The reliance industry also one of the top players in the oil market. Let’s see how to apply for a reliance petrol pump dealership? and dealership cost, profit, and contact details.
As the world’s principal fuel sources, oil and natural gas are key sectors in the energy industry and have a significant impact on the global economy.
Overview: Reliance petrol pump
Mukesh Ambani of Reliance Industries Limited (RIL), one of India’s largest private sector corporations, owns Reliance Petroleum, an Indian petroleum firm specialising in oil and energy.
It has interests in the downstream oil market and is situated in Ahmedabad, Gujarat, India. On September 29, 2009, RPL and Reliance Industries Limited amalgamated.
Two oil rigs – DD KG-1 and DD KG-2 – are owned or chartered by Reliance Petroleum and RIL for a long time (DD standing for Dhirubhai Deepwater).
Deepwater Pacific Inc., a Transocean company, owns both drilling ships, which are registered in the Marshall Islands.
RPL is the world’s biggest refinery, with an annual crude processing capacity of 1,240,000 barrels (197,000 m3) per stream day.
Using the Nelson Complexity Index, it will have a complexity of 21.0, making it one of the most complicated in the industry.
The polypropylene facility will be able to generate 0.9 million metric tonnes of polypropylene per year.
The refinery project is being built at a cost of Rs 270,000 million, using a combination of equity and borrowed financing.
This works out to less than $10,000 per barrel per day in capital costs, which compares well to the average capital costs of new refineries announced in recent years.
According to the International Energy Agency (IEA), the average capital cost of a new refinery in OECD countries is between $15,000 and 20,000 per barrel per day.
When the low initial cost of RPL is compensated for the refinery’s high complexity, it becomes even more appealing.
In the third quarter, Reliance stated its gasoline retail sales revenues increased by 5% to Rs 3,725 crore.
During the three-month period, 538 million gallons of petrol were sold.
Reliance petrol pump market.
Reliance runs 1,394 fuel stations, 518 of which are owned by the firm and the rest are run by dealers.
Reliance agreed to sell 49% of its gasoline retail business to BP plc of the United Kingdom for Rs 7,000 crore in April of last year.
In the following five years, the Reliance-BP joint venture plans to extend the network to 5,500 stations.
There are now 66,817 fuel stations in the nation, with 59,716 owned by public sector merchants. PSU merchants have already begun employing dealers in order to double their network.
While Reliance currently has 1,343 petrol stations on its own, BP was granted permission to open 3,500 gasoline retail locations in India in October 2016.
Indian oil market overview:
India is one of the few major global economies where gasoline consumption is increasing, and it has piqued the interest of international gasoline merchants looking to get into a market controlled by state-owned enterprises.
The oil and gas industry is one of India’s eight essential industries, and it has a significant impact on how other critical sectors of the economy make decisions.
Because India’s economic growth is intimately linked to its energy needs, the country’s need for oil and gas is expected to increase.
To meet the rising demand, the government has implemented a number of initiatives. It has authorised 100 percent foreign direct investment in numerous sectors, including natural gas, petroleum products, and refineries, to name a few.
As seen by the presence of Reliance Industries Ltd (RIL) and Cairn India, it draws both domestic and global investment.
India is predicted to be a major contributor to global non-OECD petroleum consumption growth.
Crude oil imports increased dramatically from US$ 70.72 billion in 2016-17 to US$ 101.4 billion in 2019-20.
India’s oil refining capacity was 259.3 million metric tonnes (MMT) as of December 1, 2020, making it Asia’s second-largest refiner.
In FY20, private enterprises owned 35.29 percent of total refining capacity.
India produced 32.2 million metric tonnes of crude oil in FY20. The crude oil output in February 2021 was 2.3 MMT, while it was 27.9 MMT in FY21*.
Crude oil imports climbed to 4.54 million barrels per day in FY20, up from 4.53 million barrels per day in FY19.
By 2040, natural gas consumption is expected to rise to 143.08 million tonnes (MT). During FY20, India imported 33.68 billion cubic metres of LNG.
India’s petroleum product consumption increased by 4.5 percent to 213.69 MMT in FY20, up from 213.22 MMT in FY19. From US$ 34.9 billion in FY19 to US$ 35.8 billion in FY20.
the total value of petroleum products exported from the country grew to US$ 35.8 billion. India’s petroleum exports climbed from 60.54 million metric tonnes in FY16 to 65.7 million metric tonnes in FY20.
GAIL (Gas Authority of India Ltd.) held the greatest proportion of the country’s natural gas pipeline network (69.39 percent or 11,884 kilometres) as of December 31, 2020. (17,126 kms).
petrol pump dealership cost
The total investment required to open a Reliance Petrol Pump Dealership Franchise in your city is between Rs.50 and Rs.70 lacs, excluding land costs.
RIL also requires a security deposit of Rs.23,50,000, which is refundable.
RIL also needs a signing fee of Rs.3,50,000.
DODO is the name of the franchise (Dealer Owned Dealer Operated).
The dealer is responsible for all civil work at the outlet, including the construction of the driveway, boundaries, canopy, facia, and salesroom building, as well as employing employees.
The owner should have the funds to purchase or rent the requisite land, as well as to invest in the construction of the gas station.
Petrol pump profit margin:
Petrol Pump X has a total investment of Rs.50,00,000
- Monthly expenses are those that are incurred on a regular basis.
