Wholesale Fuel License Business Plan

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It is important to ensure that your Wholesale Fuel License Business plan is accurate and well structured for you to be successful in your application. In terms of the Petroleum Products Act, (Act 120 of 1977) as amended in 2003, and which is administered by the Department of Energy (DOE), no person or business entity is allowed to wholesale prescribed petroleum products unless that person/business has a valid wholesale license. The Act further states that no person may operate as a wholesaler (which means that you may not sell any form of petroleum product) unless that person or business entity has a valid wholesale license.  Wholesale licenses may be applied for with storage facilities or without storage facilities.

 

If you want to sell petroleum products to consumers for end use, you must apply for a wholesale license from the Department of Energy. The license allows you to buy petroleum products in bulk (1 500 litres or more, per transaction of petroleum products) from a licensed manufacturer, and to sell it to end users. The license is valid for as long as your business operates.

 

The following supportive documents will be required when applying for a wholesale fuel license:

  • Business registration documents & identity documents
  • Net present value calculations & proof of funds (Retail)
  • Business plan & staff complement
  • Title deed (Site & Manufacturing)
  • Land use zoning certificate (Site & Manufacturing)
  • Environmental authorisation (Site & Manufacturing)
  • Traffic count (Retail)
  • Deed of sale (sold business)
  • Franchise or supply agreement (Retail)
  • Procurement plan (Wholesale & Manufacturing)

 

Steps to take after drawing up the wholesale fuel license business plan:

  • Complete the form Application for wholesale license, DE 28.
  • Send the application form to the Department of 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 Wholesale license annual information (Submission Form), DE 25.

 

At DTC we understand the complexities of the various requirements and the unique application criteria for a wholesale fuel license business plan.

Contact us for more information on a wholesale fuel license business plan.