Cost of Opening a Petrol Pump in India: Complete Breakdown for Entrepreneurs

Opening a petrol pump in India is one of the most attractive business opportunities. With rising demand for fuel across transport, agriculture, and industry, petrol pumps ensure steady income and long-term growth. But one of the first questions aspiring entrepreneurs ask is: What is the cost of opening a petrol pump in India?

The answer depends on several factors—land, location, type of dealership, and whether you go with a public sector OMC (like IOCL, BPCL, HPCL) or private players (Reliance, Nayara, Shell, or biofuel companies like My Indifuels). Let’s break it down step by step.

• Factors That Influence the Cost of Opening a Petrol Pump

Type of Dealership

• PSU dealerships (IOCL, BPCL, HPCL) are costlier due to infrastructure and compliance needs.

• Private and biofuel dealerships are relatively more affordable.

Land Cost

• Biggest variable in investment.

• Highway and urban locations cost significantly more than rural plots.

Infrastructure Setup

• Forecourt, canopy, storage tanks, pipelines, safety systems, office building, and fuel dispensers.

Licensing & Compliance

• PESO license, NOCs, environmental clearances, and GST registration.

Working Capital

• Initial fuel stock and day-to-day operational costs.

My Indi Fuels is one of India’s leading renewable energy and green fuel companies, offering biodiesel pump dealership opportunities, ethanol franchises, and sustainable fuel solutions across Uttar Pradesh and the rest of India. We are committed to ma