Requirements And Procedure For Obtaining License To Build And Run Petrol/Fuel Station In Nigeria


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This is for those looking for authentic information on how to build and run petrol/fuel station in Nigeria. You have come to the right place.
This report is also applicable to those that want to run kerosene (DPK) marketing(domestically with surface tank and pump).



PROCEDURE AND CONDITIONS FOR GRANTING APPROVALS FOR THE CONSTRUCTION AND OPERATION OF A PETROL STATION



A.  APPLICATION PROCEDURES

Application for approval to construct a filling service station for retailing Petroleum produces shall be submitted to the Department of Petroleum Resources (DPR) giving details of the proposals and any information that may be relevant to the project. In addition, the following documents should be submitted along with the application:

i. Three (3) copies of approved plan showing the building existing or proposed on the site and the relation of the site to the roadways and adjoining property;

ii. A certificate signed by signed by the Chief Federal/ State Fire Officer, or by an officer authorized in that behalf, that the arrangement proposed for the prevention of fire at the site are satisfactory;

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iii. A certification by the Area/Town Planning Authority for the construction of a Petrol Filling Station on the proposed site;

iv. A certificate signed by the divisional police Officer or a superior police officer in-charge of the police motor traffic that he is satisfied that the site and layout of the proposed filling station do not constitute an unnecessary traffic hazard.

vi.  Tax receipt and/or tax clearance certificate for the preceding 3years.


v. Evidence that company applying is duly registered as a limited liability company by the appropriate Federal Ministry/Corporate Affairs Commission to deal in petroleum products as follows:


1. Certificate of Incorporation.

2. Certified True Copy of Memorandum & Article of Association.



B.  APPROVAL TO CONSTRUCT

After the above listed document must have been submitted, inspection of the site will then be carried out. “APPROVAL TO CONSTRUCT” will be granted by the Operation Controller/Manager (Department of Petroleum Resources), if the proposed sites fulfill the conditions stipulated in the relevant sections of the “Petroleum Regulations”.



C.  LICENSING PROCEDURE

After the completion of the construction works, an application for a Storage and Sale Licence must be made to the Department of Petroleum Resources (DPR). Such a licence is granted after the station has been inspected and certified as being satisfactory by official of the DPR.

The following facilities must be provided at the petrol station before it could be considered for licensing:

a. Air compressor and air guage in good working conditions

b. Provision of water (pipe-borne /well-treated borehole)

c. Power/Electricity Generator

d. Well-stocked first aid box

e. Refuse container/waste basket(s)

f.     Safety equipment or facilities

g.    Toilet facilities and conveniences



D. INDEPENDENT MARKETING/SPONSORSHIP

All application for storage / sale licences may be channeled through a sponsor company i.e. An oil marketing company with which the applicant has concluded product supply arrangements. Sponsor companies may be any of the following: NATIONAL, UNIPETROL, TOTAL, MOBIL, AFRICAN PETROLEUM (AP), ELF, AGIP, TEXACO, OR any of the existing independent Oil Marketing Companies.

PETROLEUM PRODUCT MARKETING COMPANY (PPMC)/(NNPC) would enter into Petroleum Product Supply Agreement with a DPR Storage & Sale Licencee who intends to operate as an independent Marketer.



E.  PUMP ATTENDANTS

All filling stations’ pump attendants must be very well trained and possess valid certificates of competence obtained from an organization recognized by the Dept. of Petroleum Resources (DPR).

ENQUIRIES
Further enquiries may be directed to the Director Dept. of Petroleum Resources No 7 Kofo Abayomi St. Victoria Island, P.M.B. 12650, Lagos or any of the Operations Controllers nearest to the retail outlet(s) is/are situated.


DEPARTMENT OF PETROLEUM RESOURCES (DPR)
APPLICATION FOR STORAGE AND/OR SALE LICENCE

SECTION A

1. Name of Applicant/Company

2. Address for Correspondence in Nigeria

3. Location Address for the storage of product(s)

(a)  Town and Street Number

(b)  State:…… Local Govt. Area…….

