How to open Petrol Pump Dealership,Cost and Profit ,full guide Profit in Petrol Pump

Profit in Petrol Pump :- if you want open petrol pump in this year this articles only for you Petrol pump business has always been considered one of the leading profit making businesses, not just in India, but globally as well. This is largely because of the ever increasing growth and resultant demands of the transportation and logistics sector. Profit in Petrol Pump Another obvious reason being the growing demands of daily commute of the common man. Besides, in today’s day and age, it has almost become a necessity for a middle class person to own a vehicle to ensure his comfort and convenience in day to day life. Profit in Petrol Pump

Profit in Petrol Pump :- Therefore, opting to start your own petrol pump business is a feasible option in today’s times. Even though it demands a fair bit of legal obligations and paper work, it still stands to be amongst the most profit making businesses in India. Besides, the Oil Marketing Companies (OMCs) are aiming to generate more viable opportunities in order to encourage the growth of petrol pump business in India in 2020-2021.

Profit in Petrol Pump
Profit in Petrol Pump


Profit in Petrol Pump :- the Government of India has set up certain criteria that has to be met before anyone can start the process of opening a petrol pump in India Profit in Petrol Pump

  1. The owner/owners of the petrol pump business should be citizens of India. In case of an NRI applicant, he/she must have lived in India for more than 182 days.
  2. The minimum age limit of the applicant has to be 21 years and the maximum age limit should be no more than 55 years. Profit in Petrol Pump
  3. Birth certificate proof is required. Profit in Petrol Pump
  4. For an individual residing in rural areas, the minimum educational qualification required is 10+2 certification. And, for individuals residing in urban areas, the minimum educational qualification should be a university degree certification from a university that is recognised by UGC. For applicants who belong to CC1 category, a 10th certificate is required and for CC2 category, a 10 +2 certification is a must. Profit in Petrol Pump, Profit in Petrol Pump
  5. Applicants belonging to the freedom fighter category are exempt from the rules.
  6. Minimum investment of Rs 15 lakh or more required to obtain dealership in rural areas.
  7. Minimum investment of Rs 2 crore or more to obtain dealership in urban areas.
  8. The chosen business location should not fall under excluded or blacklisted zones.


Profit in Petrol Pump :- Just like with mobile towers, the land for petrol pump has to be chosen as per the analysis of the petrol companies. These petrol companies usually issue advertisements about sanctioned land locations, so you need to ensure your chosen land area falls under that category before proceeding with the application. You will also need to ensure you meet the below land criteria.

  1. The land has to be either owned by you or leased for the period agreed upon by the oil dealership. Profit in Petrol Pump
  2. You need to ensure all the legal documentation of the land is in place for the verification process.
  3. The area of land required should be at least between 800 sq meters to 2000 sq meters depending on the location. Profit in Petrol Pump
  4. Land chosen should be developed and levelled and easily accessible from the road.

Investment and charge Fees

Profit in Petrol Pump :- To open a petrol pump business, you must have a good investment capacity to start with. There are two types of charges for opening petrol pumps in India:

  • Rs 12 lakhs for ROs for rural areas and Rs 25 lakhs for ROs in urban areas, though the amount may vary from company to company.
  • Your funds will be acceptable in the below modes:
  • National Savings Certificates
  • Bonds Profit in Petrol Pump
  • Shares of listed Companies in Demat Form
  • Mutual funds Profit in Petrol Pump
  • Saving account funds
  • Bank deposits
  • Cash, jewellery, current account balance will not be considered for investment in this business.

Application for License

Profit in Petrol Pump :- The next step is to obtain a license for opening a petrol pump. For this, Oil Marketing Companies (OMCs) give out advertisements either on their official website or newspapers to set up petrol pumps across different locations. Interested candidates have to:

Profit in Petrol Pump
Profit in Petrol Pump
  • Buy a form for Rs 100 (rural areas) and Rs 1000 (urban areas) online and duly fill up the accurate details like personal ID, mark sheets, land details and upload the required documents on the chosen oil company’s website. Profit in Petrol Pump
  • Once the license is obtained, the applicant will need to get a GSTIN number to pay GST and open a current account with the name of his petrol pump. Profit in Petrol Pump


Profit in Petrol Pump :- Once the licence is sanctioned, the next step will be to obtain certain certificates and permissions before building the petrol pump infrastructure:-

  • Permission from the Municipal Corporation and Fire Safety Office
  • NOC from the licensing and other concerned authorities
  • Location Certificate Profit in Petrol Pump
  • Profit in Petrol Pump

How can I Apply for dealership

Profit in Petrol Pump :- You will find an occasional advertisement in newspapers or on online platforms from oil marketing companies about their dealership requirements. They will mention that they are willing to set up a specific number of petrol pumps at various locations. Keep a track of such news. Profit in Petrol Pump

Profit in Petrol Pump :- You can apply for their dealership either by visiting their website and filling in your details for a specific location or you can write to them on their official email ID to apply. If there are many applicants for a particular location for a dealership the oil marketing companies (OMCs) choose their candidate with the help of bidding. Profit in Petrol Pump

Benefits and Reservations

Profit in Petrol Pump :- You will come across reservations for applicants of petrol pump dealerships by the Ministry of Petroleum under the Government of India. The reservations are as follows:

  • SC/STs has a reservation of 25%
  • Physically handicapped has a reservation of 5%
  • Paramilitary, Government Employees and Police have a reservation of 8%.
  • 8% reservation for defense personnel. Profit in Petrol Pump,
  • 2% for freedom fighters and people with outstanding achievement in sports.
  • The remaining 50% of seats are available for general use where anyone who meets the basic eligibility criteria can avail. Profit in Petrol Pump

Conclusion about of Profit in Petrol Pump,

Profit in Petrol Pump :- I hope that the information here will be very helpful to you, if you have any question, then you can ask by commenting, in this post we have learned that we have taken information about Profit in Petrol Pump, we have prepared you here by doing many types of research. And we request the readers who read this post that if you think that this post is beneficial for you, then definitely tell us by commenting in the comment box and also if you have any valuable suggestion then write to us so that we can share our content. make it more useful. Profit in Petrol Pump,


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