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We all know Tanzanian oil and gas sector is the industry
with amazing opportunities. Unfortunately, only a few have access to
information regarding emerging opportunities in the gas sector. 
And the sad reality is this, people having this information
are unwilling to share with others. 
I wonder why there is restricted information in this sector.
 
Okay, that is the talk of another day. The topic at hand is
how 
to set up petrol station in Tanzania.
 
Article explains how to start petrol station with detailed
requirements on initial capital needed to start this business, profit potential
you make in this business and tips to succeed in this investment.

Let’s get started
Despite the fact that Tanzania has not recent oil discovery
but we are the largest consumer of petroleum products.According to
international energy agency, Tanzania consumes 35,000 barrel of oil refined
products in 2013.Is for this reasons petrol station is lucrative business in
Tanzania.
 
Why petrol station is the fantastic business
In business sense, An outstanding business is the one which
offers products or solutions that are in serious requirement by people This is
true for this investment. Why? because everyone is in contact with oil-related
products(diesel kerosene and gasoline)
 
Thousands of automobile, vehicle, and motorbike in Tanzanian
run by oil product, Factories, organizations, medical centers, educational
institutions, media house all have generators powered by diesel fuel. Not to
mention Media house, and town halls.
 
With the growth of Tanzania economy by 6.5 percent
indication that many Tanzania would own their own cars and generators since
because economic growth is proportionate to the enhancement of living standard
of the individuals. And low-income earners will start using kerosene instead of
firewood and charcoal.
 
Guess what if you start your own petrol filling station in
Tanzania? The reason is simple: you make windfall profit
 
Bonus
The demand of this business is huge even significant
supplier (such as Puma Energy, Total, Oryx) often look for individuals who need
to be marketer to fund and give him resources to attract for this business.
 
How much profit you create from this business
If you are looking for investment with excellent return then
petrol station is a best investment avenue for you. In terms of profit, you get
not less than 210 Tsh per liter. Consider you get profit of 210 Tsh a liter
 
If you sell 5000 liters a day you get edge profit 210
*5000=1,050,000Tsh
 
In a month you get profit of 1,050,000 *30 days=31,500,000
Tsh. Can you imagine?
 
That is the lowest profit you can make after all expenses,
And if you obtain a wonderful supplier like PUMA Energy you make big
payoff  since they have reasonable
prices.
 
Tips to achieve this business Initial Capital Start with
scale you’re comfortable, but for completely average petrol station,
preliminary investment ranges from 450-500 million
 
Land Is essential to purchase land with enough space for
vehicles, The prices of land differ from one place to another And fantastic new
is this, petrol station not really essential to be in the city with inhabitants
like Dar es Salaam, you can also position you fuel station in distant locations
whereby another supplier is hardly ever to reach.
 
Risk
In regard to risk is the decrease of oil quantity, because
Oil has an inclination to reduce in volume through  evaporation especially during hot times so of
loss of 100 to 1000 liters per month is commo
 
Permit and license
Oil and gas business is regulated business register your
business  (BRELA) Business registration
and licensing   agency in Tanzania BRELLA
and get approval from EWURA ,TRA and OSHA
 
Security
To prevent loss and harm of your property hire 3-5 people
who will take care of the petrol station
 
Attendants- Hire people to provide services of filling cars
and truck 
Manager- Hire one
person who would handle and control all activities in the petrol station you
can also hire   cashier to assist in handling
expenses and income
 
Final Words
Regardless of the present oil price recession in the global
market, petrol filling station is still profitable business in our nation since
oil prices variation is the regular scenario when you take part in any oil and
gas business Star now to invest in Tanzanian gas and not someday because next
day will never arrive
 
Analysis by
Hussein Boffu
Petroleum Geoscience Graduate
 

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