4. Type of Licence required: Please TICK ONLY ONE (a,b,c or d)

(a) Industrial Consumer (Storage only)                (Category l)

(b) Petrol Station, Petroleum Products Depot      (Category ll)

(c) Kerosene (House-Hold)                                  (Category lll)

(d) Liquefied Petroleum Gas (Cooking Gas)       (Category IV)

5. State whether the application is for a new license or renewal, and the corresponding year(s) the licence is required


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(a) If RENEWAL, please attach photocopy of expiring license
(b) If NEW, attach photocopy of approval letter from the Department of Petroleum          Resources (Ref. SEC.A:4; a,b,&d)

6.     Storage Capacity

LPG (Cooking Gas)………………(kg)              AGO(Diesel……………..(Litres)
PMS (Petrol)………………………(Litres)        Fuel Oil……………..(Litres)
Lube-Oil/Grease…………………..(Lit/kg)        Kerosene…………..(Litres)
OTHERS……………………………(Lit/kg)       Kerosene………………..(Tin)

7. Type of Receptacle/Storage: (TICK AS APPLICABLE)
(i) Underground Tank        
(ii) Drums          
(iii) Cylinders
(iv) Surface Tank                
(v) Tins            
(vi) Carton-packed

8. Has the petroleum Station’s Draft Management Agreement been verified or endorsed by the DPR?  Yes/No or Not Applicable.

9. Fee Paid (…………….) Words………………………………………………
Bank Draft No………………………….. Date…………………………………

*(Note Item 10 (d) Sec B)

I/We hereby certify that all the information contained in this application and supporting documents are to the best of my/our knowledge, correct.
………………..                  …………………………        ……………………
      Name                                       Signature                              Date

SECTION B

10.   TO BE COMPLETED BY SPONSORING OIL MARKETING COMPANY

Name of Sponsoring Marketing Company
INDEPENDENT MARKETING NUMBER (if applicable)

NOTE

(a) Where an applicant obtains product(s) from more companies, application should be channeled through ONLY ONE Company.

(b) Application not properly completed will be rejected and fees in respect of such rejected application will neither be refunded nor transferred onto any other application.

(c)  An application must be submitted in respect of only ONE category (See Item No .4 Section A)

(d) Bank Draft (MICR-DRAFT) to be made payable to the FEDERAL GOVERNMENT OF NIGERIA/DPR Fees Account. (DO NOT write “FGN” please).

(e) Whereas pressure test certificate(s) is/are required, ensure that duly signed ORIGINAL CERTIFICATES are forwarded to LAGOS through the respective area offices of the Department of Petroleum Resources.

We hereby UNDERTAKE to sponsor this application for the grant of licence to store and/or sell petroleum products in accordance with the conditions prescribed in the “Petroleum Regulations 1969”

………………………………….                                                               …………………………………..
Name & Signature of Authorising                        Company’s Office Stamp & Date

Company Official

DEPARTMENT OF PETROLEUM RESOURCES USE ONLY

A. Bank Draft reference

No……………………….   Amount………………………………

        ………………..                     …………………………                    ………………
Receipt Number Name &      Signature of Receiving Officer           Date & Stamp

B. Recommendation of DPR Officer:………………………………………………

C. Licence Number……………………          Date:…………………….

…………………………………………        ……………………        ………………
Signature & Name of DPR Officer         Station                            Date

DEPARTMENT OF PETROLEUM RESOURCES

CATEGORY B – PETROL STATION CHECKLIST

                                                                                    Field Office__________________

                                                                                    Identification code_____________

Name of Company (as per Cert. of Inc.)____
Regd. Address:___
Location of Facility:_
LGA______________
State______________

Application type (New/Renewal/Takeover):
Year of Expiration of Previous   Licence.

FEES PAID………………………
RECEIPT No……………………
RECEIPT ISSUE LOCATION…
RECEIPT ISSUE DATE…………
BANK DRAFT DETAILS……
 

LIST OF ATTACHED DOCUMENTS
1. CERTIFICATE OF INCORPORATION OF COMPANY
 
2. APPROVAL TO CONSTRUCT/LETTER OF RELEASE

3. POLICE REPORT

4. APPROPRIATE TO CONSTRUCT/LETTER OF RELEASE

5. CERTIFIED TRUE COPY OF MEMORANDUM AND ARTICLE OF ASSOCIATION

6. FIRE REPORT

7. CURRENT THREE YEAR TAX CLEARANCE CERTIFICATE

8. EXPIRED LICENCE

9. PRESSURE TEST CERTIFICATE

10. APPROVAL BUILDING PLAN

NO OF PUMP(S)__________
NO OF BUCKETS FULL OF DRYSAND_______
NO OF PUMP ISLAND(S)………………
FUNCTIONAL FIRE EXTINGUISHER…………

Name of Station Manager:____________________________________________
No. of Trained Depot Attendants______________________________________
Approval to construct by………………………………….
Date……………………….
Name of Inspector__________________________
Date Inspected____________

1. Are above inclusions adequate for issuance of Permit/Licence? Yes/No
2. Recommendations______________________________________________
3. OPSCON’s Signature____________ Name___________ Date___________
4. DPR HQ validation by___________________________  Date________________
5. Downstream Remarks____________________________ Date________________

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