Retail fuel remains an attractive business with a large number of adjacent value pools in South Africa. Obtaining a Retail Fuel License is mandatory if you wish to buy or sell petroleum products to members of the public, as stipulated by the the Department of Mineral Resources and Energy (DMRE). Retailers are allowed to purchase petroleum products from a licensed manufacturer or wholesaler only.
This type of license is suitable for petrol stations, convenience stores, and other businesses that sell fuel as a secondary product. Having a retail fuel license allows businesses to sell fuel directly to consumers, which can be more profitable than selling fuel to other businesses. It is also ideal to obtain for businesses that want to diversify their product offerings and provide a one-stop shop for their customers.
Retail Fuel Businesses should ensure that they have:
- A valid business registration certificate;
- Adequate safety and fire prevention measures;
- A valid safety certificate for the premises; and
- Compliance with environmental regulations.
Steps to Acquiring a Retail Fuel License
- Complete the Application form for site or retail license, DMRE 39.
- Send the application form to the Department of Mineral Resources and Energy regional office.
- The Department will send you a letter stipulating that you must publish a notice of application in four newspapers.
- You must provide proof of the publication of the notice of application to the Department.
- Once you have a license, you must submit information on your business annually using the Retail license annual information (submission form), DMRE 33.
A decision must be made within 90 days from the date when the Department received proof of publication of the notice of application. The license is valid for as long as your business operates.
With the right license, you can ensure that your business complies with regulations and avoid costly penalties.
For more information on obtaining a Retail Fuel License – Contact Us