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Indane Gas Agency – Advertisement, Basic Criteria, Requirement, Cost, Profit, Applying Process

Indane Gas Agency – Advertisement, Basic Criteria, Requirement, Cost, Profit, Applying Process

Indian Oil Corporation Limited (IOCL) is one of the largest and major petrochemical companies in India. Indane gas is a subsidery company of IOCL. There are three major companies in India. This includes Hindustan Petroleum Corporation Limited, Bharat Petroleum Corporation Limited, and Indian Oil Corporation Limited. Today in this article, we will discuss the Indane Gas Agency LPG Distributorship Advertisement 2022. If anyone wants to open LPG Distributorship, then Indane gas will surely provide you with that opportunity.

indane gas agency lpg distributorship

  • Indane is a Liquefied Petroleum Gas (LPG) brand developed and owned by Indian Oil Corporation in India.
  • It is the world’s second largest LPG marketer.
  • Indane serves more than 130 million families through a network of 12500 distributors.
  • 94 bottling plant and 2M cylinders filled daily.
  • If any one wants to open the LPG Distributorship then they can Open the Indane Gas LPG Distributorship.


Types of Distributorship Area:

If you want to take a Indane Gas Agency, then the company offer types of distributorship which is given below:

  1. Sheheri Vitrak: In the guidelines, the word ‘Urban Area’ will have the definition of ‘Urban’ as per Census 2011. LPG Distributorship located in ‘Urban Area (U)’ will service the LPG Customers located within the Municipal Limits of the Metro city/City/Town and will be called Sheheri Vitrak.
  2. Rurban Vitrak: In the guidelines, the word Rural Urban means LPG Distributor located in ‘Urban Area’ and also providing service to the LPG Customers in specified ‘Rural Area, generally covering all villages falling within 15 Kms. from the municipal limits of the LPG distributorship location and or the area specified by the respective OMCs. LPG distributors servicing this area will be called Rurban Vitrak.
  3. Gramin Vitrak: In the guidelines, the word ‘Rural Area’ will have the definition of ‘Rural’ as per census 2011. LPG distributorship located in ‘Rural Area’ will be called as Gramin Vitrak and will service the LPG Customers of the specified rural area. Generally it will cover all villages falling within 15 KMs from the boundary limits of the LPG distributorship location and or the area specified by the respective OMCs.
  4. Durgam Kshetriya Vitrak (DKV): LPG distributorships in Difficult and Special Areas (like Hilly regions, Forests area, Tribal inhabited area, sparsely populated, disturbed area, islands, Left Wing Extremism (LWE) affected areas) will be set up where setting up of Gramin and Rurban Vitrak are not feasible. In this document, such LPG Distributors will be called as Durgam Kshetriya Vitrak ( DKV). They will service the LPG customers situated in such DKV areas as specified by the respective OMCs.


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Indane Gas Agency Selection Process:

  • A State-wise advertisement will be published in its official website and local newspapers both in English as well as the regional language of that region.
  • If anyone finds this advertisement fascinating, then they can easily apply for an Indane Gas Agency LPG Distributorship. After their application, the selection process is entirely based on the taken interview.
  • During this selection, procedure land is also a very essential part which is described in this article.


Basic Criteria for Indane gas Agency:

  • The applicants should be an Indian Citizen and be a resident of India.
  • Applicant should be passed the minimum of 10th standard. However, the criterion of educational qualification is not applicable for applicants belonging to Freedom Fighter (FF) category.
  • Applicant should be not less than 21 years and not more than 60 years in age, except for Freedom Fighter under the CC2 category.
  • Applicant should not be a ‘family member of an employee of Oil Marketing Companies’ as on date of application.
  • Outstanding Sports Persons (OSP) such as Arjuna Awardees, Asiad /Commonwealth Games and Recognised World Champions, Winners of Medals at Olympics, National Champions under the Recognised National Championships, National Adventure Awardees is eligible under reserved category.
  • Applicant should be physically and mentally sound to be able to run the business.
  • Applicant should free from all criminal situations.

If you are eligible for all condition then you can apply for the Indian Gas Dealership.


Points to kept in mind:

  • An applicant appointed for the LPG distributorship will have to personally manage the operation of the LPG Distributorship.
  • Before issuance of Letter Of Appointment by the OMC, the selected candidate would also be required to submit a Notarized Affidavit certifying that he/she is not employed in private sector or are not drawing any salary/perks/emoluments (other than pension) from the State/Central Government/PSU.
  • If the selected person is already employed he/she will have to resign the present job.
  • He/she will not be eligible for taking up any other employment.


