Land/Space And License Requirements For Cooking Gas Refilling Plant Startup

Starting a cooking gas business is a good venture to go into as it has the potential to be lucrative and profitable when managed well and basic rules, requirements and safety measures are adhered to.

LAND/SPACE REQUIREMENT AND BUSINESS LOCATION  2022

The minimum land requirement to setup this LPG facility is 1 plot of Land. To decide on the  best location to setup your mini refilling plant facility, consider a highly populated residential areas. 

Being a bulky product, transportation of cooking gas can be costly and cumbersome.

 Many consumers would prefer buying gas in their locality therefore, locate your business in a place not too far from residential areas. 

Having determined the demand for cooking gas in the area, decide on the best location within the place for your business. Your ideal location will be an area with high traffic such as a busy road, street or street junction close to a market place. 

As with any business venture, the location of your gas plant is very key. In the case of this one, it is most peculiar. A good place to locate your gas plant is in proximity of a sprawling residential area. 

Related Post: How To Start Oil And Gas Marketing And Distribution Business In Nigeria With Or Without Capital

This is to ensure that you are not too far away from your target market. You do not want your customers to have to travel unnecessarily long distances to reach your business place. 

Despite the fact that you should have proximity of the target market in mind, do not forget that you are dealing with a highly inflammable product. Hence you must also ensure that your intended location is not surrounded by residential buildings. 

In Nigeria, all state governments have departments that have the responsibility of ensuring that such businesses are located where they will not be a hazard to the people. Typically, a gas plant in Lagos will make a lot of money because of the population of people there. 

In a nutshell, while you are picking a location, ensure that it is not too far away from residential areas but also check with the authorities to make sure that you are also not too close. 

Yes sourcing for a space or land could be difficult but it is very achievable if you work through housing agents. Tell them to source a space for you either in a filling station or outside. They would do the running around. 

LICENSE 

The company handling the installer of the plant usually takes care of procuring all required documentations and licenses involved in building or upgrading an LPG facility and working with Ministry of Energy and Minerals Resources to secure all required permit for your facility to 

operate. 

The permits includes: 

• Town Planning 
• Police Report 
• Fire Service Report 
• Environmental Impact Assessment report 
• Department of Petroleum Resources(DPR) Permit. 

A single license can not be used to operate more than one plant. The cost of acquiring a license from state to state differs. 

Click here to read full detail on: How To Start Cooking Gas (LPG) Distribution/Refilling Business With Little Capital In Nigeria and learn how to start this business on a small, medium and large scale.

How To Start Cooking Gas Distribution And Refilling Business In Nigeria With Little Capital

Last Updated: July, 2022

Cooking gas (LPG) distribution and refilling business is already a very lucrative business to venture into. The reason for these is not far fetch. Liquified Petroleum Gas (LPG) is environmental-friendly, much cheaper and cooks meal faster. The market for this product is growing by the minute as even rural areas are shifting from using kerosene and firewood.

Just few day ago, the federal government has announced plan to buy 600,000 cylinders and distribute to gas stations and Micro Distribution Centres (MDCs) and, the government is encouraging more people to open/own MDCs.




Despite the fact that the competition is there in the business, there are lots of profit to be made. More people are embracing cooking gas daily and moreover, households refill their cylinders often. Just like filling/fuel station where competition is even more higher, people are still venturing into it because of the big profit it generates. Cooking gas business is more of the same nature, in fact, as an oil/gas marketer, I can tell you that you stand a chance of making more profit as a cooking gas refilling and Distribution Centre business owner than as a fuel station owner.




You can start cooking gas business on a small scale or medium/large scale.

Small scale currently involves developing a Micro Distribution Centre (MDC). In this type, you may not even require capital to start since the individuals will be the one paying for the gas. You can start this in a small shop and no risk is associated with the business on this scale.

On a small scale, if you apply the right strategy, you should be generating not less than ₦8,000 in profit daily.




Medium/large scale involves the installation of refilling equipments and LPG plant. There are various sizes of the plant and you can start this business on a medium scale without breaking bank. In fact, with a good business plan, you can easily get a loan from bank and cylinders from government (after registering with DPR) to start this business and, you sure will be able to pay back the money and the interest in about 8 months. Banks are aware of the potentials of the business and are willing to give out loans. There are cooking gas installation companies that have made it easier for you to start this business by providing the necessary assistance required such as free installation and maintenance, securing of licenses and permits required, free equipments such as safety gadgets, free Safe training for your employees, delivery of LPG to your plant without charging logistic fees, etc.




Cooking gas plant is more profitable than a fuel station. Here is the reason why I said so, after conducting a market research for one of our clients, we discovered that more people make use of cooking gas than petrol and diesel combine. For example, in a student hotel, almost all students are using gas while only about 3% of them own automobile or generator. Now, when these students graduate and get jobs, they will probably go for a car and also a higher capacity cooking gas cylinder. And when they left school, other students that were previously staying in their parents houses replace them and acquire their own had cylinders.

That is how profitable this business is.




There is a large market for LPG. As  previously stated, the demand for cooking gas in Nigeria is growing and will continue to do so in the foreseeable future. This means that there will be a need to cater to this increasing demand. Thus, starting and running a cooking gas distribution or refilling business is a good investment.



We have been in the business of oil and gas and have acquire experience over time on the downstream section. Hence, we have come up with the manual to help individuals and cooperate bodies that want to venture into the business of cooking gas distribution and refilling on a small scale and medium/large scale.





Contents of the manual include:

• how to start cooking gas distribution business and own MDC on a small scale
• how to start gas refilling/distribution business on a medium/large scale
• how to start the business with little capital
• suppliers that supplies to your station in 2 days without charging logistic fee
• plant installation companies and their cost
• Licence involve and how to get it easily without stress
• Capital involvement in starting the business and equipments required
• how to easily secure a bank loan
• free feasibility report and a free business plan template/sample 
• free DPR (department of petroleum resources)approved procedure for construction of a gas plant
• etc

The manual cost ₦4,500 only.

After going through the material, you can always reach out to us for further assistance. We will be glad to assist you in getting started and running a successful business.





To get the manual and partner with us in achieving success in this business, contact,



Mr Tochukwu:
Tell: +2348035217265
Emails:
tochukwudike@gmail.com

dillionworldresources@gmail.com
oilandgassupplyng@gmail.com


You can also order for the manual online and download it immediately after the payment. Click here to order online