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Essar Petrol Pump Dealership Costs, Eligibility 2024

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  • Post published:November 28, 2023
  • Post category:General


Last Updated on January 19, 2024 by Kanakkupillai

A desirable choice for individuals searching for work in the UK is to work in the Essar Oil gas station dealership. A reputable Indian oil company with operations in more than 25 countries, Essar Oil provides a lucrative choice for those wishing to enter the gas station market. Businesses find Essar Oil’s dealership program appealing because it provides difficult incentives to pass up.

Identifying Suitable Sites for Essar Oil Retail Outlets: A Guide

Once essential feasibility studies and commercial factors are thoroughly examined, Essar Oil (Nayara Energy) strategically pinpoints locations for establishing petrol and diesel retail outlets. Explore valuable insights on the Essar Petrol Pump dealership costs in our insightful blog, providing a comprehensive overview of the investments involved in entering this business.

Requirements to Open an Essar Oil Gas Pump Dealership in India

The following requirements must be met by interested parties to open an Essar gasoline pump dealership:

  • Open to All Indian Nationals: Any Indian citizen who owns a suitable piece of land that Essar Oil (Nayara Energy) can lease has the opportunity to become an Essar Petrol Pump Dealer.
  • Land Acquisition Options: Individuals without existing land but who have a keen interest in purchasing or leasing a suitable plot of land are also eligible to apply for an Essar Oil Petrol Pump Dealership. The acquired land can be leased back to Essar Oil (Nayara Energy) to establish the fuel station.
  • These criteria collectively provide a diverse range of opportunities for individuals, whether they already own land or are willing to explore options for land acquisition to enter into a partnership with Essar Oil for the petrol pump dealership.

Land Eligibility Requirements for Essar Oil Petrol Pump Setup

To establish an Essar Oil Petrol Pump, specific criteria must be met concerning the land:

  • Minimal Land Requirement: The property next to the highway must be at least 1200 square meters, and the land assigned to your town must be at least 800 square meters.
  • Initial preparation: The selected spot must be adequately levelled and prepared to guarantee a smooth installation of the gasoline pump.
  • Lease Period: Essar Oil is obligated to lease the selected land for the retail shop for a period of 29 and 11 months, except in Rajasthan, where the lease is 19 years and 11 months, and Tamil Nadu and Maharashtra, where it is 29 years. These variations result from various regional regulatory requirements.

Note: Land size specifications may vary based on the location and the specific type of retail outlet.

Profit Margins in Essar Petrol Pump Dealership Business

The Essar petrol pump dealership business offers a straightforward and profitable model, guaranteeing consistent operational profits and returns. An agreed-upon lease rental will be paid for the land during the lease period. The on-site and infrastructure development will yield a performance-based return on investment at an annual rate of 5%, as per the standardized costing model. The sales commission on actual sales is competitive compared to the industry’s existing margins.

Steps to Initiate an Essar Petrol Pump Dealership in India:

  • Research and Requirements:
    • Gather information about the Essar Oil petrol pump dealership model, including investment details and prerequisites.
    • Visit the Essar Oil website or contact representatives for comprehensive information.
  • Qualifications required:
    • Review Essar Oil’s eligibility criteria, covering aspects such as age, education, industry experience, and financial capability.
  • Select a Location:
    • Choose a prominent spot for the petrol pump with good visibility, accessibility, and traffic flow.
  • Land and Space:
    • Acquire suitable land or space, adhering to Essar Oil’s requirements and governmental regulations.
  • Finance and Investment:
    • Arrange funds for the necessary investment, considering initial setup costs and working capital requirements.
  • Get the licenses and permits that are necessary:
    • Submit applications for licenses and permissions to the appropriate authorities, such as the Petroleum and Explosives Safety Organization (PESO).
  • Application Submission:
    • Complete and submit the Essar Oil application and the required documents, obtainable from their official website or dealership division.
  • Evaluation and Selection:
    • Essar Oil will assess your application, possibly through interviews, to determine your suitability as a petrol pump dealer.
  • Agreement and Investment Payment:
    • Sign a dealership agreement with Essar Oil detailing terms and conditions if selected. Fulfil the financial commitments outlined in the agreement.
  • Training:
    • Attend training sessions organized by Essar Oil to understand operational procedures and safety standards.
  • Setting Up the Petrol Pump:
    • Build or set up the petrol pump according to Essar Oil’s guidelines and industry standards.
  • Formalities and Inspections:
    • Complete necessary formalities and inspections mandated by both the government and Essar Oil.
  • Inauguration:
    • Once all requirements are met, inaugurate the petrol pump and commence operations.