Basic Facilities Required for operation of LPG Distributorship:

  • Candidate will construct or provide a readily constructed LPG godown to store LPG of stipulated capacity and obtain necessary approvals from statutory bodies including Petroleum & Safety Organization (PESO) within the time period mentioned in the LOI.
  • The candidate will construct or provide a readily constructed LPG Showroom as per the Standard layout and colour scheme within the time period mentioned in the LOI. The showroom should be easily accessible to general public through a suitable approach road.
  • Construction of LPG godown and /or showroom should be commenced only after permission in writing is obtained from Area Manager/territory manager/ regional Manager of the concerned Oil Marketing Company (OMC).
  • Selected candidate has to develop adequate delivery infrastructure for Home Delivery of LPG Cylinders to the customers as specified by the OMCs in the LOI.
  • They must have adequate number of electronic portable weighing scales of required specification for demonstration of correct cylinder weight to the customers as per statutory regulations.



The percentage reservation for various categories in all the States except Arunachal Pradesh, Meghalaya, Nagaland and Mizoram will be as under: –

1.Open Category (O)50.5%
2.Schedule Castes / Scheduled Tribes (SC/ST)22.5%
3.Other Backward Classes (OBC)27.0%

In each of the above categories, there will be sub-categories as under:-

Sub- CategorySC/ST OBC OpenTotal
Government Personnel category (GP) consisting of Defence, Central/ State Govt. and Central/State PSU employees/Ex-servicemen/ Special forces2248
Physically Handicapped Personnel (PH)/ Divyang1113
Combined Category (CC) consisting of Outstanding sports person (OSP) and freedom fighters(FF)0011
Unreserved – Any person from the respective category12.51527.55


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LPG Distributorship Godown and Land Requirement:

The minimum capacity of the Godown for LPG Distributorship (approved and licensed by Chief Controller of Explosives of Petroleum and Explosives Safety Organization (PESO)) required for storage of LPG in cylinders is given below :

  • Sheheri Vitrak and Rurban Vitrak will re quire a storage Godown of minimum capacity of 8000 Kg LPG.
  • Gramin Vitrak will require a storage godown of minimum capacity of 5000 Kg LPG.
  • Durgam Kshetriya Vitrak will require a storage godown of minimum capacity of 3000 Kg.

Minimum Dimension of Land for Godown the required minimum Dimensions of land and the location of Godown land is given below:

  • For Gramin Vitrak the candidate should ‘Own’ a plot of land of minimum dimensions 21 Metre x 26 Metre within 15 km from the advertised location.
  • For Durgam Kshetriya Vitrak (DKV) the candidate should ‘Own’ a plot of land of minimum dimensions 15 Metre X 16 Metre in and within the village or cluster of villages limit as per the advertised location.
  • For Sheheri Vitrak and Rurban Vitrak, the candidate should ‘Own’ a plot of land of minimum dimensions 25 Metre x 30 Metre in the city or within 15 Km. of the location offered in the same state.
  • Selected candidate for Sheheri Vitrak & Rurban Vitrak locations falling under ‘X’ and ‘Ý’ Category Metro Cities/Cities/State will be allowed to construct the godown in and within 15 KMs outside the Municipal limit of the town/City of the advertised location. Any financial implication incurred by the LPG Distributor for moving LPG cylinders in and out of the City/town will be borne by the Distributor who sets up his godown outside the Municipal Limit, if any of the movement is on Inter-state basis.


Important Documents for Indane gas Agency :

  • Permanent Resident Certificate.
  • Proof of age should be supported by a copy of 10th Standard Board Certificate, Secondary School Leaving Certificate, Birth Certificate, Passport, and Identity card issued by Election Commission.
  • Educational Qualification from overseas universities, boards, an equivalent certificate issued by the competent authority or State Government or Government of India.
  • Copy of Passbook, account statement, deposit receipts.
  • Redemption value – Valuation certificates along with a copy of NSC.
  • Valuation certificates along with a copy of the Demat statement.
  • Valuation certificates along with a copy of mutual fund certificates or Demat statements
  • Registered societies or companies should have made a net profit for the previous three consecutive financial years duly certified by a Chartered Accountant
  • Outstanding Sports Persons should attach a copy of the certificate from the from the Department of Youth Affairs and Sports, Govt. of India.
  • Defence Personnel category person need to produced a certificate from Directorate General of Resettlement (DGR), Ministry of Defence, Government of India.
  • Persons applying for dealerships under Freedom Fighters (FF) category should attach a certificate or Tamrapatra or a Pension Order issued by the Ministry of Home Affairs, Govt of India.

