'Pro-biz move': CG abolishes state licence for petrol pumps

Raipur: Chhattisgarh govt has abolished the mandatory state-level licence required for opening petrol pumps. Companies and entrepreneurs will now need to comply only with central govt norms under the Petroleum Act to establish fuel retail outlets in the state.

As part of a step towards improving ease of doing business, the decision eliminates the previous dual-approval system, which required permissions from both state and central authorities — a process criticized by businesses for being time-consuming, costly, and paper-heavy.

This policy reform was formally introduced through a notification issued by the department of food, civil supplies, and consumer protection on Nov 14, 2024.

Previously, entrepreneurs had to secure a purchase and sale license through the district collector under the state's food department. This license also required renewal annually or every three years. The new rule scraps that entire layer of rules.

From now on, petrol pump applicants only need to follow the central guidelines, which significantly simplifies and accelerates the process while reducing costs, officials said.

Officials added that the removal of approvals will speed up the launch of new petrol pumps, particularly helping small business owners and oil companies eager to expand operations in under-served areas. The govt expects this move to encourage fuel availability in rural and remote locations where access remains limited.

With an expected increase in the number of fuel stations, citizens across Chhattisgarh will enjoy better access to petrol and diesel, especially in regions that currently lack such facilities. The decision also promises to attract new investment, improve infrastructure, and reinforce the state's commitment to economic growth and business-friendly governance, officials further added.

CM Sai praised the decision, stating: "Our government is committed to creating a supportive environment for businesses. By removing unnecessary hurdles and simplifying rules, we are encouraging entrepreneurship and promoting investment. This reform will benefit not only entrepreneurs but also provide better services to the public." The move aligns with the broader national agenda of improving ease of doing business, which is being touted as encouraging economic development, and making governance more efficient.