Cost of Establishing an Essar Oil Petrol Pump in India

Apart from the expenditure related to land acquisition, approved candidates must allocate funds for the construction and daily operations of the Essar Oil petrol pump. The anticipated investment, contingent on the retail outlet’s size and the array of amenities or services provided, is approximately Rs 50-70 lakhs.

Essar (Nayara) Petrol Pump Dealership Application Fee Details

Applying for an Essar Oil Petrol Pump Dealership requires a non-refundable application fee of Rs. 3 lakhs. Once the appointment letter is received, this money is non-refundable. However, a clause states that the dealership application money may be reimbursed if the government agency presents a legitimate explanation for rejecting the statutory approval. In these extraordinary circumstances, Essar Oil is free to choose whether to issue a refund or not.

Documents Required

To secure an LOA for an Essar Oil Petrol Pump dealership, the following documents are required:

  • EOI Form
  • Land Documents:
    • 7/12 extract and sale deed copies
    • Circular Rates
    • Site plan
    • Site photographs
  • Financial and Business Capability Documents
  • Application Fee Payment:
    • Submission via Demand Draft (DD)

Licenses and Permissions Necessary for Essar Petrol Pump Dealership in India

Setting up an Essar Oil petrol pump requires obtaining various statutory approvals and licenses from the government. Essar Oil (Nayara Energy) offers assistance in preparing applications to align with government mandates. Below are standard licenses and permissions, though specific requirements may vary by state:

  1. NA (Non-Agricultural) Conversion
  2. CCOE (Explosives Department) Initial Approval
  3. NOC from District Collector, Police Commissioner, PWD, Electricity Board, Gram Panchayat (as per competent authority requirements)
  4. Final CCOE License
  5. National Highway (NH) Access Road Permission (If applicable)
  6. Forest NOC for Forest Land
  7. Retail Selling License (where applicable)
  8. Weights and Measures Stamping

Essar Petrol Pump Dealership Application Process

  • Online Application:
    • Visit the Essar Oil Company website.
    • Complete the petrol pump dealership application form available on the specified website link.
  • Email Application:
    • If applying via email, send the required details to
    • Include land details (location and size) suitable for the fuel station and your contact information.
  • Expression of Interest (EOI) Form
    • Visit an Essar Oil divisional office.
    • Obtain and complete the petrol pump dealership’s Expression of Interest (EOI) form.
  • Franchisee Helpdesk:
    • Contact the Essar Oil franchisee helpdesk at 022-71321122.
    • Seek guidance on the application process for the fuel station dealership.

Choose the application mode that suits you best, ensuring all necessary details and documents are provided. Essar Oil will evaluate your application based on their criteria, and if selected, you can proceed with the subsequent steps for establishing the dealership.

Online Application Process for Essar Oil Petrol Pump Dealership

  1. Visit Nayara Energy Website: Navigate to the Nayara Energy website to initiate the Essar Petrol Pump Dealership application.
  2. Access Franchisee Section: Click on the ‘Franchisee’ option on the main page, leading to a new page.
  3. Complete Inquiry Form: Select ‘Apply Online’ on the new page to access the Essar Oil retail outlet franchise inquiry form. Input essential details, including name, mobile number, email address, and state/district information.
  4. Form Submission: The application will be forwarded to the relevant divisional office after submission.

Application through Essar Oil Divisional Office

  • Obtain and Complete Forms: Obtain the prescribed application forms for Essar Oil retail outlets from the relevant divisional office.
  • Form Submission: Complete the application forms, ensuring all details are provided in the prescribed format. Submit the forms and supporting documents to the Essar Oil divisional office.
  • Partnership Note: In the case of a partnership, each partner must submit a separate application form and an individual application fee.

Nayara Energy Support in Essar Petrol Pump Dealership:

  • Technical Guidance: Essar Oil provides technical guidance for compliance with industry regulations during outlet establishment.
  • Design Support: Essar Oil enhances outlet visibility through design and branding support aligned with retail guidelines.
  • Technology Initiatives: Advanced technology initiatives, including retail automation and mobile apps, streamline operations.
  • Staff Training: Essar Oil conducts comprehensive training for forecourt sales staff to ensure efficient operations.
  • Promotional Activities: Periodic promotions drive business, raise awareness, and attract a larger customer base.

Essar Oil’s petrol pump dealership offers a lucrative opportunity with comprehensive support. From strategic site selection to robust technology initiatives, it provides a promising venture for entrepreneurs.


Telecom engineer turned content creator with a knack for crafting compelling narratives. Experienced in client management and community engagement, and ventured into freelance content creation, contributing tailored and impactful content across diverse industries. Currently, collaborating with companies like Kanakkupillai, dedicated to delivering inspiring technical content rooted in a solid foundation.