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Petrol Pump Business, किंतना कमा सकते है इस business से? कितना लागत है? जाने पूरी जानकारी

Petrol Pump Business, किंतना कमा सकते है इस business से? कितना लागत है? जाने पूरी जानकारी

Petrol Pump Business: The Petrol Pump business is undoubtedly considered one of the major profit-making ventures in India and even globally. The primary reason is its never-ending and ever-increasing demand by the transport/logistics sector as well as industrial and chemical industries etc. Although it requires a lot of paperwork and legal formalities to be completed, it is still one of the top income earners. -Creating business across the country.

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Applying for Petrol Pump Dealership

The license and franchisee of petrol pumps are required to be obtained from any one of the public and private sector Oil Marketing Companies (OMCs). As per the advertisements of OMCs, opportunities will arise to open petrol pumps in 2022. Not many are aware of the process involved in starting a petrol pump business; So let us discuss some important information to open a petrol pump in India.

Leading Oil Marketing Companies (OMCs) publish advertisements in newspapers or online regarding their plans to set up a number of petrol pumps in different cities and locations of the country. Applicants may apply online by visiting the official website of OMC for opening a dealership in their desired location or area or may write to the mentioned address published in the advertisement.

If there are multiple applicants applying for the same area or location, OMCs announce the names of the winners through a lottery system, lot or bidding process.

List of Major OMCs

  • Bharat Petroleum Corporation Limited (BPCL)
  • Essar Oil Limited
  • Hindustan Petroleum Corporation Limited (HPCL)
  • Indian Oil Corporation (IOC)
  • Indraprastha Gas Limited (IGL)
  • Oil and Natural Gas Corporation Limited (ONGC)
  • Reliance Petroleum Limited
  • Shell India Private Limited, Essar Oil Limited, etc.

Eligibility Criteria

  • Age Criteria: Minimum 21 Years and Maximum 55 Years
  • Applicant must be an Indian citizen, in case of NRI applicant must have resided in India for more than 182 days
  • Birth Certificate Proof: 10th Class Marksheet
  • Educational Qualification: For General Category, he/she should have passed the 12th and for SC/ST/OBC category the applicant should have at least a 10th pass.
  • To open a petrol pump in urban areas, the applicant must be a graduate.
  • Minimum education norms not applicable for freedom fighters under the CC2 category
  • Minimum investment amount: Rs. 12 – Rs. 15 lakh for a dealership in rural areas (if the land is self-owned)
  • Maximum investment amount: Rs 20 – Rs. 25 lakh for a dealership in urban areas (if the land is self-owned)
  • Business areas/locations should not be in blacklisted or excluded areas
Petrol Pump Business

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पात्रता मापदंड

  • आयु मानदंड: न्यूनतम 21 वर्ष और अधिकतम 55 वर्ष
  • आवेदक एक भारतीय नागरिक होना चाहिए, एनआरआई के मामले में आवेदक को भारत में 182 दिनों से अधिक समय तक रहना चाहिए
  • जन्म प्रमाण पत्र प्रमाण: 10 वीं कक्षा की मार्कशीट
  • शैक्षिक योग्यता: सामान्य वर्ग के लिए, उसे 12वीं पास होना चाहिए और एससी/एसटी/ओबीसी वर्ग के लिए आवेदक के पास कम से कम 10वीं पास होना चाहिए।
  • शहरी क्षेत्रों में पेट्रोल पंप खोलने के लिए आवेदक का ग्रेजुएट होना जरूरी है।
  • CC2 श्रेणी के तहत स्वतंत्रता सेनानियों के लिए न्यूनतम शिक्षा मानदंड लागू नहीं हैं
  • न्यूनतम निवेश राशि: रु। 12 – रु. ग्रामीण क्षेत्रों में डीलरशिप के लिए 15 लाख (यदि भूमि स्व-स्वामित्व वाली है)
  • अधिकतम निवेश राशि: 20 रुपये – रु। शहरी क्षेत्रों में डीलरशिप के लिए 25 लाख (यदि भूमि स्व-स्वामित्व वाली है)
  • व्यावसायिक क्षेत्र/स्थान ब्लैक लिस्टेड या बहिष्कृत क्षेत्रों में नहीं होने चाहिए

Certificates and Permissions

To open a petrol pump, an applicant needs to obtain certain certificates and permission to run his dealership without any hassle and stress. Some of these include:

  • Certified copy of the location
  • No Objection Certificate (NOC) from the Licensing Authority
  • Permission from Municipal Corporation Department (MCD) and Fire Safety Office
  • Certification and NOC from the concerned authorities
  • The location of a petrol pump is an important aspect of the success or failure of a business. Petrol pumps should preferably be set up along busy national or state highways, residential areas, popular markets and high-traffic roads. After obtaining the license, the applicant needs to set up a petrol pump and oil bunker as per the specifications and guidelines of the OMC.

