Savasani Meet

AL ATION ON PROJECT OF PETROL P MP B INCOME
APPROACH
Submitted to
Gujarat University for the degree of
Master in Commerce (Valuation)
Subject: Valuation
By
MEET ASHOKBHAI SAVASANI
KHYATI INSTITUTE OF VALUATION
Enrollment No. – 201815600013

Year – 2020-2021
Under the guidance of

SUNIL SELARKA
AL ATION ON PROJECT OF PETROLP MP B INCOME
APPROACH
Submitted to
Gujarat University for the degree of
Master in Commerce (Valuation)
Subject: Valuation
By
MEET ASHOKBHAI SAVASANI
Enrollment No. - 201815600013

Year – 2020-2021
Under the guidance of

SUNIL SELARKA
Khyati Foundation
Plot No-116, B/H Electrotherm Industries,
Nr. Vraj Gopi Society, Palodia, Ahmedabad–382 115 Gujarat
CERTIFICATE
This is to certify that Mr. MEET ASHOKBHAI SAVASANI has worked

and completed his Project Work for the degree of M.COM (VALUATION)
in the subject of VALUATION on Title of project work to be written
VALUATION ON PROJECT OF PETROLPUMP BY INCOME
APPROACH under my supervision. It is his own work and facts reported
by his personal findings and investigations.
Name & Signature of Guide Date of submission:
Name & Signature of Professor in Charge/ Director/Principal of the

Institute:
Stamp of the Institute with date

Declaration by student
I the undersigned Mr. MEET ASHOKBHAI SAVASANI here by, declare

that this project work entitled VALUATION ON PROJECT OF
PETROLPUMP BY INCOME APPROACH is a result of my own Project
work and has not been previously submitted to any other University for any
other examination.
I hereby further declare that all information of this document has been
obtained and presented in accordance with academic rules and ethical
conduct.
College Seat No.Year :
Exam Seat No.Year :
Date Name & Signature:
Place: Ahmedabad.
I DE
CHAP ER IN ROD C ION
1.1 THE MODERN OIL INDUSTRY ........................................................................................................ 1
1.2 HISTORY OF OIL AND GAS INDUSTRY FROM 34 AD TO 201 . ..................................................... 1
1.2.1 HISTORY OF OIL AND GAS: FIRST DISCOVERIES ..................................................................... 1
1.2.2 THE FIRST MODERN WELLS .................................................................................................... 2
1.2.3 BIG OIL.................................................................................................................................... 2
1.2.4 THE MODERN ERA .................................................................................................................. 3
1.3 HISTORY OF PETROLEUM INDUSTRY ............................................................................................ 4
1.4 PRODUCT PROFILE ........................................................................................................................
CHAP ER AREA OF IN ERES
2.1 GROWTH AND EVOLUTION OF PETROLEUM INDUSTRY IN INDIA. ...............................................
2.2 DEMAND DETERMINATION OF THE INDUSTRY........................................................................... 11
2.3 DEMAND DETERMINATION FACTORS. ........................................................................................ 12
2.4 MARKETING & DISTRIBUTION OF PETROLEUM PRODUCTS. ...................................................... 14
2.5 RETAIL OUTLETS IN INDIA. .......................................................................................................... 14
2. KEY ISSUES AND CURRENT TRENDS ............................................................................................ 15
2. .1 ISSUES IN PETROLEUM INDUSTRIES..................................................................................... 15
2. .2 PROBLEMS FACED BY THE INDIA PETROCHEMICAL INDUSTRY ........................................... 15
2. CURRENT TRENDS IN PETROLEUM INDUSTRY ............................................................................ 1
CHAP ER HIS OR AND LI ERA RE RE IE
3.1 EARLY HISTORY............................................................................................................................ 1
3.2 MODERN HISTORY ...................................................................................................................... 20
3.3 INDIA HAS EMERGED AS REFINARY HUB .................................................................................... 25
3.4 PLAYERS IN THE INDUSTRY ......................................................................................................... 25
3.5 DISTRIBUTION CHANNEL OF THE INDUSTRY............................................................................... 2
3. USING TECHNOLOGY TO BOOST PRODUCTIVITY ....................................................................... 30
3. .1 PESTEL ANALYSIS .................................................................................................................. 30
CHAP ER RESEARCH ME HODOLOG
4.1 PROPERTY CLASSIFICATION AND VALUATION APPROACHES ..................................................... 33
4.2 VALUATION OF PETROL PUMP.................................................................................................... 34
4.2.1 GENERAL DESCRIPTION OF PETROL PUMP BUSINESS ENVIRONMENT ............................... 34
4.3 FOUR TYPES OF PETROL PUMP OWNERSHIP STRUCTURES IN THIS INDUSTRY .......................... 35
4.3.1 GOVERNMENT CLEARANCE FOR PETROL PUMP.................................................................. 3
4.3.2 LEGAL FACTORS WHICH HAVE A BEARING ON PETROL PUMPS SITES ARE ......................... 3
. . THE GENERAL TERMS AND CONDITIONS UNDER WHICH THE LAND FOR PETROL PUMPS
HAVE BEEN ALLOTTED ARE ...........................................................................................................
. FACTORS AFFECTING THE SECURITY OFFERED BY PETROL PUMP ..............................................
. .1 DEMAND OF PETROL / DIESEL FROM A GIVEN RETAIL OUTLET. THIS DEMAND WOULD
DEPEND UPON FACTORS LIKE .......................................................................................................
. . COMPETITION ......................................................................................................................
. . ALTERNATIVE FUELS .............................................................................................................
. . SUPPLY SIDE .........................................................................................................................
. . NEWER TRENDS....................................................................................................................
. . THE IMPECT OF ALL THESE FACTORS ON THE SECURITY ASPECTS OF PETROL PUMP
BUSINESS CAN BE SUMMARISED AS FOLLOW ..............................................................................
. METHODOLOGY: .........................................................................................................................
. .1 LIFE CYCLE OF THE PETROL PUMP ....................................................................................... 1
. . SUBJECT MATTER OF VALUATION........................................................................................ 1
. . ESTIMATION OF INCOME ..................................................................................................... 1
. . SECURITY AND RATE OF INTEREST .......................................................................................
. . ANALYSIS OF SALE ................................................................................................................
. . TERMINABLE INCOME ..........................................................................................................
. . ANALYSIS OF DATA ...............................................................................................................
CHAP ER DA A PRESEN A ION DA A ANAL SIS
OVERVIEW OF PETROL PUMP ...........................................................................................................
DATA ANALYSIS .................................................................................................................................
YEAR: 01 ........................................................................................................................................
REPORT: 01 ....................................................................................................................................
Year 01 ..........................................................................................................................................
REPORT: 01 ...................................................................................................................................
CHAP ER CONCL SION
CHAP ER PHO OGRAPH OF PE ROL P MP
CHAPTER 1 INTRODUCTION
1.1 THE MODERN OIL INDUSTRY

Th gh h a h , e e g ha bee a e e ab e f g a da d .
T e he ag a a e a, e e b ed df a ha dc g. I
add ea ab d g ae a, d e a ed he ch ef g ba f e f
ce e .
The e f he f de ea e g e, a he beg g f he 18 h
ce , he a ded he a f a f a ag a a a d a ec .
S ea e g e c d be e ed b e he d c a,b c a c
beca e he efe ed f e a d e ab ed a eg h he ca e f
d a a .
A ha f- fc a d ced f e a ch e e g a he a e a f
d a d a chea e d ce a d, de e b , ea e d b e.
C a -f ed ea c e d a a ca ed ced he ea dc f a d
a a , h e ea h a e ed cea . Mach e e ed b c a
e ab ed b ea h gh d c h e ed c g h ca .
W h he da f he 20 h ce ,e e a c ce a d e
ech g e ed a he e e g ce h f f c a .I ee g ,
a h gh e ee e a ed e, ad e ce e he U ed
Sae ee e a bb g f a ea a a d ed ce
he de e e ca ed b b gc a.
1.2 HISTORY OF OIL AND GAS INDUSTRY FROM 347 AD TO

2019
T da , a d ga a e a a, - d a d ,b he e,
he a d h d d he d beg ? Off h e Tech g e e he
h f a d ga , f he f d c e e e e -da b e e .
1.2.1 HISTORY OF OIL AND GAS: FIRST DISCOVERIES
O a d ga had a ead bee ed e ca ac , ch a a a a

ae a f c c ,f h a d f ea bef e he de e a, h
he ea e e be g d ed Ch a 347 AD.
The de h f he a d ga d a ed 1847, had c e
ade b Sc h che Ja e Y g. He b e ed a a e e
ee age he R dd g c a e, a d f h ee age d ed b h a gh
h ab e f a a da hc e ab e f b ca .
A A I EC F E B I C EA ACH. 1
F g he e cce f d a ,Y g e e e ed f he hc a
a d a ab e d a be f d c d g a ea f f e e .
He a e ed he e a d a aff a ,a d ed f c a , 1850, a d
a e ha ea f ed a a e h h ge g Ed a d W a B e .
The a e f ed he f c e ca ef e a d - he
d, a fac g a d a aff a f ca ed c a .
Y g a he ce a g d c e e ab c a he 19 h
ce . I 1846, Ca ad a ge g Ab aha P e Ge e ef ed a d
f c a, ha e a d b e ha a chea e a d b ed e c ea
ha he . He d bbed h d e e e a df ded he Ke e e
Ga gh C a 1850, g he gh he ee f Ha fa a d a e
he US.
1.2.2 THE FIRST MODERN WELLS
F he e a d c e e , e b e e e e c ea ed, h he c a
d a ee g c ea e he de e ed b Y g a d Ge e .
P h e g ee Ig ac a e c ed Ge e eh d e ea
d e e ea d e e 1852, e g he f c e
B b a, P a d 1854.
The f e d ed a he f La B ea, T dad 1857. I a