Documents Related To land for Indane Gas Agency:

  • For the land, you need to submit the Khasra and Khatauni documents that the Revenue Department will issue.
  • In the case of a lease, there is a need for a registered lease deed for a certain period of time.
  • The Registered sale deed for the registered gift deed.
  • Lease agreement letter that government or semi-government bodies have issued.


Documents Required for Ownership Proof:

The applicant should furnish at least any one of the following materials in support of ownership of land offered for the IOCL petrol pump Dealership:

  • Khasra or Khatauni or any equivalent revenue document or certificate from revenue official confirming the status of the purchase of the land
  • Registered Lease deed for a minimum period
  • Registered Sale deed or Registered Gift Deed
  • Any other type of ownership or transfer deed document – Mutation
  • Lease agreement letter issued by Government or Semi Government bodies


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Security Deposit:

  • The selected candidate before being issued the appointment letter will have to deposit interest free refundable security deposit to the respective OMC as specified below:
Type of DistributorshipOpenOBC categorySC / ST category
Sheheri VitrakRs 5 LakhsRs 4 LakhsRs 3 Lakhs
Rurban VitrakRs 5 LakhsRs 4 LakhsRs 3 Lakhs
Gramin VitrakRs 4 LakhsRs 3 LakhsRs 2 Lakhs
Durgam Kshetriya Vitrak
Rs 4 LakhsRs 3 LakhsRs 2 Lakhs
  • The security deposit of 10% applicable for the respective type/category of LPG Distributorship collected from the selected candidate prior to issuance of LOI, will be adjusted against the above security deposit as applicable.
  • Oil Marketing Companies (OMCs) will reserve the right to adjust any dues to it from the Security deposit amount at the time of resignation/termination of the Distributorship. However, in case if termination of the distributorship is on account of proven malpractice, the said security deposit mentioned above will be forfeited.


Application Fee For Indane LPG Distributorship:

  • For Sheheri Vitrak and Rurban Vitrak, applicants shall submit non-refundable application fee of Rs.10000/- (Rupees Ten thousand only) for Open category, Rs.5000/- (Rupees five thousand only) for OBC Category and Rs.3000/- (Rupees Three Thousand) for SC/ST Category through online payment.
  • For Gramin Vitrak and Durgam Kshetriya Vitrak applicants shall submit non-refundable application fee of Rs.8000/- (Rupees Eight thousand only) for Open category, Rs. 4000/- (Rupees four thousand only) for OBC Category and Rs. 2500/- (Rupees Two thousand five hundred only for SC/ST Category through online payment.
  • If SC/ST candidate applies for location under any category, the candidate can pay the application fee applicable for SC/ST candidate. They have to furnish the Application number and Certificate number of relevant SC/ST certificate which will be verified. If it is found later that the details are not matching with data available on Government of India records online, the application is liable to be rejected.


Indane gas Agency Commission:

Indane Gas gives Rs 60-Rs 65 commission to dealers on every cylinder they refill, whereas the main profit for dealer is in making new customers’s LPG connection. Because he can charge accordingly so, you can earn more by making new customers.


Tenure of Distributorship:

The tenure of the Indane (IOCL) LPG Distributorship shall remain in force for an initial period of 10 years and renewable for every 5 years thereafter. From the date of execution of Distributorship Agreement and continue thereafter until determined as per rights mentioned in the Distributorship agreement.

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How to apply for the Indane Gas Agency LPG Distributorship?

For the dealership, the company publish an advertisement for the particular area. If you belongs to that area then you can apply for the dealership.

  • All applicants desirous to apply for the locations falling under ‘Sheheri Vitrak’, ‘Rurban Vitrak’, ‘Gramin Vitrak’ and Durgam Kshetriya Vitrak (DKV) type of LPG Distributorship shall submit their applications by visiting web based portal
  • Registering on the same and submitting their application form online properly and correctly, along with requisite application fee (submitted through internet banking, credit card or debit card through the payment Gateway provided by SBIePay).
  • Acknowledgement of successful registration on the website
  • Acknowledgement of receipt of the application form submitted and acknowledgement of the non-refundable application fee.
  • Confirmation about the eligibility of the candidate for selection of the LPG Distributor at the location applied. Intimation of the draw date, venue and time.
  • Intimation to the selected candidate for submitting required documents and the applicable 10% of security deposit (for conducting the Field Verification of Credentials) within 7 working days from the date of intimation.