Investment required

To open a petrol pump in rural areas, the applicant needs to have funding of a minimum of Rs. 15 – Rs. 20 lakh. Whereas, for opening petrol pumps in urban areas the investment amount can go up to Rs. 20 – Rs. 25 (if the land is self-owned). Besides cash and jewellery, applicants can use the below-mentioned types of funds for opening a petrol pump:

  • Bank deposits
  • Bonds and shares
  • Fixed Deposits
  • Mutual Funds
  • National Saving Certificates
  • Postal Scheme
  • Saving accounts
Petrol Pump

निवेश की आवश्यकता

ग्रामीण क्षेत्रों में पेट्रोल पंप खोलने के लिए आवेदक के पास कम से कम रु. 15 – रु। 20 लाख। जबकि शहरी क्षेत्रों में पेट्रोल पंप खोलने के लिए निवेश की राशि रुपये तक जा सकती है। 20 – रु। 25 (यदि भूमि स्व-स्वामित्व वाली है)। नकद और गहनों के अलावा, आवेदक पेट्रोल पंप खोलने के लिए निम्नलिखित प्रकार के फंड का उपयोग कर सकते हैं:

  • बैंक के जमा
  • बांड और शेयर
  • सावधि जमा
  • म्यूचुअल फंड्स
  • राष्ट्रीय बचत प्रमाणपत्र
  • डाक योजना
  • बचत खाता

Land Requirement

According to the notification, the applicant should have land in his own name or in areas where the land can be taken on lease for a longer period. There are two types of retail outlets that can be opened according to the location which are as follows:

  1. Regular Retail Outlets: On National and State Highways; urban and semi-urban areas
  2. Rural Retail Outlets: Land in rural areas but not on National Highways

Ideally, an area of ​​800 sq m – 1200 sq m is suitable for opening a petrol pump.

Fees and Charges

License Fee

16/KL for High-Speed ​​Diesel for the site of ‘B’/’DC’ Retail Outlet 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

Application Fee

The applicant has to deposit Rs. 1000 for regular retail outlets and Rs. 100 for rural retail outlets. SC/ST/OBC category people give 50% relaxation in the application fee.

Fixed Fee

If an applicant has land for the same purpose and in the concerned area then he has to pay Rs. 15 lakhs for regular retail outlets and Rs. 5 lakh for rural retail outlets. For company-owned dealerships, the applicant has to pay a fee of Rs. 10 lakh for rural sites and Rs. 30 lakhs for regular sites.

Note: Application, fixed and license fees are non-refundable.

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How Much Money Does Petrol Pump Owner Earn?

As you must be aware that the price of petrol and diesel varies from state to state. This is because, in addition to the tax levied by the central government, the state government also levies VAT which can have a wide range. To begin with, the price of crude oil in the international market was $103.48 per barrel on April 7. It is Rs 49.33 per litre. This is the price at which our government buys crude oil, which is then sent to oil refineries to be processed and converted into petrol or diesel.

OMCs (Oil Marketing Companies) process this oil which attracts all cess including freight, refinery processing, refinery margin, OMC margin, logistics, operational cost etc. In the end, it equals Rs 7.25 per litre of petrol. Now petrol or diesel is taken out of the refinery and the central government charges around Rs 27.90 per litre of petrol in the form of excise duty, road cess etc.

After this, the petrol pump dealer commission fixes at Rs 3.80 per litre for petrol and Rs 2.60 per litre for diesel. Apart from all this, the state government applies VAT. For example, Delhi has 19.4% VAT on petrol and 16.75% on diesel. The result is that we see a final price of Rs 105.41 per litre for petrol and Rs 96.67 per litre for diesel on April 7 at petrol stations. All this information was based on prices at that date. They go up and down a bit almost every week.

Petrol Pump Business

FAQs on Petrol Pump Business

Is the petrol pump business profitable?
In India, starting a petrol pump is a high-investment business idea. Yet, it is also very profitable, the petrol pump owners make a monthly profit of around ₹3.5 lakh if ​​they can sell 400000 litres of petrol at a commission rate of 3.0/litre.

How much does a petrol pump owner earn?
A petrol pump owner in India can earn up to Rs 3,58,000 per month. If your commission comes as Rs.3 per litre then your monthly gross earning is Rs.5,70,000.

How much money is needed to open a petrol pump?
To start a petrol pump, the applicant has to pay at least Rs. 25 lakh in the case of regular petrol pumps and Rs. 12 lakh in the case of rural petrol pumps.

What is the future of petrol stations?
In addition to offering 15 minutes or more of “top-up” electric vehicle charging and hydrogen pumps, future petrol stations could also become a collection point for “app-ordered” self-driving vehicles and click-and-collect orders. From every imaginable source.

How much petrol sells in a petrol pump?
On average, every petrol pump sells around five lakh litres of fuel, both petrol and diesel, every month. Vehicle owners alone buy about 8,000 litres of petrol per day, assuming that petrol and diesel vehicles buy fuel from the same number of fuel stations.

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