d ed a de h f 280f b he A e ca Me ac C a .
The f de e A e ca a d ed b Ed Da e T e,
Pe a a 1859. The d c e f e e T e ed he
Pe a a h, a g e f he a ab e c d e
A e ca.
1.2.3 BIG OIL
The a e 18 h ce a d he ea 19 h ce a ed he c ea f a
c a e ha d a e he a d ga d da .
J h D. R c efe e f ded he S a da d O C a 1865, bec g he
d f ba . S a da d O c beca e he f ab e Oh ,
c g ab 90% f A e ca ef g ca ac a d a be f
ga he g e a d e e .E M b , e f S a da d cce
af e d ed 1911, he d h a ge c a b e e e
da .
I R a, he R h ch d fa c ed a e f B h ade
Ma c Sa e e a d he ea a d each e e ea
c e . Sa e f e e , he M e a ed af e a ea a
beca e he f a e a h gh he S e Ca a c ec g he
Med e a ea Sea he Red Sea.
The M e beca e he f ag h e e f She T a a d T ad g, h ch

e e a e ged h R a D ch Pe e bec e R a D ch She .
T da , R a D ch She he f f h a ge c a he da d e f
a d ga e a .
The d c e f Ma ed S e a , I a b W a K D A c ed he
c a f he A g -Pe a O C a (APOC) 1907. The B h
G e e cha ed 51% f he c a de he Na h d g
W d Wa I 1914. I 1954, APOC beca e B h Pe e , da
a BP, h ch c e he h a ge a d ga c a he d.
1.2.4 THE MODERN ERA
I he a e 20 h ce , cha ge he a e ed f e ce f
ge e a -c g a ea ch a he US a d E e - d c g
c e .
I a , I a , K a , Ve e e a a d Sa d A ab a f ed he O ga a f he
Pe e E gC e (OPEC) 1960 e e a a
he Se e S e c d gE M b a he e E a dM b
She a d BP, h ch e a ed f -c gc e .
T da , OPEC ha 15 e be c e , acc gf a a e 44% f

g ba d c a d 81.5% f he d e e e .
The 1980 a a g f ca g f g he 1970 e e g c .
Pe e d c ea ed he 1970 , h ch ca ed a ha e
ce a d a b e e dec ea e de a d.
O - d c gc e ffe ed d g h g , h OPEC gg g
a a h gh ce h gh dec ea g d c . The d f
he S e U ca a be a b ed a a f f e ce a a
d ce .
The g a ed ea , h ce g ad a ec e g 1986, b a
a a ed 2014 a d c e ha e effec g ba
ce .
The a d ga d h g da de ec e f
e e ab e ce f e e g , a be a e a e a e ha e e d e
de e .
1.3 HISTORY OF PETROLEUM INDUSTRY
The a d ga ec a g he e gh c e d e I daa d a a
a e f e c g dec a g f a he he a ec f
he ec .
I d a ec cg h c e e a ed e e g de a d; he ef e he
eed f a d ga ec ed g e, he eb a g he ec e
c d c ef e e .
The G e e f I d a ha ad ed e e a ce f f he c ea g
de a d. The g e e ha a ed 100 e ce F e g D ec I e e
(FDI) a eg e f he ec , c d g a a ga , e e
d c , a d ef e e , a g he . T da , a ac b h d e c a d
f eg e e , a a e ed b he e e ce f Re a ce I d e L d (RIL)
a d Ca I d a.
I d a had 4.5 h a d ba e f e e e e a he e d f 2018

a d d ced 39.5 2018. A f A 01, 2019, I d a had a
e f 10,419 f c de e e ha g a ca ac f 145.6 a.
The de e e f he I d a e e d bega a e e. I
a ed a he hea e a f I d a e ec a he ace ca ed
D gb he a e f A a . U he 1970 , he d c f e e a d
he e a f e ca f e ac f e e ee a
e c ed he hea e a e I d a.
H e e,a a ad a ce e he I d a e e d ca e
h he a g fI d a P c Re 1956, h ch e ha ed
f c he g ha d f d e I d a. A he a c de
a he d c e f B ba H gh, h ch cha ged he ce a f he I d a
e e d d a ca . The I d a e e d a ed
c e e b he g e e , a d he a age e c f he e e
d a da e a ed ac a e e h he g e e . The
e e d ha he g f ca e a cha g g he I d a
ec f a ag a a ec a d a ec .
The ad f be a a a d a a J 1991 cha ged he

a aga . The g e e a ed a g he I d a e e d
g a e ha d a d a e e ed g e e a d ae
e e . The g e e a ea ed he ge eg a ce he
e e d . Th ga e a e e d b he e e d
I d a. The d bega g a a e e d ace. The d c f
e e a d e e d c a h ed a g f ca e.
A g h be a a a d a a , he e a ec fI dag e .
A , he de a d f e e d c c ea ed a a a a a e f ab
5.5%. The de a d f e e a d e e d c c e
g , a d he e g ea e a f e e he ec a d ga
a ab e e h e ee g he c ea g de a d f he e e
d c .
The e e d I da a c a fa ab e f f e g e e
beca e he d e f he fa e g g eg e , a d ha h
a agge g g h ae fa d 13% he ece a .A a f he
e e d g h ae he I d a e e d da , a b a
ech g f e a a a da d , ea a a ab f fa c ea e
chea a e , h gh de a d f e e d c , a d c ea ed e d g
hab f he dd e-c a e e. A he e fac a e e e he
I da e e d a a ac e f f eg e .
The f e g ade e e a d e e d c he ece a ha e

eg e ed g f ca g h. I ha h a ac ed e f e g e e .
S e f he a e e d c ha a e a fac ed f ade h
f eg c e ae e e ga e , ga , a e, d ed c de ,
a h ha, e ha e, a d e e e.
The e e d ha c b ed hea he a fac g d

he c h gh f e g ade e e d c .
Ra d g ba a , fa -cha g g ech g , a d he cha g g e h d he
a b e c d c ed ha e b gh g f ca cha ge a d e
e f e e c a e I da f h a d e a d he
ea g ba a e .
A he e a ea h he I d a e e d ag d
f e e ha he f e f he e e d I da
e g ea e a f de e e . The fa ec cg h fI da
a d he a de e e a ac e a g ace e e I da h
e he f e be a d a a e g ba he e f
e e d c .
I he d , e had c e e , a e Pe ech S c e a d Pe e
Fede a f I d a (Pe Fed).
The Pe ech S c e a c ce a ed 1993 a d be a I e a a
O & Ga C fe e ce & E h b , Pe ech a a ched 1995. S
beca e a g f ca e e he ca e da f g ba a d ga d ;
d e a g f a a d edge ab a e- f- he a ech ge a d
a e de e e he a d ga d . Pe ech S c e ded a
f f a a a d e a a e e he & ga d e cha ge
e a d ha e he edge, e e e a d e e e ce a d e e a ea
f c e a a d ech g a fe . Pe ech b ec e ee e
e ed a d acade a, de e e , ech ca e ga d d
a ae e .
The Pe e Fede a f I d a (Pe Fed) a eg e ed a a c e
2002 af e he ee f e e c a e a he d
beca e f de eg a ed a d a e ec a e a a a
c a e c ea ed he e e ce he I d a. S beca e a ed ce
f I da e e ec ec he e e f e be a d ed a
de a ge f ac e h gh a e f- eg a e e a d ed he
ee f he e e d e h he a a c e . O e he ea
beca e a g e face h G e e , eg a e age c e a d
eg a b de .
S ce he ce , b h Pe ech S c e a d Pe Fed e e f c g
e effec e , ee g he a a d b ec e f h ch he e e e ab hed
he c g a be g f ee f I da e e d
h gh he c fede a ed c e. I a e f e e g be ee he
e e , a dec ded ha e e ge b e b a a ga a g
Pe Fed h Pe ech S c e a d c ea e e af a d e ce f
I da e e d he d.
A h ca a ce e a ade 7 h Dece be , 2016 ab he
a a ga a f a e e he ec a d he a a ga a ed b d
a e a ed a Fede a f I d a Pe e I d (FIPI).
The a a ga a ed Fede a ha b gh he f ef a e g ed ce
h ch d a e I da & ga ec e e he gh f fe a
e ce e ce.
A a c ec e e f a e ec a d b c ec ef e e e
he ece a , I d a bec e b 2012 a A a a ge ef ed
d c e e, a g S ga e. I d a a e fA a a ge
ef ed d c e e f he a c a ed f e.
I da dde bec e a g ba e e d c g ce e beca e f
ha g c ea g he de h f d c f a d e g he g cha
e ec a c ea a f e a d f h gh-e d d a d c.I a ha e
fa - each g ca f eg a d c a e .
The b e f I d a a ge ca e e e ed ef g ec a he
c ea e f a e f a ba c h f he de g f g ba ef g h ch g g
ec e c ea g d c h b A a a d he M dd e Ea
c e e a ef ed d c de a d.
1.4 PRODUCT PROFILE
Th ec de a b ef de c f he ech g a d d c
ce . A de a d g f he e e c ca a he de a d
d c e.
C de a d e f h d ca b che ca c d c g
gh f a f ca b a d e f h d ge , b h f h ch a e f e ;
ge e a a ca e a a e f a h , ge , e a a d
ge .
Petrol:-
Pe ed f e e a c b e g e , a eh c a . I ea
ea a e f ce a d he egg ha c ee d a ea ed.
Liquefied petroleum gas (LPG):-
LPG ac b a f a e a d b a e. I hea e ha a , a d
ef e de e e. I ed a a h eh d c g f e , eh c a f e
a d ef ge a ; 4 eh c e a e e a ed be e ed b LPG he
d.
Kerosene:-
Ke e e a a a aff , ed a a a a dc gf e
I d a a d he c e , a d a a ace hea gf e d a
c e .
Jet fuel:-
I ed e a e , c e a e e e.
Naphtha:-
Na h ha ed a e add e f h gh- c a e e ,a d a e
e c a c a d ea, a ge fe e.
Lubricating oil:-
I c f g ea e a d c ed b ca e g a
a b e , d , a a e g e a d ca age a d a ee g e .
Petroleum coke:-
I ed a f e , b a ed a ed ce ba e e a d
e ec de .
High-speed diesel oil:-
I ed e g e g a 750 e e e( ) e. I
ed d e e - e ed eh c e .
A A I EC F E B I C EA ACH.
Light diesel:-
I ed he d e e e g e ga e eed a ga
a d ge e a e .
Furnace oil:-
I ade b d g e d a f e f ef g h dd e d ae ch
a de e .I ed b e , b e , f ace , hea e , a fe e
feed c .
CHAPTER - 2 AREA OF INTEREST
2.1 GROWTH AND EVOLUTION OF PETROLEUM INDUSTRY IN

