Petrol Pump Licence in India — Dealership, PESO Licence and NOCs
There is no single petrol pump licence. You first win a retail outlet dealership from an oil marketing company, then hold a PESO licence in Form XIV under the Petroleum Rules, 2002, plus fire, pollution and local NOCs. We prepare your application, documents and filings at each stage.
What it is
When people ask for a petrol pump licence, they usually mean two separate permissions. The first is the dealership, which you get from an oil marketing company such as Indian Oil, Bharat Petroleum or Hindustan Petroleum, through their advertised selection process. The second is the statutory licence to store and dispense petroleum at the site.
The statutory licence comes from the Petroleum and Explosives Safety Organisation (PESO). Retail outlets are licensed in Form XIV under the Petroleum Rules, 2002, made under the Petroleum Act, 1934. The District Authority first gives an NOC on the site plan under Rule 144. See our page on the PESO licence for the licence forms in detail.
Who it applies to
You want a new retail outlet
Picture a family in Faridabad district that owns a plot on a state highway. When an oil company advertises that location, they can apply. The land decides most of the outcome.
You are a company, firm or society
Non-individual applicants are allowed in the Open category. The 2023 selection brochure asks for registration of at least three years and net profit in each of those three years, except PACS.
You already hold a dealership
The oil company has selected you and issued a Letter of Intent. Good. The clock is now running, and the PESO licence and NOCs must be in place before the outlet is commissioned.
Why it matters
It decides whether you can open at all
Both the dealership and the PESO licence are mandatory. Fuel cannot be stored or sold from premises that have no licence.
It controls your land and cost plan
Frontage, depth, approach road and clearances are checked early. A site that fails them wastes the whole investment, so test it first.
It protects the business later
A licence granted on an approved plan survives inspections, insurance claims and bank reviews. A change from the plan needs fresh approval.
Documents required
For the dealership application
- Identity, address and age proof (21 to 60 years for individuals)
- Proof of Class 10 pass and Indian citizenship
- Land ownership deed or lease for at least 19 years 11 months
- Category certificate where you apply under SC, ST or OBC
For a company or firm
- Certificate of incorporation or deed, with PAN
- Audited financials showing three years of profit
- Board resolution or partners’ consent for the application
For PESO and NOCs
- Site plan and layout, in two copies for the District Authority
- Land title, conversion and road-access permissions
- Fire, pollution and building clearances as the state requires
How it works
Check land and eligibility
We read the advertisement and test your land against its frontage, depth and area figures. If the plot does not fit, you hear it from us before you pay the application fee.
Prepare and file the dealership application
We help you pick the right category and land group, assemble the land papers and submit on the portal named in the advertisement. Selection is by draw of lots or bidding. Nobody can promise you an outlet.
Obtain the District Authority NOC and PESO approval
After selection, we apply for the NOC on your site plan. Then we prepare the Form XIV application with the endorsed plan and pay the fee on the PESO portal.
Collect the NOCs, build to plan and commission
We coordinate the fire NOC and the pollution and building clearances. Construction follows the approved plan exactly, and the PESO inspection comes before fuel is filled.
Timelines
Dealership application
The window is fixed by each advertisement. Selection follows by draw of lots or bidding, and the Letter of Intent comes at least 30 days after the result, as the 2023 brochure states.
Land and documents after selection
Documents are due within 10 days of selection, with a 10-day extension if needed. Land must be produced within 2 months for owned or leased land (Group 1) and 4 months for firm-offer land (Group 2) from the Letter of Intent.
District Authority NOC
Rule 144(5) of the Petroleum Rules, 2002 asks the District Authority to complete its inquiry within three months of receiving the application.
What happens if you cut corners
Loss of the dealership
Missing the land or document deadlines after the Letter of Intent can lead to cancellation of your selection, and the fee is non-refundable.
Offences under the Petroleum Act
Section 23 of the Petroleum Act, 1934 punishes handling petroleum without a licence and breaching licence conditions, with heavier punishment on repeat offence.
Rejected or reworked plans
If the District Authority or PESO objects to the plan, the licence is held back. Fixing it after construction costs far more than fixing it on paper.
Dealership fees in the 2023 selection brochure
These figures come from the 2023 brochure for regular and rural retail outlets. Every new advertisement states its own amounts, so treat this as a guide and read the current notice.
| Item | Regular | Rural |
|---|---|---|
| Application fee, Open category | ₹10,000 | ₹8,000 |
| Application fee, OBC | ₹5,000 | ₹4,000 |
| Application fee, SC/ST | ₹3,000 | ₹2,500 |
| Dealer-owned site, fixed fee | ₹15 lakh | ₹5 lakh |
| Company-owned site, minimum bid | ₹30 lakh | ₹10 lakh |
Frequently asked questions
Is there one licence for a petrol pump?
No. A petrol pump needs a dealership from an oil marketing company and a separate PESO licence in Form XIV. Fire, pollution, building and other local NOCs follow, depending on your state and site. Each comes from a different authority. We map all of them at the start and file them in the right order.
Who can apply for a petrol pump dealership?
An Indian citizen aged 21 to 60 who has passed Class 10 can apply as an individual, as per the 2023 selection brochure. Companies, societies and trusts can apply in the Open category if they are at least three years old and profitable in each of those years. Check the current advertisement for the exact rules. We review your eligibility before you pay.
How much land do I need?
Each advertisement states the minimum frontage, depth and area for the location, measured after road widening. Land must be owned or leased for at least 19 years 11 months, and no high-tension line above 11 kV should cross it. We check your land against these figures before you apply. A site that fails them cannot be saved by paperwork.
Can you guarantee that I will get a dealership?
No one can. Selection is by draw of lots or bidding run by the oil marketing company, and we do not control either. What we do is make your application complete and correct, because weak documents are the one thing you can fix. Where you win, we handle the licences that follow.
What is the PESO licence for a petrol pump?
It is the licence to store and sell petroleum at the outlet, granted in Form XIV under the Petroleum Rules, 2002. The District Authority first gives an NOC on the site plan under Rule 144. PESO then approves the plan and inspects before licensing. We prepare the application and track the file. The engineer prepares the drawings.
How long does the NOC from the District Authority take?
Rule 144(5) asks the District Authority to complete its inquiry within three months of receiving the application. In practice, it depends on the district office and on how complete your site plan is. Clean drawings and full land papers shorten the wait. We follow up with the office and answer queries.
What happens if I miss the land or document deadlines?
Your selection can be cancelled, and the fees you paid are non-refundable. After the Letter of Intent, the 2023 brochure gives 2 months for owned or leased land and 4 months for land under a firm offer. Plan the land papers first. If you are close to a deadline, tell us early and we will see what can be done.
Do I need other registrations?
Yes. Most outlets also need GST registration, a trade licence and a fire NOC, and may need a pollution consent and a building NOC. Which ones apply depends on your state and the size of the outlet. We list them on the first call and file them together.
What it costs
Our fee plus the government fee that applies to your case, quoted before you commit. Tell us the situation and we will price it exactly.
Government fees depend on the stage. The dealership application and selection fees are set by each oil company advertisement (see the table above). PESO licence fees are calculated on the PESO portal, based on the tank capacity and licence type.
Ready to begin?
Tell us your land location and the category you plan to apply under. We will check eligibility, prepare the application and take the licences forward.