Licensing & Development
The South African fuel retail industry is highly regulated with complex administrative processes that need to be completed before a Site and Retail License can be issued by the Department of Mineral Resources and Energy (DMRE) to the prospective service station owner and developer.
The prospective service station owner must also consider key elements associated with developments. For example, the new service station’s proximity to nearby competition, how the development of a new service station will influence an existing business in the area and how many litres the business is projected to sell per month? Will the new business make the minimum service station litres as per RAS Benchmark Service Station (BSS)?
We are experienced and efficient in the preparation and submission of Site and Retail License applications to the DMRE. PetroCONNECT provides end-to-end solutions for Site and Retail Licenses in line with the DMRE according to the requirements of the Petroleum Products Act (PPA), to deliver license approvals within acceptable time periods.
Acquiring a Site and Retail license for an existing service station where land has been sold is relatively easy with the right administrative support and applications lodged with the DMRE. In the event that the site has also been purchased, PetroCONNECT can facilitate the application with the DMRE to transfer the site license to the new owner. This is called a site transfer application and will also be relevant when the buyer takes over a business from the previous owner often referred to as the retailer.
According to the Petroleum Products Act this is regarded as a “change-of-hands” and a new retail license application must be submitted to the DMRE. Have a reliable service provider guide you through this process to avoid any unnecessary delays or administrative errors is critical to the process. If you buy or sell a site through PetroCONNECT, this service is offered free of charge.