INDIA
The e e d c de he g ba ce e f e ac ,
e a , ef g, a g( fe b e e a d a e ), a d
a e g e e d c . The a ge e d c f he d ae
ga e( e )a df e . Pe e ( ) a he a ae a f a
che ca d c , c d g e , ha ace ca , e c de , fe e ,
a d a c .
The g f he I d a & ga d ca be aced bac he a e 19 h
ce , he a f c a D gb A a 1889.I e f he
g f ca ce f he ga & ec f ea ec cg h, he
G e e f I daa ced 1954 ha e e d be he c e
ec d .
1954, e e e a & d c ac a c ed b he
g e e - ed Na a O C a e (NOC ), a e O I daP ae
L d (OIL) a d O & Na a Ga C a (ONGC).I d a ef g ca ac
ha e ha eb ed he a 13 ea . Re a ce I d he f ef e
d Ja aga 1999, I d a ha a a ed ca ac fa d 193.5
a A , 2011.
The g h e c e h ef g ca ac e e ec ed ch 255
a b 2012-13 a d 302 a b 2017-18, h a e f ec
a ced b b h he a e a d b c ec . T da , a e ec
acc f 76.5 a (a d 39.5 e ce ) a d b c ec
c a e acc f c e 117 a (a d 60.5 e ce ).
The e ha bee a hea h g h I da e e ef g ca ac he
a f e ea , a de c bed b he g e ab e be :-
Domestic crude oil production [million tpa]

2005-06
2006-07
2007-08
2008-09
2009-10
(P i i a)
Total consumption
113.2
120.7
128.9
133.6
138.2
Products from indigenous crude

26.6
28.4
28.2
27.0
27.2
Indigenous crude processing

28.3
30.2
30.0
28.8
28.9
Products from fractionates

4.2
4.0
4.1
4.2
4.4
Total indigenous production

30.8
32.4
32.3
31.2
31.6
Import dependence (%)
72.8
73.2
75.0
76.7
77.2
Self-sufficienc (%)
27.2
27.0
25.0
23.3
22.8
The ca ac a f I d a ef e f he a fe ea de c bed
he ab e. I d a ef e ha e a e a ed a h ghe ea g ae
ca ac a c a ed he eg a /g ba ee g eff c e c
ea .
B , f I d a ef g d g g, a he d e c c de
d c ab e a a d 30 af he a fe ea .
Ge e a , GDP g h ae a d e e d c c ae ed.
B , ca e, fac e a a ab f be e ad , e f e eff c e
eh c e , e e a ba a de a d c ea ed
a a ab f a a ga f d a ec c b ed e de a e
g h ece e . I d a ef e e a e c c g h ghe G Ref g
Ma g c a ed eg a be ch a a c ea g f c e e e
ef g ea .
If a he a ed ec a e a e, I d a ha e a e ab e
e e d c fa d 100 a b 2012 a d 140 .
2.2 DEMAND DETERMINATION OF THE INDUSTRY
Pe e d he c ha de g e a a f a he
a e e a ea . The c e e e f e e d c .
G ba a f I d a ec a g h h gh e a a ce h ch
a e a a - h gh he b ec ha d ced e e e eg
eff c e c a d h f f de a d f d a a ga (LNG).
F he , e e ad f a c e a d be e eh c e ha had a
be g effec he de a d f ad a a f e .L de a d
a f e e HSD a d MS a d e fac ee a fc ga
d b e .e. CNG.
2.3 DEMAND DETERMINATION FACTORS
The De a d de e a fac a e ba ed a a ache . Top-

down Approach a d Bottom-up Approach.
Top-down Approach: O ea e eg e e e h ha e f d ffe e
f e he a c e c a e e g ba e b g GDP h e e g
ea c .
Bottom-up Approach: E d e a ach c de g he ac f d ffe e
a a e e . Wh e a e g he e e e fac e ac f Me a ,
CNG e a , ac f h gh ce , c e a /eff c e c e e
e ,a a c f he G e e , Ra a f e gh c ,g h f
a e ge a d ca g aff c, f ee e a a fa e , Na a H gh a
A h f I d a (NHAI) ad c c ec , c c f f e gh
c d , e ec f ca a f a a ac eh c e a g h, ac
f ga , ech g ca e e e g e de g , ed f e eff c e c ,
ac f a LPG e c. ha e bee ea ed.
The de a d f ga c e be f e ced b he c ec c - -
a e a ef e e a g each f he e d e ec I d a.
The e a d fe e a he d a c f he e ec .C e he
c f a a ga ha ed b he fe e a d e ec he
e f 29% a d 40% e ec e .
The e ec e f he c a c e f a a ga .
The e ha e a ge f 70,000 ge e a f eca ed b he f e
f he e 5 ea e d e d g 2012.
The d e Pe che ca /Ref e e a d I e a C ec
aee ae ha he a a ec cg h a e f ab 7%.
S a , he / ee ec a e ae a e aef ec cg h.
C e he de a d f e e d c 131.8 MMT 2011-12 h ch
c ea ed b 160.2 2016-17.
The de a d f e e d c a de e d he a a ab f he
d ffe e d c e e d e e e e e a h ha e c.
The ce a e he a fac f de e g de a d f he e d c .
The e e ef e e c de ed he ce a a de a
h ch c de ed he cha ge ce f e e d c h ch de e d
he a e e e ce.
I d a e ec ed be e f he a ge c b -OECD e e
c g h g ba . O e ha US$ 87.37 b
2017-18 f US$ 70.72 b 2016-17. I d a e a ed a he h d
a ge c e f he d 2017 hc f 4.69 b d f
2017, c a ed 4.56 b d 2016.
I d a a he f h- a ge L ef ed Na a Ga (LNG) e 2017 af e
Ja a , S h K ea a d Ch a. LNG c ea ed 26.11 bc 2017-
18 f 24.48 bc 2016-17.
Ga e e fa c e he c d a 16,226 a he beg g
f Feb a 2019.
I d a d e c c de d c J 2019 2,769 h a d e
(TMT). A f 2017, he c had 600 e c e (MMT) f e
e e e .
I FY19, a c de e e a ed a US$ 111.96 b a c a ed
US$ 87.70 b FY18. I FY19, c de c ea ed 4.53 b d
f 4.41 b d FY18.
P d c f e e d c b f ac a ge 4,931.22 FY19
f 4,808.00 FY18 a d eached 2369 TMT FY20 ( Se e be
2019).
Investments
Acc d g da a e ea ed b he De a e f P fI d a d
I e a T ade P c (DPIIT), he e e a d a a ga ec a ac ed
FDI h US$ 7.018 b be ee A 2000 a d Ma ch 2019.
F gae e f he a e e a d de e e he a d
ga ec :
E M b a d ONGC g ed a Me a d f U de a d g (M U)
f ff h e b c .
O a d Na a Ga C a (ONGC) ha a ed US$ 300
de he E e a C e ca B g e.
I Dece be 2019, INDMAX ef g ech g ed b I d a O
C a L ed' (IOCL' ) ha bee ce ed Naf a I d a
S b e (NIS) f Se b a.
I N e be 2019, e -g ade d e e ab e f e e e e
a ched.
MOU g ed be ee NSIC & ARAMCO A a f de e e O &
Ga Sec .
F eg e ha e e e ec h US$
300 b I d a, a he c c e a ce b
10 e ce b 2022, acc d g M Dha e d a P adha , M e f
Pe e a d Na a Ga , G e e f I d a.
O a d Na a Ga C a (ONGC) g g e R 17,615
c e (US$ 2.73 b ) d g a d ga e 2018-19.
A f Ma ch 2019, B fed g g ac e Re a ce Ga
Ta a I fa c e, a Ea We P e e (EWPL)
f R 13,000 c e (US$ 1.80 b ).
2.4 MARKETING & DISTRIBUTION OF PETROLEUM

PRODUCTS
The b c ec a e gc a e (OMC ) h ch c de H d a
Pe e C a L d. (HPCL), I d a O C a L d. (IOCL) a d
Bha a Pe e C a L d. (BPCL) a e a e b e f he
a e ga dd b f e e d c I d a.
W h he e g f e a ec f he a e a e , She , E a a d
Re a ce I d e L d. (RIL) ha e a e e ed he e a a e g e a ed
e e d c .
The a e g a d d b fa c e he e e ec c de
ef ed e e ga (LPG) d b h , e /d e e a , b ca
a d g ea e e
IOCL he a e eade e f a e ga dd b f e e
d c .
2.5 RETAIL OUTLETS IN INDIA
The be f e a e (RO ) I d a ha c ea ed f 31,650 A

2006 40,819 Ja a 2011.
IOCL ha he de e f RO ac I da h 19,057 RO a
Ja a 2011.
The be f LPG d b I d a ha c ea ed 9,686 a 2010 f
6,477 20011.
I d a Na a a a e gc a e I d a O , BPCL a d HPCL- a e
e e a he a e f hea e a he ha e fa ed ge
c e a f he g e e f e g f e be c .
The h ee a e gc a e (OMC ) e d e e , LPG f d e c e
a d e e e h gh b c d b e a ce ha a e b a a
be he c , acc da ce h he e f he a
ha eh de .
I e ,a a a f he e ade g db d c f ea
e ONGC a d O I d a. The a ge ha e f e ade g d b he
g e e .D g he J e 12 a e , he h ee a ee ge he had
ed a e e f .R 40,536 c e a he d e f g e e dd
a e.
The c a e ec g f he de a d f P ed a a ga c e
f d e ca dc e ca c e ec . L a b d ed LPG
c de e ec ed be a b f P ed a a ga b e .
C e gh c e f a d ge a P ed a a ga c ec a
ae d be ec ca c a ed LPG c de . The gc f
P ed a a ga d be ab 10 e ce e ha he c f LPG. P ed
a a ga afe a d e ec -f e d f e f he e .
A a e gc a e e ad a ce f cef dec ea e he
d b cha e f LPG c de , he e fe h ce a e
gf c e .
C e , c a e I d a a e g g h gh a gh a f a a g
e ag a e ab e a e f c de ce a d c ea g
d b c .O c a e a eed be e a ed f ac e c g
ce a f he c gf e.
He ce, he ed a e eed ha e a c e e ea e b f ae
a d e f e fec de a d f eca . I eg a f d ffe e e a d
d ffe e da a de gec e e a d f a he
c a a age e h f ga gf da f effec e dec
a g.
2.6 KEY ISSUES AND CURRENT TRENDS
2.6.1 ISSUES IN PETROLEUM INDUSTRIES
The g ba ec a d a c a d e e -g g e e f he h gh
c f e e g . Th f g g he de a d f e che ca . The
gg h de a d bac ed b a ff c e he c
c ed .O ea g ae f a e che ca d c eg e ae
e h gh e e .
2.6.2 PROBLEMS FACED BY THE INDIA PETROCHEMICAL