- Monthly wage for ten employees Equals Rs. 1,00,000
- Monthly rent for 1000 square feet of land is Rs.1,50,000.
- Monthly miscellaneous expenditure = Rs.20,000
- A month’s worth of spending equals Rs.2,70,000.
If 50 clients come in every day to have their vehicles’ fuel tanks filled with petrol, the average cost per day is Rs.10,000 (keeping 1 person spending Rs.200).
As a result, the monthly income collected from petrol is 10,000*30 = Rs.3,00,000.
If 30 clients fill their vehicles’ fuel tanks with diesel on a daily basis, the average cost per day is Rs.3000 (keeping 1 person spending Rs.100).
As a result, the monthly money collected from petrol is 3000*30 = Rs.90,000.
Total income earned in a month = Rs.3,90,000
Total profit = Rs.1,20,000 (Rs.3,90,000 – Rs.2,70,000)
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petrol pump dealership requirements
The location of the franchise shop is critical. You have two options for where you want to open your store.
The majority of these locations are on the outside of the city, such as along roads. Since users can never be certain of finding another fuel pump along highway routes.
Opening an outlet is a more profitable company because it will draw more clients. A gas pump on the highway requires an area of 800 square feet.
If you’re going to build a Reliance fuel station in the city, make sure it’s in a location where there aren’t any other gas stations nearby.
As a result, having a pump outlet will bring in more consumers. To accomplish so, a total area of roughly 1500 sq.ft. is necessary.
Skills or experience required
Employees should have a thorough understanding of the items supplied at the franchise store so that accurate information may be passed on to customers.
The gas attendant will be in charge of wiping automobile windshields and collecting money from customers using whichever method of payment the consumer prefers.
They should also turn on the fuel pump and fill cars’ fuel tanks to a certain level with diesel, petrol, or gasoline.
Employees at Reliance Petrol Pump outlets should be well-dressed and friendly to clients, as well as have strong communication skills.
They should be able to work in a variety of shifts.
The inventory and relations with all vendors should be the responsibility of the gas station management.
Among his other responsibilities, he should develop a staff timetable and manage mail activity.
The outlet’s proprietor should have a minimum qualification of a 10th or 12th grade diploma.
The station manager who is appointed at the dealership franchise outlet receives management and back-office training from RIL.
The parent company’s laws and regulations must be followed by the franchise owner. As a result, the owner would be obliged to receive the requisite training in order to comprehend how the parent company’s other retail shops operate.
Minimum staff requirements.
Because it is a 24-hour petrol store, three gas station managers are necessary.
There will be a total of 8 pump attendants needed.
It is necessary to have two air pressure attendants.
USP of RIL
Reliance is a well-known corporation that uses world-class procedures and automated technologies to deliver guaranteed quantity and quality 24 hours a day, seven days a week.
The corporation is regarded as one of the most powerful actors in the oil and gas business.
They have significant financial stability and success year after year because they do not compromise on quality.
Pump attendants at Reliance are well-trained, competent, and pleasant.
They have demonstrated enormous operational efficiency in refining, putting them at the forefront of the consumer market.
Reliance constantly employs cutting-edge technology in its search for new oil resources as well as in determining the best marketing and distribution channels through which to sell its refined goods.
Reliance Petroleum has become the world’s single largest refining hub and the world’s 17th biggest refining corporation as a result of their merger with Reliance Industries, providing their firm a strong and reputable name.
It is also included in the Fortune 500 list of firms.
benefits of petrol pump dealership:
In India, there are several advantages to having a Reliance Petrol Pump Dealership.
RPL franchisees provide service and products 24 hours a day, 7 days a week.
Every dealership location will have attendants that are well-trained, groomed, educated, and pleasant.
A cutting-edge automated system ensures precise quantity and high-quality goods.
Due to its high-speed dispenser technology, there is a lower wait time for dispensing items.
The dealership also offers a variety of payment alternatives as well as speedy electronic billing for all transactions, making it quicker and more convenient for its consumers.
Free drinking water, free air service, and clean restrooms are available at each dealership location.
Products such as high-speed diesel, gasoline, auto LPG, and lubricants are delivered across the country via the company’s outlets.
How to apply for reliance petrol pump dealership?
To apply for a reliance fuel pump dealership, fill out an application and submit it online. On the Reliance Petroleum Business Enquiry Page, you may find the application form.
If your qualifying criteria fulfil their standards, the Reliance Petroleum Official Team will contact you with more information.
These rules and regulations must be followed while starting a business:
In order for a business to function effectively and without suffering in the long term, its processes must be followed when it is first established in any industry.
When operating a fuel station in India, specific conditions must be met for a variety of reasons relating to government regulations.
When a set of fuel pumps is set up in this country, the government compels the owners or their affiliates to follow specific laws and regulations so that business may begin.
The reasons for acquiring a licence and adhering to the laws and regulations necessary to establish a business are to ensure business security and to carry out the same and right processes.
Before comprehending the policy of beginning a firm, a great deal of caution must be used.
reliance jio-bp petrol pump dealership commission:
The commission for selling gasoline pumps varies depending on the agency and area. However, the general commission runs from Rs. 2 to Rs. 5 per liter, and tax, commission, and duty account for about half of the total cost of fuel per liter.
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