How to Open a Petrol Pump in Pakistan
Requirements, Cost & Process

A petrol pump needs three approvals: an oil marketing company, the district administration and the Department of Explosives Form K licence. Here is what each one asks for, what it costs and how the construction is approved.

Petrol Pump Basics

Who Approves a Petrol Pump in Pakistan?

A petrol pump is set up together with an Oil Marketing Company (OMC) such as PSO, Shell, TotalEnergies, Attock or GO. The OMC supplies the fuel and files the licence application. The Deputy Commissioner issues the site NOC after the revenue, highways, traffic police, civil defence and municipal departments report on the site.

The Department of Explosives then approves the plan and issues the Form K licence for storing fuel in underground tanks connected to dispensers. Most petrol pump cases are forwarded to its Head Office in Islamabad for approval.

Site Requirements

Before You Buy or Lease

Owned land or a registered lease (PSO asks for at least 20 years remaining)
Safe distance from schools, hospitals and homes
No natural gas main within 50 feet
Road frontage with safe entry and exit
Soil and water table suitable for underground tanks
Forecourt area of typically 500 to 1,000 m²
Clear site plan attested by the DC office

Form K Documents

Filed Through the OMC

Formal application of the oil marketing company
Valid, registered land lease agreement
Original DC NOC with attested site plan
Proposed plan of the petrol pump facilities
Application Form D, filled in and signed
Treasury challan of Rs. 6,000 per product
Extra fees for a tuck shop, ATM or service station

Petrol Pump Approval, Step by Step

Step 5: The plan is approved and an approval letter is issued
Step 6: Build tanks, dispensers, canopy and forecourt within six months
Step 7: A qualified engineer signs the safety and completion certificate
Step 8: Explosives inspection, then the Form K licence is issued

Petrol Pump Cost in Pakistan

Most of the cost of a petrol pump is the land, the underground tanks (typically 20,000 to 50,000 litres each), the dispensers, the canopy and the civil works. The licence fees are small by comparison: the Department of Explosives charges Rs. 6,000 per product, plus Rs. 35,000 for a tuck shop and Rs. 5,000 each for a tyre puncture shop, ATM or service station. Construction usually takes four to six months.

For a quote on your site, see our petrol pump construction and Form K service, or read the Petroleum Rules 1937 guide to see how fuel storage is licensed.

Sources: Department of Explosives, Government of Pakistan licence process documents; Petroleum Act 1934 as amended in 2023. General information, not legal advice.

Petrol Pump FAQs

Can I get a petrol pump licence without an oil marketing company?

No. The Form K application is filed by the oil marketing company that will supply the station, so the first step is an agreement with an OMC.

Do I need to own the land for a petrol pump?

No. A valid registered lease is accepted. Each oil marketing company sets its own minimum lease period; PSO, for example, asks for at least 20 years remaining.

How long does it take to open a petrol pump?

The NOC and approvals take several months, and construction usually takes four to six months after the plan is approved.