INDUSTRY
The a fac g e da ed f a f ech g a dae

ab e d ce a
The e a e e e f he de a fe e
E c ed he c f b e h d be a a ed
A c a f e e a S a Sca e U
Pa c a e be ec c ed a d he e g hab be d c aged
I da e e ad a age feed c , he c ha be b gh
d
The d h d ha e acce he a a e e f fa c e
O e f he b g e he d ff c ed c g he ad a ce ce, h ch
cceed he a e he f e h . S e d ca ae fc e
a a ab e h he f e ce e a g he e cha ge . S e c a e
hedge he ag c de ce b d g a e ad g. The f a d ce
a a he a ce a d ca ac a a e he de f
a a c a d c a a ba ed ce.
2.7 CURRENT TRENDS IN PETROLEUM INDUSTRY
Pe e ha e be he fe bef e ce e e d c e ed,
a ed a he c e f he de d a ec . Wh e he d
g, b ec e e g f ca e e :-
I d c da (24 e ge a d ac ce 1997)
G ba d a e a e g c ea ed e e de a d
T gh e f ec ca e ac ab e
P ca ab a d e
H gh e -ba e ce ha acce e a e de e e fa e a ee e ge
Safe a d he eed ec e h e e e
S eed e ed e ab h a e e ce e a e
Need ead fa c e a gc e
The e e a e ca g c a e cha ge he a he d
b e .F he c ea hc e he a e e e
ech g ,f a e e ed f c afe a d he e e e
e ga f a e a e f e , he e f a e e ha g he d .H
he a age he e cha ge a f e ce h he e he ea e a e
h d g a dh he h e he c e a d e g ee h a a a e
h a f a .
The cha e ge a d ga c a e face a e ha g a g f ca ac
h he e he ea e a e h d g a d ha d f ace he
de he e ee . The e a e a e ce a c a e
h ec ha e a ea e a e h d g . M e a d e he e c a e ae
a ag g he e h d g f a e e e- de e ec e, g he
fac e ea he a f he b e . The a e ea g ha fac e a d
f h g ca be a a eg c f ach e g he ga a b e
g a . Tha f c ha e ea ca f he ace.
Pe e c de a e e -ba ed d c , ch a ga e, , d e e
f e , e e e, ef ed c ea e , a d e . O ga a ed
ea (e g a d e ac g) a d d ea ac e ( ef ga d
a e g) f he e e e d c aea g e f he f ab e
c a e he d.
Whe he he a e ed ea d ea ac e , he he he
ae b cc a a e- ed c a e , a e he d
e a e h he c e f g f ca e a d a e d ha a e
ha g he g- e f .
O c a e b cc a a d aea d - a e- ed e e e
a e faced h c ea g de a d f e e d c d e g ba
d a e a .
O he e ha d, ab ge he c e a e ( d ced f
de g d h d ca b e e b ea f d c e ) ha e
ed c a e e e e e hea ech g a d
e e . O he he , he e f ha e c ea ed e e d c g
a , c d g a d , ha e , a d e a hea c de , e f
h ch e e add a ce g d ce a f c a c de.
T ead he f e g c ech g ,e e ,a d ce e
f aee e g - e e ea h de g ed ead
fa c e a gc e de f he e e d e a
hea h . I e ca e , f ha e e ed e ge ac de
e a d e ce f h gh ech ca e a a d ad a ced d c .
.
O he cha ge he e e g ce e, a c a c ea g ce f b h
a d ga , a e g e ea c a e a e a b ade e f he
b e . The a e a f g he e e h gh e e a e a e
e eg ce , c d g a, d, b a , ge he a e e g , a d f e
ce ech g .
The ea a ha a e a e f e a d e e ab e e e g ech ge
a a c ea g a e a a b dge be ee he c e f c
h d ca b a d he c ea , chea e f h d ge ha ed a
c a e e hea he e a ea .
R ad Ahead
E e g de a d f I d a a c a ed g fa e ha e e g de a d f a
a ec e , he bac f c b ec cg h. I d a
e e g de a d e ec ed d b e 1,516 M b 2035 f 753.7 M
2017. M e e , he c ha e g ba a e eg c
ec ed c ea e b 2-f d b 2035.
C de c e ec ed g a a CAGR f 3.60 e ce 500
e b 2040 f 221.76 e 2017.^
Na a Ga c f eca ed c ea e a a CAGR f 4.31 e ce
143.08 e b 2040 f 54.20 e 2017.^
D e e de a d I d a e ec ed d b e 163 e (MT) b
2029-30.
CHAPTER - 3. HISTORY AND LITERATURE REVIEW
3.1 EARLY HISTORY
Acc d g He d , e ha f h a d ea ag a a a ha
a e ed he c c f he a a d e f Bab , g ea
a e f eef d he ba f he e I , e f he b a e
f he E h a e , a d h fac c f ed b D d Sc . He d
e ed ch g Zac h (I a a d , G eece). A , He d
de c bed a e f b e a d ea A de cca Ce a.
I Ch a, e e a ed e ha 2000 ea ag . I I Ch g, e f he
ea e Ch e e g c e he e f a ae h ef g a
f d c e ed, e ac ed, a d ed Ch a he f ce BC. I
add , he Ch e e e e he f e e e a f e a ea a he
f h ce BC.
The ea e e e e d ed Ch a AD 347 ea e . The had

de h f ab 800 fee (240 ) a d e e d ed g b a ached
ba b e . The a b ed e a a e b e a d d ce a . B he
10 h ce ,e e e ba b e e c ec ed e h a g .
The a c e ec d f Ch a a d Ja a a e a d c a a a
he e f a a ga f gh g a d hea g. Pe e a a
b i g ae Ja a he 7 h ce .I h b D ea P E a
e 1088, he c e a d a e a She K f he S g D a
c ed he d 石油 (Sh , ea " c ") f e e , h ch e a
he e ed c e a Ch e e a d Ja a e e (Seki ).
The f ee f Baghdad e e a ed h a , de ed f e e ha
beca e acce b e f a a fed he eg . I he 9 h ce , fed
eee ed he a ea a d de Ba , A e ba a . The e f e d ee
de c bed b he A ab ge g a he Ab a -Ha a 'A a -Ma ' d he 10 h
ce , a d b Ma c P he 13 h ce , h de c bed he f
h e e a h d ed f h ad . The d a f e e a
de c bed de a b Pe a che ch a M ha ad b Za a a R
(Rha e ) he 9 h ce . The e a d c f che ca ch a
e e e he a e b c (a -a bi ), h ch a a ed f e e e a .
A ab a d Pe a che a d ed c de de d ce
fa ab e d c f a e . Th gh I a c S a , d a
beca e a a ab e We e E e b he 12 h ce . I ha a bee
e e R a a ce he 13 h ce , be g ec ded a c .
The ea e e f e e he A e ca cc S Wa e
Ra e gh' acc f he T dad P ch La e 1595; h e h - e e ea
a e , he acc fa f a F a c ca , J e h de a R che d'A , he
g f Ne Y a b hed Gab e Saga d' Hi i e d Ca ada.
AF hb S ede, c e a d de f Ca L ae , Pe e Ka ,
h Ta e i N h A e ica b hed f 1753 h ed a a
he g f Pe a a.
I 1710 1711 ( ce a ) he R a -b S h c a a d G ee
eache E d'E (a e ed a E d'E ) d c e ed a ha a
Va -de-T a e , (Ne ch e ). He e ab hed a b e e de a P e a he e
1719 ha e a ed 1986.
I 1745 de he E e E abe h f R a he f e a d ef e
eeb U h a b F d P ad . Th gh he ce fd a f
he " c " ( e e ) he ece ed a e e e- e b a ce, h ch a
ed a b R a ch che a d a e e ( h gh h eh d
e ed ca d e ).
O a d ee ed f 1745 Me e -Peche b , A ace de he

