While the core regulatory approvals are similar to a new setup, an existing dealer often benefits from an established relationship with their OMC and a proven track record.
Phase 1: Strategic Planning & Internal OMC Engagement
- Strategic Business Review & Need Assessment:
- Dealer’s Internal Assessment: The existing dealer first identifies the need for a new location (e.g., untapped market, high growth corridor, diversification opportunity, desire to expand network).
- OMC’s Marketing Plan: OMCs regularly identify locations for new retail outlets based on their own feasibility studies and marketing plans. An existing dealer often waits for these advertisements.
- Initial Discussion with OMC (Leveraging Existing Relationship): An existing dealer can often initiate preliminary discussions with their OMC’s Retail/Sales Divisional Office or Field Officer to express interest in expansion and inquire about upcoming opportunities or suitable locations within their operational area. While formal applications are usually through advertisements, this pre-engagement can be helpful.
- Location Identification & Feasibility Study:
- Site Sourcing: The dealer will need to identify a suitable land parcel. This could be owned land, or land available for long-term lease.
- Preliminary Site Assessment: Assess key factors like:
- Proximity to Demand Generators: Residential areas, commercial hubs, industrial zones, highways.
- Traffic Flow: Volume and direction of traffic.
- Competition: Existing petrol pumps in the vicinity.
- Accessibility: Easy ingress and egress, visibility.
- Land Characteristics: Size (minimum frontage and depth as per OMC norms, typically 30m x 30m for urban, 45m x 45m for highway), shape, elevation, and availability of utilities (water, electricity).
- CPCB Siting Criteria: Crucially, check distances from sensitive establishments like schools, hospitals (10 beds+), and residential areas (minimum 50 meters from dispensing units/vent pipes; 30-50m may require additional safety measures like higher boundary walls, concrete pits for tanks, VRS, specific tanker unloading location).
- Feasibility Test Report: Conduct a detailed Feasibility Study to determine the commercial viability and technical suitability of the identified location. This report will cover market potential, projected sales volumes, estimated investment, profitability analysis, and initial regulatory checks.