If you want to leave your job for a long time and start a stable and profitable business, then the business of petrol pump can be a good option for you. The most important thing about this business is that there is very little chance of losses in it, because even today there is a demand for petrol and diesel in India. Even though electric vehicles are getting promoted, but even today 90% of the vehicles running in the country run on petrol or diesel.
How much will you have to invest?
Opening a petrol pump is not easy, but once it starts, it can be earned well. Initially, there is a lot of investment in this business.
- Investment of at least ₹ 20 lakh is necessary to start a petrol pump in rural areas.
- This investment in urban areas can go up to ₹ 50 lakh.
This cost includes license fees, underground tanks, fuel dispenser and other infrastructure expenses. The good thing is that a loan of up to ₹ 2 crore can also be taken from the bank to start this business.
How much land is needed and where should it be?
It is very important to have land to open a petrol pump. There are some fixed standards for this:
- You should have 800 to 1200 square meters of land in urban areas.
- This land should be 1200 to 1600 square meters in rural areas.
Apart from this, it is also important that the land is on a main road or highway, so that the movement of vehicles remains continuously. If you do not have your own land, then you can open a petrol pump on the rented land, provided you have a valid lease deed of 15 to 25 years.
Who can do the business of petrol pump?
There are some basic conditions for opening a petrol pump.
- The applicant should be an Indian citizen.
- Age should be between 21 and 60 years.
- Registry or lease deed of land is necessary.
Apart from this, it is also necessary that the background of the applicant is financially clean and compile the required documents.
How to get license and dealership?
Application process from government oil companies is online, it takes time but the way is fixed
To open a petrol pump, you have to take a dealership from a government or private oil marketing company (OMC). For this, there are major companies in India:
- IOCL (Indian Oil)
- BPCL (India Petroleum)
- HPCL (Hindustan Petroleum)
These companies invite online applications for dealership from time to time. While applying, you will have to give these documents.
- Aadhar card, PAN card
- Bank statement
- Land papers
- application
After the selection, you will have to get necessary permission from the local administration, Fire Safety Certificate, and Municipal Corporation. If your land is for agricultural use, then it will have to be converted into non-agricultural land.
After getting the license, you will have to construct a petrol pump according to OMC guidelines. Appointment of employees, tank installation, metering system and safety equipment are included in this phase.
Balance of profit and loss
The easier it seems to see the business of petrol pump, the more hard work and responsibility is full. Although there is less probability of losses, the license process is long and strict. For those who plan, keeping in mind all the rules, it can become a long -lasting profit business.