d ec fL Pe e A c de a Sab e, b ec a a e f
L XV. The Peche b f e d a ac e 1970, a d a he
b h ace f c a e e A a a d Sch be ge . The f de ef e
a b he e 1857.
3.2 MODERN HISTORY
O fed Ca f a, 1938.
The de h f e e bega he 19 h ce h he ef g f
a aff f c de . The Sc h che Ja e Y g 1847 ced a
a a e e ee age he R dd g c e a A f e , De b h e f
h ch he d ed a gh h ab e f ea a , a he a e e
ba ga hc e ab e f b ca g ach e . The e ee
cce f , b he f f he c a e bega fa
(e e a be g e ha ed 1851).
Y g, c g ha he a d gf he a d e f f he c a
e, he ed ha eh g a ed f he ac f hea he c a
ea a d f h h gh ha gh be d ced a f c a .
F g h dea, he ed a e e e a de e a cceeded,
b d g ca e c a a a hea , a f d e e b g e e , h ch he
ea ed he a e a a he ee ga e a d c .Y gf d
ha b d a he c d b a a be f ef d f , e f
h ch he a ed " a aff e " beca e a e ea e c gea ed a
b a ce e e b g a aff a .
The d c f he e a d d a aff a f c a f ed he b ec
fh a e da ed 17 Oc be 1850. I 1850 Y g & Me d a d Ed a d
W a B e e e ed a e h de he e f E.W. B e & C . a
Ba hga e We L h a a d E. Me d & C . a G a g ; he a
Ba hga e e e c e ed 1851 a d beca e he f c e ca -
a d ef e he d, g e ac ed f ca ed
ba e, ha e, a d b c a a fac e a h ha a d b ca g
; a aff f f e ea d d a aff ee d 1856.
Sha e b g ea B b , 3 f a a f 19 We L h a
Ab aha P e Ge e , a Ca ad a ge g de e ed a ce ef e a
df e f c a,b e a d ha e. H e d c e , h ch he a ed
e e e, b ed e c ea a d a e e e e ha c e g
d c , ch a ha e . I 1850, Ge e c ea ed he Ke e e Ga gh
C a a d bega a g gh g he ee Ha fa a d he c e .
B 1854, he had e a ded he U ed S a e he e he c ea ed he N h
A e ca Ke e e Ga L gh C a a L g I a d, Ne Y . De a d
ge he e h c a ' ca ac d ce beca e a b e , b he
d c e f e e ,f h ch e e e c d be e ea d ced,
ed he be .
I 1846, ha ec de he f de e he d a d ed
he S h Ca ca eg fR a E e, he Ab he Pe a
h-ea f Ba ( e e e B b -He ba ), b R a Ma A e ee
ba ed da a f R a ce N. V b .
Ig ac a e c ed Ge e ' eh d de e a ea f ef g
e e ef he e ead a a ab e " c " (" e - e ") ee ,
1852, a d he f c e a b B b a, ea K ce a
E ea Ga c a (P a d) 1854. The e d c e e a d ead a d
he d, a d Mee eff b he f de R a ef e he a e
f e d a Ba 1861. A ha e Ba d ced ab 90% f he d'
.
The e f ha c ed he f c e ca e a d ff c e
a e . The f g a da f ha Va (2018). Ed
D a e' 1859 e ea T e, Pe a a, d c ed ef be ,
a c de ed he f de e . D a e' e bab g ed
beca e a d ed, d g; beca e ed a ea e g e; beca e he e
a ac a a c a ed h ; a d beca e ched ff a a b .
H e e , he f e e e d ed a he e he d, h ch d ced ,
a d ed 1857 a de h f 280 fee b he A e ca Me ac C a
La B ea (S a h f P ch ) hea T dad he Ca bbea .
Add a , he e a c de ab e ac bef e D a e a a f he
d he d-19 h ce .Ag d ec ed b Ma A e e e f he
Ba C fM g E g ee ha d-d ed a e he Ba eg
1846. The e e e e g e-d ed e We V g a he a e ea a
D a e' e . A ea c e c a e a ha d d g P a d 1853, a d
a he ea b R a a 1857.
A a d he a e e he d' f , b a , ef e e e e e ed
a Ja , P a d, h a a ge e be g e ed a P e , R a a. B
1856 a d a g a ed 1857 b he b he Te d a d Ma
Mehed ea , he Raf Ref e , a ef e b a P e , had a face
a ea f f hec a e , a d he da d c eached e e e ,
b a ed c d ca a d ca ha e e hea ed b f e f d;
a he ca ed " he d' f e a c d e ," e g he ec d f
be g he d' f ef e , acc d g he Acade Of W d Rec d .
Th ef e b a ed, he ba fac ac c c ded Oc be 1856

be ee Te d Mehed ea a d he C Ha f B cha e , he e c e
gh he a f he Wa ach a ca a h a . The
c ac bega be e ec ed A 1, 1857, he , b e ac g he
d a ed h he d c ed b he Raf ef e , "B cha e
beca e he f c he d a ed e e hd ed c de .
I 1857, he a d c fR a a a a ed 275 f c de
. W h h f g e, R a a a eg e ed a he f c d
d c a c , bef e he a ge d c g ae ch a he U ed
S a e f A e ca (1860), R a (1863), Me c (1901) Pe a (1913 ).
I 1875, c de a d c e ed b Da d Bea a h h e Wa e ,
Pe a a. Th ed he e g f he B adf d f e d, h ch, b he
1880 , d ced 77 e ce f he g ba . H e e , b he e d f he
19 h ce , he R a E e, a c a he B a be c a
A e ba a , had a e he ead d c .
Sa e K e e ab hed A e ca' f ef e P b gh Se e h
a e e ea G a S ee , 1853. I add he ac We V g a
a d Pe a a, a a ea e N h A e ca a O
S g , O a , Ca ada 1858, d g b Ja e M e W a . The d c e
a O S g ched ff a b h ch b gh h d ed f ec a
a d e he a ea. Ne fed e e d c e ed ea b h gh he
a e 19 h ce a d he a ea de e ed a a ge e che ca ef g
ce e a d e cha ge.
The de US e e d c de ed ha e beg h Ed
D a e' d g f a 69-f (21 ) e 1859, O C ee ea T e,
Pe a a, f he Se eca O C a ( g a e d g 25 ba e e
da (4.0 3/d), b he e d f he ea a a he a e f 15 ba e e
da (2.4 3/d)). The d g e h gh he 1800 , d e b he de a d f
e e ea d a . I beca e a a a a c ce he ea a f
he 20 h ce ; he d c f he e a c b e g e ded a
de a d ha ha a ge a ed he d h da . Ea " ca " f d
e h e Pe a aa dO a ee c aced b de a d,
ead g " b " Oh , Te a , O ah a, a d Ca f a.
Earl crude production
in the U.S.
Year Volume
1859 2,000 ba e ( 270 )
1869 4,215,000 ba e ( 5.750 105 )
1879 19,914,146 ba e ( 2.717 106 )
1889 35,163,513 ba e ( 4.797 106 )
1899 57,084,428 ba e ( 7.788 106 )
1906 126,493,936 ba e ( 1.726 107 )
B 1910, g f ca f e d had bee d c e ed he D ch Ea I d e

(1885, S a a), Pe a (1908, Ma ed S e a ), Pe (1863, Z
D c ), Ve e e a (1914, Ma aca b Ba ), a d Me c , a d e e be g
de e ed a a d a e e . S g f ca fed eee ed A be a
(Ca ada) f 1947. Off h e d g a O R c (Nef Da h a ) he
Ca a Sea ff A e ba a e e a e ed a c b 1949.
A a ab f a d acce , beca e f "ca d a a ce" a

e bef e a d af e W d Wa I, a c a f a e a he cha ged
f c a,b a h he d c f a , a a da a e .
S ch h g dc e ae c f c f he e e h ce ,
c d g W d Wa II, d g h ch fac e eea a a eg c a e
a d eee e e b bed. I 1938, a e e e f e e d c e ed
he a -Ah a eg a g he c a f he Pe a G f.
U he d-1950 c a a he d' f e f e , b af e h e
c e . La e , f g he 1973 a d 1979 e e g c e , he e a
g f ca ed a c e age he b ec f e e . Th b gh
gh he c ce ha a ed e ce ha e e a ,a
ea a a ec ca ab e e e g ce. A h gh a he e he
c a d a ed c ee e d e, a e d f c ea ed
d c a d ed ced de a d he f g ea ca ed a g he
1980 . Th a a , h e e , a d b he f decade f he 21
ce d c ab ea had e ed he e .
T da , ab 90% f eh c a f e eed a e e b . Pe e a a e
40% f a e e g c he U ed S a e , b e bef
2% f e ec c ge e a . Pe e ' ha a ab e, de e
e eg ce e g he a a f eh c e a d a he ba e f a
d a che ca a e e f he d' a c d e .
The h ee d c gc e a e Sa d A ab a, R a, a d he U ed
S a e . Ab 80% f he d' ead acce b e e e e a e ca ed he
M dd e Ea , h 62.5% c gf he A ab 5: Sa d A ab a (12.5%), UAE,
I a , Qa a a d K a . H e e , h h gh ce (ab e $100/ba e ),
Ve e e a ha a ge e e e ha Sa d A ab a d e c de e e e
de ed f b e .
3.3 INDIA HAS EMERGED AS REFINARY HUB
I d a' c e ef g ca ac a d a 249 MMTPA, c g f 23

ef e e 18 de b c ec , 3 de a e ec a d 2 a
e e. I d a O C a (IOC) he a ge d e c ef e ha
ca ac f 80.7 MMTPA. T h ee c a e IOC, Bha a Pe e
C a (BPCL) a d Re a ce I d e (RIL) - c b ea d 66.7% f
I d a' a ef g d c f FY 2018 - 19.
A e e ab 16,788 a a ga e e ea a a d ab
12,672 ga e e a e de de e e .
I d a ha e ed a ead c ea e d c a e a c f
e e d c e he ea . The d c f e e d c d
a 243.5 MMT d g 2016-17 262.3 MMT 2018-19.
L ef ed Na a Ga (LNG) f g g ahead b hc a , h
8 e R-LNG e a (4 he e a d 4 he ea c a ) c g .
T ge he h he e g e a , e a ca ac each 74 MMTPA.
3.4 PLAYERS IN THE INDUSTRY
The a c e a e a a ab e he e e d h ch c d g
he g e e a d a e ec . f he e e c a e a e h ge
ea a d hb d a ba a ce hee .
The a d ga d c a dd b d a ed b g e e ed
c a e h ch a e hea eg a ed e ce g f Re a ce I d e . Af e
be a g he e a f he c a e e I da O C a Ld
(IOCL), H d a Pe e C . L d (HPCL) a d Bha a Pe e C .
L d (BPCL) b f d a e a he a e f ced e e e
d c a be he c .
The ce f g e e ae f a c e a g he e c a e
h gh e a fe a d b d . eg e e c a e e OIL
I d a, ONGC a d GAIL h ch e a e he d c a d ha e bea e
f he b d b de ha e g a d ef ed e e . I he ae
ec c a e e Aba G ea Off h e, E a a d Re a ce ha e
a aged g a d a e h cha geab e deg ee f cce .
He e he f he a e e C a e I d a:-
Indian Oil Corporation Ltd (IOCL):-
The IOCL c e he h e h d ca b a e cha f , e e

