets all of the requirements, they can apply online for a license. However, certain companies have removed the tedious tender led process.
One such company that has a massive retail network and is also one of the veteran oil refineries in India, is Nayara Energy. This refinery is strategically located on the west coast of India, providing proximity to the Middle East and Africa and is facilitating access to high consumption domestic as well as the export market. With a retail network of nearly about 5700 stations, Nayara Energy is becoming a leading player in the petroleum market.
It has a diligent team that assists all of its dealers who join hands with it at every step of the journey. The team connects the new dealers with their proficiently trained employees who are engineered and trained to provide guidance. Naraya Energy has a terrific business profile and an experience of more than 50 years in the oil and gas exploration that is unmatched. Hence, associating with Nayara Energy can ease up the daunting task of acquiring the dealership and becoming the owner of the petrol pump.