Procedure For Draw Of Lots:

  • Information will be sent to the eligible candidates through email / SMS to report for draw of lots for selection of LPG Distributor at a specified venue, date and time.
  • The notice with regard to the draw would be published before the date of draw in the same newspapers in which the advertisement for appointment of LPG Distributor was initially published.
  • Attendance of all the applicants who have reported for draw, shall be recorded, after verifying their identity through a POI (Proof Of Identity – any one of the documents Passport, Driving License, Voters’ Identity Card, PAN Card, Aadhaar Card issued by UIDAI or NREGA Job Card). Applicants should sign the attendance sheet. Draw of lots will be conducted in the presence of only available eligible candidates. However, there is no minimum quorum specified for conducting the draw of lots.
  • Two officials of the concerned OMC will coordinate the computerized draw. NIC / MSTC Ltd. Officials will conduct the computerized draw, available candidates and the invited guest.
  • The invited guest will be requested to initiate the process of computerized draw of lots for a particular location.
  • List of eligible applicants of the location selected for the draw, from whom the draw of lots shall be conducted will be displayed on the screen along with the serial number and the name of applicant.
  • Successful candidate will be selected from amongst the eligible candidates on random basis.
  • The application serial number and name of the successful candidate would be declared for the LPG distributorship for the location.
  • The entire proceedings of the draw will be video graphed and the following information will be captured:
    1. List of eligible candidates with application numbers
    2. The details of the successful candidate displayed on the screen and captured by the video camera with the serial number and name of the applicant.


Currently Running LPG Distributorship Advertisement:

Click Below to check the new LPG Distributorship Advertisement :



FAQ(Frequently Asked Question):

Q. What is the possible condition for re draw the allotment ?

Ans: Re-Draw for selection would be held from the remaining eligible applicants in the following cases:

  • Rejection of selected candidate due to findings in the field verification (FVC).
  • Failure of selected candidate to deposit 10% of the security deposit and documents within the stipulated time.
  • LOI is withdrawn from the selected candidate.
  • The distributor is terminated within one year of commissioning.

Q. Can a candidate apply for multiple location ?

Ans: Yes, a candidate can apply for more than one location. But he/she will have to submit separate application for each location. Each application should be with the requisite application fee.

Q. Can a candidate submit multiple application for one location ?

Ans: No, a applicants should submit only one application for one location.

Q. Is Existing NDNE Retailers of OMCs eligible to apply for this application ?

Ans: Yes, Existing NDNE Retailers of OMCs who are eligible under categories as specified above can apply for all types of LPG Distributorship on fulfilling the following conditions:

  • Existing NDNE Retailers off OMCs operating as a sole proprietor should be eligible to apply for LPG Distributorship. The applicants have to submit along with the application the proof of such appointment as NDNE Retailer from the OMC authority. Multiple Dealership/Distributorship norms should not be applicable for such applicants.
  • NDNE Retailers operating as a Partnership Firm or Society or Company are not eligible to apply. In case of selection of any applicant who holds NDNE Retailership/LPG Distributorship or Letter of Intent (LOI) of NDNE Retailer ship/Distributorship of any OMC in his/her name or any member of the ‘Family Unit’ should have to surrender their NDNE retailership (s) /Distributorship (s) or LOI prior to issuance of the Letter of Appointment for LPG distributorship.

Q. What are Combined Categories ?

Ans: Applicants are eligible under ‘SC/ST’, ‘OBC’ and ‘Open’ main categories can apply for Sheheri Vitrak, Rurban Vitrak, Gramin and ‘Durgam Kshetriya Vitrak’ type of LPG distributorship under respective ‘CC’ sub-category on fulfilling the following conditions:

  • Outstanding Sports Persons Category (OSP)
  • Freedom Fighters (FF)

Q. What is the total Investment to open Indane Gas Agency/ LPG Distributorship ?

Ans: If you want to open the Indane Gas Agency/LPG Distributorship, then your total investment will be approx 35 lakh -40 lakh for the general category but if you belongs to SC/ST then your investment will be approx 25 lakh- 30 lakh.

Q. When I can apply for the LPG Distributorship ?

Ans: Whenever Oil Marketing Company publish their advertisement then you can apply for LPG Distributorship. You can check the Indane Gas Agency Advertisement. Click Here.

Q. Can I open LPG Distributorship without any Advertisement ?

Ans: No, Beware from fraudster.


We hope that you would have liked reading this blog post on Indane Gas Agency/ LPG Distributorship in India and how to set it up efficiently. For more such informative articles, keep visiting YMW Solution.

2 thoughts on “Indane Gas Agency – Advertisement, Basic Criteria, Requirement, Cost, Profit, Applying Process

  • When i open an agency do i get the existing customers or should i produce my own marketing and new customers

  • New open Gas Agency please contact us
    Please call me 9021123765


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