a a , a e g f e e d c e a & d c f
c de & ga , a e g f a a ga , e che ca a d ef g. The
ae e fI da a R 271,074 c e a d f f R . 10,221
c e 2009-10. I d a c -c e f c de a d d c
e e ac 10,899 a d he a ge he c , ee he c c a
e e g eed f he c e a ec ca , e e a d eff c e
a e.
GAIL India:-
GAIL (I d a) L ed, I d a Na a Ga c a , eg a g a a ec f
he Na a Ga a e cha gh f d c e a e g. I e ha e
c ea f e d a a , c ea g a a e f g ee e e g c d ha
c ec a c ce e h a ga f e d I d a. GAIL
g g b e bec e a a e he I e a a a e . The
c a e e e ea ed 2009-10 a R 24,000 c e h e f f
11%. I a e a aged fa g gc a h h gh c e e ba e
I d a.
Reliance Industries:-
I I d a a ge ae e e c a . The c a ach e g he
e a ab e g h he a decade a d d e f g Re a . I a e
e ha $30 b I da a ed c a .I a h gh
e e e gc a f I d a. The c a e f he a ge
ef g a d e che ca c e e he d a Ja aga .
Bharat Petroleum Corp. Ltd (BPCL):-
he a d b f e e ,c g ga a d d e e he I d a
a e . The c a e e e f R 36,000 c e a d e f f 0.5%. d e
he g e e c The c a ffe ag a d e be c
ce e f a ce. Wh ch f ce he c a e he d c a be he
c ? E e af e he be a a h c ea ed g ba c de ce c ea g
he e e ch. The c a d ce a a a ge f d c ,
f e che ca a d e a c af f e a d ec a b ca a d
a e he e ea e a a a dd e ca e a d h d ed f
d e .
Hindustan Petroleum Corp. Ltd (HPCL):-
The c a e a e he a ge ef e he c d c gO f
e a a a da d . Th Ref e acc f 40% f he I d a a O
d c . The c a ha a ef e e d c g a a ge a e f
e e f e & ec a e . e M ba a d he he V ha ha a a .
I h ge a e g e c f a & eg a ff ce fac a ed b
a &d b fa c ec g e a ,a a e ce
a , ea e , e e e a d LPG d b h . The
c a a e ha e acc f ab 20% a d 10% f he a
ef g ca ac . The c a e e e ea ed a R 34,000 c e a d e
f ag f 0.65% 2010.
ONGC Corporation:-
The c a a 3d e e E a &P d c d .I
d ce 803 M Me c T e f c de a d 485 B C b c Me e f
Na a Ga f 111 f e d . I he b gge a a c a h 40
a d ga ec 15 c e . The c a ea ed R . 20,000 c e h
e f ag f 34% 2010. NGC h d he a ge ha e f h d ca b
I da & c b e e 79% f I d a a d ga d c .
Government Initiatives
S e f he a a e a e b he G e e fI da e
a d ga ec a e:
A e U B dge 2019-20, I d a Sche e Ka a a e Ka a a , he
M f Pe e & Na a Ga ha e ab ed SC/ST e e e e
d gB LPG T a a .Sae e eg f Bha a
Pe e , H d a Pe e a dI da O C a e d US$
20 b ef e e a add , b 2022.
The G e e fI da a g e a d 5,000 c e ed
b ga (CBG) a b 2023.
G e e fI da a g e R 70,000 c e (US$ 9.97
b ) e a d he ga e e e ac he c .
I Se e be 2018, G e e fI daa ed f ca ce e
a ac e e a d ech g e ec e f fed
h ch e ec ed ead h d ca b d c h R 50 a h
c e (US$ 745.82 b ) he e e ea .
S a e- f ae a g e e h R 723 c e (US$
111.30 ) U a P ade h e he ef ed e e ga
(LPG) f a c e abd e c ea e e g a d ge e a e
e e , acc d g M Dha e d a P adha , M e f
Pe e a d Na a Ga , G e e f I d a.
A ga e cha ge a ed de b g a e -d e c g he
e eg a e f I d a a d he a f he a e ead be
a e he U Cab e , acc d g M Dha e d a P adha ,
M e f Pe e a d Na a Ga , G e e f I d a.
The O M a e b -CNG (c e ed a a ga )
a a d a ed f a c ea ac f R 7,000 c e (US$ 1.10
b ) e he e f c ea f e .
Achievements
F g a e he ach e e e f he g e e d g 2018:
The e e g ade be ee I d a a d US e ch US$ 10 b
he f a c a ea 2019-20.
A Se e be 01, 2019, Ga A h f I d a L d. (GAIL) ha
a ge ha e (69.90 e ce 11,411 ) f he c a a ga
e e e (16,324 )
A f Oc 1, 2019 (P), he e e e 24,127 LPG d b ( f PSU )
I d a.
The a be f OMC e a e c ea ed 65,973 a he a f
Oc be 2019 (P) f 59,595 a he e d f FY17.
U de C Ga D b (CGD) e , 86 Ge g a h ca A ea
c g 174 d c 22 S a e / U Te e a e c e ed.
A f J e 2019, e ha 7.23 c e c ec ha e bee e ea ed
de P adha Ma U a a Y a a (PMUY).
3.5 DISTRIBUTION CHANNEL OF THE INDUSTRY
The e e d b eg e a d ad g d ffe e d f
cha .F c de e ec e e d c d b a he
ea e cha h a . The ef g a g , he ead e
a c a ed h f da e a f c e d c ad g a d c de b g
ed c ab ce a e he e e ce cha e g g.
I e e a f he e a de ead a a ,h e e,
ha he d a ch g, a a e e c a e f gh cha he
b e . The e e d ha a a eed f b h eg a a d
e e a f a g he be a e f he d ffe d b
cha e a a ab e.
U de g d, he ga a e de . The a f e eaded
a d f eg a ( he dg ade f e ) a e a ge ha he a a . Each a
e ed h a e ec c e e chec ha c e ea e f a
ab a h gh a cab e he a a age e e a d he
he a e a age e e f he c a h e d c
he ga a a e .
The a e f he d b cha e h de a d a g ace

he ec , he e ce he cha e ge a ge g he be dea b g
c de, he f c hf g g ec e ha he a .
The e e b e e a a ed ef ga dd b eg e .
The f c e e he d b eg e .
The e a ec f c cha ge f c he d a d he d b
eg e . The b g c a e ha e a ed g he e e f
c de a he e e d c . The e a he ef g e e a e:
h ch d c a e ha a ? Wh ch c de e? Wh ch
? Wh e he e a he c e fac g e d a he ga a ae
ba c, a e & ef e .
The a f c h he d b cha e a e a ac
a e a e ea f a a , de a d f eca g, e e h e eh d
a d ea / &f a ched g, h ch e e ce he d a ch.
3.6 USING TECHNOLOGY TO BOOST PRODUCTIVITY
The ech g ha c a e de he e ee c a
e e e , e ec a he e e a a eff c e c e ca be b a ed.
Ma age e e e d a da d e c de f e g
ech g .
I d a ha ead e ab hed e f he c e f he e a a d c f
e che ca a d e che ca e a ed d c he e e ae f
affa . W h he ec cg h c ce gd he U ed S a e , he
A a de e g a , e ec a I d a, d efe ab a d he g ba
e che ca a e a a d ce f he e d c . Th e f he a
cha e ge fac g I d a e che ca d .
3.6.1 PESTEL ANALYSIS
PESTEL a a a d f P ca , Ec c, S c a , Tech g ca ,
E e a a d Lega a a a d de c be a f a e f ac -
e e a fac ed he e e a c e f a eg c
a age e . I a a f he e e a a a he c d c g a eg c
a a a dg e a e e f he d ffe e ac e e a fac
ha he c a ha a e c de a .
Political:-
P ca fac a e deg ee g e e e e e he ec .
S ec f ca , ca fac c de a ea ch a a c , ab a , a ,
ade, a ff , a d ca ab . P ca fac a a c fg d
a d e ce h ch he g e e a de be ded a d h e
ha he g e e d e a be ded. Be de , g e e ha e
g ea a h he hea h ed ca ,a d fa c e f a a .
Economical:-
Ec c fac c de g h, e e , e cha ge a d he f a . The e

fac ha e a ac h b e e a d a e dec .F
e a e, e e a e affec a f c f ca a a d he ef e ha
deg ee a b e g a d e a d . E cha ge a e affec he c f
e g g d a d he a d ce f ed g d a ec .
Social:-
S c a fac c de he c a a ec a d c de hea h
c c e , a g h a e, age d b , ca ee a de a d
e ha afe . T e d c a fac affec he de a d f a c a
d c a dh ha c a eae .F e a e, a d a a
a a e a d e g f ce ( h c ea g he c f ab ).
M e e;c a e a cha ge a a e f a age e a eg e ada
he e c a e d ( ch a ec g de e ).
Technological:-
Tech g ca fac c de ec g ca a d e e a a ec , ch a
R&D ac ,a a , ech g ce e a d he a e f ech g ca
cha ge. The ca f d ba e e , eff c e d c e e
a d f e ce c g dec . I add , ech g ca h f ca affec
c , a , a d ead a .
Environmental:-
E e a fac c de ea he , c a e. Add a , c ea g
a ae e c a e cha ge affec g h c a e e a e a d he
d c he ffe b h c ea g e a e a dd h g
de ge g e .
Legal:-
Lega fac c de d c a ,c e,a ,e e a ,a d

hea h. The e fac ca affec h ac a eae , c , a d he
de a d f d c .
Conclusion
C de e f he ece a ed d de e ed c d e .A
a e a f c a c de ce ca ha e b h d ec a d d ec
e e he ec f he c e . The ab f c de ce
g a c a e a a . The ef e, ce ha e bee eg a a d
c e .
CHAPTER - 4. RESEARCH METHODOLOGY
4.1 PROPERTY CLASSIFICATION AND VALUATION

APPROACHES
F he e f a a , e e ca be c a f ed h ee b ad
ca eg e :
(I) I e e e
(II) Ma e ab e - e e e
(III)N - a e ab e, - e e e
The a e g ed e ae , a e ab a d e f- d f he
e e e he ea he e e e f a eae a e he e,
a e a ea d e e a e.
The e e a e he a ee e f a e ca e f e e
e .
The a e g ed e f a e f he a e ab e - - e e e
, a e ab a d a e he e a d a e a e e ec e
he ea he a ee e f a e a e a e.
The a e g ed e a d he e e e f a e ( h ca e a a
ee e f a e) f he - a e ab e - e e e ( e ce
e )ae a dc f d c .
The a aea ach a a f e e e c e

a ach, a e a ach a d c e a ach f a e ab e -
e e e a dc a ach f he - a e ab e - e e
( e ce) e .
A a e h ch ac ed a d he d ha e de e be ef f
b a f ca g b e a d ge e a e f f e ed a
e e e a d he e e f he e f he e ed
g he h ca a d a d/ b d g b e e d h gh de e
a f . The ef e, he c ec a ach a e ch e
be INCOME APPROACH .e. f d g ca a ed a e f he e c e
ece ab e b e f g a d/ e g ha a e .
Pe ,h e, e , c e a ha e c. fa de he ca eg f
'I e e P e ' a d he a e h d be dea e a ed f ge e a
e f ac ,f a ca e g, gage, a e, cha e b
ca a g he e c e ge e a ed f he (e ce f he ec a ed
e ch a a ce, ca a ga e c.)
OBJECTIVES -
- T e f e e h c e
- The Ge e a Te a dC d de h ch he La d f Pe
- P ha e bee a ed
- Me h d g f a a f Pe P
4.2 VALUATION OF PETROL PUMP
The e c a f ed a a I e e e a d a a ,
be ca ed b a c ea ach.
4.2.1 GENERAL DESCRIPTION OF PETROL PUMP BUSINESS

ENVIRONMENT
Pe b e he b e fd b a d e a g. f
e e d c e e , d e e , b ca a d . I I d a he
e e ef ga dd b a fa a g e e c ed ec ,
e e be g a ca ce a d ed d c, d b a ha d ed
b g e e c a e .' The g e e c a e ed he
a e ga dd b f e e d c a e I d a _O C a
L d; H d a Pe e C a I d; Bha a Pe e C a L d;
a d IBP C a L d. The e c a e eef ed b eg g a
d e ca d a a c a e a he e f a a a f
e e b e .H e e, ae a e e Re a ce Pe e
L d. a d E a a e c g _ _c de ef ga dd b b e .
The G e e ' c f dec g e e d c a d a g
a e a e .e. h a da d c ed e a ce ' e c e
he e a f f ee c g. Th ha e . ff c e a df c a g
ea ce e b e .
The G e e c a e a e fac g ff c e f he e ae
a e . P a e a e a e e b ea c a c, c e a d he e e
ef ga dd b c ae e d e ec e f ca e. Re a ce
ha cce f c ed d' a ge e e ef e a
Ja aga , G a a . S fa ed e d c h gh he d b
e fg e e c a e b g ad a e ab h g
e . Re a ce ha a ead e ab hed d b e f ef ed
e e ga (LPG) a d ha f a ed ad e e e f e ea
e e .
D e ed ce g e e c a dg g: c e , h ec
e g h gh e e f ac , a ac a d cha ge .
S fa , he b e f e a fa d c h de a d
a a e ceed g he , h a c e .A ch h
b e a ega ded a e ca e a d afe.
H gh f , h gh de a d a d c ed a ead a a
ad e a . The e a e a ge be f e he ed a a d a
ca e /cha ge hee f ed dca , e he e e ce c a 'ad e a
d ca e' e a g h he d .
The e ee fa a ed / d b ed b he c a e a e
he a e c fg e e -a e a g ca e e , a d a e
e e a c (defe e a, ha d ca ed a). N h a e
c ha h e e bee e a ed a d a e a e be g ade b e ffe
he ba f e f ea db e e a.
4.3 FOUR TYPES OF PETROL PUMP OWNERSHIP

STRUCTURES IN THIS INDUSTRY
(a) C a ed (COCO)
(b) Dea e ed ( C e)
(c) Dea e ea ed ( B T e)
(d) C a ea ed ( A T e)
a) COMPANY OWNED (COCO)
Whe e a d a d b d g ed b he c a . The a age e f

e e he he ha d f O C a e ed ae
ce e .
b) DEALER OWNED ( C T pe)
Whe e he a d a d b d g ed b he dea e . The dea e a h d he

ce e/dea e h f he c a e e e d c .
c) DEALER LEASED ( B T pe)
Whe e he a d a d b d g ed b he dea e a d g e g e
ea e c a . The dea e a ge he ce e I dea e h e
e e d c,a ch he a age e f h ha d .
d) COMPANY LEASED ( A T pe)
Whe e he a d a d b d g ed b he c a a d g e g
e ea e he dea e . The dea e a h d he ce e/dea e h _ e
e e d c .
I a be ed ha ha e e be he e h c e - he Pe OL
D e e ,P a d O Ta a e ALWAYS OWNED BY THE OIL
COMPANY. (The d c a ea g f D e e D b )
4.3.1 GOVERNMENT CLEARANCE FOR PETROL PUMP
F e ga d ga e ea e f g c ea a ce f
G e e ae e ed:
(a) A N Ob ec Ce f ca e (NOC) e ed f he D c C ec .
(b) The NOC ed b he D c C ec af e ece g d d a NOCS
- The S e e de f P ce
- S e e de E g ee , P.W.D.
- The D c Mag a e
- The Ad a f Naga Pa had Naga N ga
- The T Pa g De a e
A a f he e, L ce e e ed f he E e De a e a d The
Pe e De a e f age a d a e f e e d c.
4.3.2 LEGAL FACTORS WHICH HAVE A BEARING ON PETROL

PUMPS SITES ARE
Th ec g e ed b PLENTY f eg a a d he e f e b
ae fe c ea . E e a e f I d a ha ac h ch g e he
e ec f Pe P S e. He e he a e f Ra a ha c de ed f
a ce.
The e e a a ea (ag c a a d) a e g e ed b he
Ra a ha La d Re e e (C e f Ag c a La d f N - ag c a
e R a A ea) R e , 1992. Ce a ec f Ra a ha La d
Re e e (A e ,C e a d Reg a a f Ag c a La d f
C c f C e a, H e a d Pe P ) R e , 1978 a e a
a cab e.
I U ba A ea he e a d eg a f he e ec e A ea De e e
A h aea cab e.
4.3.3 THE GENERAL TERMS AND CONDITIONS UNDER WHICH THE
LAND FOR PETROL PUMPS HAVE BEEN ALLOTTED ARE
- The a d f e a a ed ea e f a e d a g g
f 15 25 ea 99 ea
- The e f ea e a / a be e a ega d he f e e a
f ea e c de ed.
- The ea e e ha be 5% e ea f he e e ed ce f a d a he e
fa e .
- The a d ha be e e ed f ea a e a d he e
ha be e ed.
- The e ee ha be e b e a d ab e a a he a e , a e e c.
h ch a be e ed he a d f e e.
4.4 FACTORS AFFECTING THE SECURITY OFFERED BY

PETROL PUMP
The ec a d eg a f c ef e b e g e ed
b a fac , a f h ch a e f ' a f ab e. S e f fac h ch
ha e a ac he f ab , ec f c e a d eg a f c e
f e b e aed c ed be :
4.4.1 DEMAND OF PETROL / DIESEL FROM A GIVEN RETAIL

OUTLET. THIS DEMAND WOULD DEPEND UPON FACTORS LIKE
T aff c-c f he ad h ch e ab
Veh c e a a d eh c e de he c f e
Ge e a de a d f a f e,g h eh c e a
T e f d g a ea - he he ag c a ba ?
I he e a a ge ca e de e e ag c e?
De a d f e a df c a he f e - eed f
ge e a g e ?
4.4.2 COMPETITION
E e ce f c e e e he c
A a ab f be e a e he c
Re a f dea e a c a a ega d ad e a .
Re a e f e a chea e a e. W h he ed c f
dec ed f ce f e e d c h fac ha bec e e
a d e a .
G h de a d be f e ' f a g e a ea a c a ed
g h f eh c e a ha a ea.
Dec f e e d c a d d da ead c ea ed
c e , ad e e e a d ed ced a g .
4.4.3 ALTERNATIVE FUELS
The e e ge ce f L ef ed Pe e Ga a d C e ed Na a Ga
a b ef e .
E e ge ce f a e a e e e ab e f e e.g. S a Ca .
T e d a d De e e a b e d a d e ec c a d ba e
d e a b e h ch a e a e e f e d .
4.4.4 SUPPLY SIDE
Ca ac f ef e e . D g f e e d c d e e ca ac .
W d de f c a c de ce .
4.4.5 NEWER TRENDS
C e hf a d be e b c a a e .
Red ced eed f a e g a d ed ced d a ce d e he g h f
c ca a d f a ech g .
O he fac e a e a a ab e a he e e-a a a d
e e g he a e f e e c. e.g. S a ba aa c a g e
e , g f e , ca d , ch c a e , ce-c ea , e a a , e ce a ,
e e c.
4.4.6 THE IMPECT OF ALL THESE FACTORS ON THE SECURITY

ASPECTS OF PETROL PUMP BUSINESS CAN BE SUMMARISED AS
FOLLOW
SAFETY OF CAPITAL
The ca a e ed e afe, h ch e afe. a

e e ed a d,
LIQUIDITY OF CAPITAL
The ca a I e ed h e e da
- Pe ae g f a ch ee' h ch ca be d h he
e c f a e .
- Pe e a e e e ed e h ec a a a d ec a ea e
.A age he ha a a e e ed,
h e e e h ha e a e dea e h ca ac e - ha a
e a a e.L ed a e ab b a he a e e be f e
e e ed f Pe P aea a be .
SECURITY OF INCOME
The c e a a ec ed a e e a c e f c a g. The
d de a ha e f a a d ad ca cha ge - G e e
c e f dec g e e d c a d d .
REGULARITY OF INCOME
The c e f c a g a d eg a . W h c e e e a d
agg e e a e g, eg a f c e ffe g.
EASE OF COLLECTION OF INCOME
The c ec f c e e ea . The h e b e be
ga ed, c ed a d ea he c e - e e he e - -a e e
age ega c f ed a f ed.
4.5 METHODOLOGY
The e a e FOUR a e ed he a a f Pe P b a d
INCOME APPROACH. The a e -
(I) W he g ed e f c e
(II) E a e e c e f a ec f ed be f ea
(III)Se ec a a e ca a a ae
(IV) A he ca a a aea d , YEARS PURCHASE (Y.P.)
he e c e f e ed f ea e/ ce e e d f e a g.
The e f a e ca be e e a ed b a f g a e.
- Ide f he e e h ch ha e bee ece a c ed a d/
d.
- F d he e a dc d de h ch he e e e ha e
bee a ed.
- C ec f a c a da a ega d g
(a) Re e e da a e ea .e, a e f e , a e f d e e , a e f a d
b ca , e e e / c e f e ce a , ba aa , e a a e c. f
a ea a 3 5 ea .
(b) E e ), a a e a e da , e , he ad a e aff,
e , e ec c cha ge , a e cha ge , e e h e, age, g,
Sa a , a e ga d ce a e e e e , e a a d
a e a ce, e e a ( g ca a ), ea e e f e
e e c. ad e e e e e e , a ' a e e e , e c.
F d a e age e a a c e (G Re e e G E e d e)
C ec he da a ega d g aff c c a ea h a d a h he
ad h ch e ae a ed.
C ec he da a ega d g he ge e a b e e e , be f
c e g e he c .
C ec he da a ega d g eh c e a g h a e, a g h
a e f he c , e de a e g h a e; ea e f he a 10
ea e ab e ec f be f eh c e .
C ec he a ce f a e a d e a f he e he c f
he e de d . A g he e gh age a fac h ch
ha e bea g he a a .E a e he f a e gh age c e f a he
a ce f a e a d e a . C ec he f a c a da a f a he a ce f
ae a d e a.
Ca c a e a e age e a a f f each a ce. E a e he a e f
ee e ded b e b a g he g a e e a he
ca a a e.
E a e he ec ffe ed b e e e b c de g a
he fac affec g ec .E a e he a e f e e a d ea '
cha e b g ec a e a ed ea e a d ad acc d g
ec cc d e a ga he da e f a a .
E a e he a e a e f he e b g he ea ' cha e a
e a ed a ab e a d e a a c ef he e . e d e
da a e ea f a ea 3 5 ea .e. c fg d d ( c d g a ).
4.5.1 LIFE CYCLE OF THE PETROL PUMP
Ge e a , he fe f he e de e d he ea e e d, e a d
c d f he ea e ag ee e , e e a ,g h f eh c e
a ,g h f a f he a ea, g h f e de a , c e ca
a d e ec a ed ca a ea b a ea. La d d e de ec a e
h ca , he c e e ed f e de ec a e b a a e
e aea dc a ed ea e e e , he' e e
b d g e , he ea , , e d e e , age Ta ae
ed b he c a he ce he h ca de ec a f he e e e
be ed af e b he c a e . The c ea e e d 25 ea
99 ea 15 ea .
I h fe f b d g a d e (e e e ed) d e affec
he ec c fe f he e .
4.5.2 SUBJECT MATTER OF VALUATION
The a e f e e f e / cc e he a d he e ( h ca e-
a e ) he a e f h R gh de e Be ef b U e f Pe
P .U e f a d e (Pe P ) b ec , e c ed b ,
e g a ea g a d ch a T a fe f P e Ac e a g T e &
Te e , Sa e, Lea e, M gage e c., T &C Pa g Ac c d g
De e e C Reg a , M c a Ac , H g Ac , L ce e
e ed f he E e De a e a d The Pe e De a e f
age a d a e f e e d c , N Ob ec Ce f ca e e ed f
he D c c ec af e ece g N Ob ec Ce f ca e f :
- The S e e de f P ce -
- The S e e de E g ee , P.W.D.
- The D c Mag a e
-
- The Ad a f Naga Pa had Naga N ga
- T Pa g De a e
A a e he ef e e ed ha e edge f he e a .
4.5.3 ESTIMATION OF INCOME
O ce acce ed ha he e ac a ad b e a a d d ae e
a d c ec d ca f fa e a d he eb e a d c ec a f ca
f a g b e be ef , he he c e f he e ca be e a ed b
c ec g da a ega d g a ce f e a e ec f he c a ab e
e e he c he d g a ea a d b c a g he
acc da e e e h e be a ed.
S ch c a h e e fe e b ec e ba ed he ,
e e e ce a d a f ca f he a e , de e a e, a fa a
b e, ch e e e f b ec c a a d a e a he
b ec e, a e fa g ga a e e gh age a fac
a ec fc a ha be ed.
The fa ae f e e ec f he e ca h be e a ed b
c a g e de a a h he e e ed a ce f
e a h efe e ce a e gh age c e f e , a e f e a d he
da e e ff g ch e . O he ba fe a ed fa a e f e , g
a a c e ca be e a ed
A Va e h d c ec he da a ega d g e e e f Sa e f e , d e e ,
, b ca a d he d c . If he e a de he
e ce e a h g, e c g, e ba aa , he c ec he da a ega d g
he e e e a d e e d e f he e e ce .
Aga , c ec he da a ega d g he e e e ec fg d d
( c d g a e ), Sa a e f a e da , e , he ad a e
aff, e , he e e e e Te e h e, age, g, a a ,
E ec c cha ge , Wa e cha ge , T a e g a d ce a e e e e ,
Re a a d a e a ce, M c a a e e c.
Ded c ch g g f he e a ed g a a c e e , he e
a a c ef he e be a ed ca be e a ed.
4.5.4 SECURITY AND RATE OF INTEREST
Af e e a fa a e c ef he e de a a , he
e a e e a e dec de he a ae ae f ee
e ec ed be e ded b he e be a ed. The a e f e e be
e ded b he e de e d he ec ffe ed b he e a
e e .
Aga , a e h d d he f c a I c ef he f a
c ec ed f he a ce f Sa e a d Re a a d d he a e a d
e b e a a h e.
4.5.5 ANALYSIS OF SALE
The ce fa a g a a e a ac e ea d e f d g
he a e f e e ( deg ee f ec ) e ded b he ca a e ed
ce a d f cha g a e . The a f Ne I c e f he e
cha ed a d ce a d f cha g ha e ed b 100 g e
he a e f e e e ded b ha e . Th e ca e he e
c e ece ab e e e .
Ne I c e
Ra e f I e e f Pe e a I c e= 100
Ma e Va e P ce
4.5.6 TERMINABLE INCOME
The ea e a e e e ca be e b ad d ded ca eg e .,
1. P e e ed g c e e e A d
2. P e e ed g c e f ed e d f e .e. e d g c e
h ch e a e af e ce a e d
F eeh d e e h-b d g ha g .e a ed f e fe f 60 ea
eaec de ed a e e ed g c e e e h e
ea eh d e e h h e e ed e d f ea e a e e e
e d g c e ece ab e f e ed e d f ea e, h ch e ae
e f ea e e d.
I he ca e f e e , c ef h ch ece ab e f a ed
e d, ece a e a de, f a a c e, ce a a
a g f d, e e ea , h ch acc a e, a ce a a e f c d
e e , ca a e ed cha g he e , a he e a f
e d, a ea e e d. The e a g a fa a c e af e e g
a de ch a f gf d c de ed a ee he ca a
e ed e ea he ca a . The a e f e e ea ed a
e ea ca a a Re e a e Ra e f e e a d
c e ae h he ec ffe ed b he e e . The a e f e e
a h ch he a fa a gf d e ed acc a e ca a
e ed, b he e d f he e d f h ch c e ece ab e, a
Acc a e Ra e. I ab e ece a , b ga , ha he a f
a a g f d, a c d e e , a he acc a e a e,
acc a e he ca a e ed b he e f e a f he e d f
h ch c e ece ab e. I e f ch b ga , he acc a e ae f
ee e ed be ch e ha he e ea e ae f ee
c e d g ec ffe ed b he e e . Ne A a I c ef
he e he ef e ca a ed a D a Ra e.
I he ca e f e e , c ef h ch c de ed be ece ab e
e e , acc a f ca a ece a . N a fa a
c e he ef e e ed be e a de a g f d. Ne A a
I c ef he e he ef e ca a ed a S g e Ra e ., a he
e ea e ae f ee .
4.5.7 ANALYSIS OF DATA
O ce c ec he f a a e ed ab e f he a ce f Sa e
a d Re a f Pe , he g e he e gh age each a ce f
Pe P he ba f he a ea, ca , eh c e c , fac e ded,
e e, dea e h f h ch c a , e a f he e e c. a d
b g a he a ce f Sa e a d Re a he a e a f f he
c a .
The fac ha , ca e f Pe P , d ff c ge he ff c e be
f a ce f Sa e a d Re a fc a ab e e .I ch a
a , he a e f e e e ded b he e ca be e a ed
he ba f
(a) A a f ae fc e c a e ab h e e h he a ea a d
(b) Ad he a e f e e e ded b h b
() C a gf c a c ef h h c ef c a f
e .
( )C a g h ec c d ce .
CHAPTER 5 DATA PRESENTATION & DATA ANALYSIS
OVERVIEW OF PETROL PUMP
Af e ee g a he g h f he e e d a dc e e d f he
e e d c , I a e a e e f he H d a Pe e e
h ch ca ed a Sa adha Cha Ra a, Ma R ad f Ah edabad, G a a ,
I d a.
FIG E1 I I H 1
Petrol Pump Name
OM PETROLEUM
GSTIN - 24AAACH1118B1ZI
Petrol Pump Location
O Pe e - HP S a. Nea Sa adha C R ad, Nea S da

T e , S a R ad, Gha d a, Ah edabad-380061.
Storage Capacit of Petrol Pump
Reg a Pe - 30000
P e Pe - 20000
D e e - 30000
Staff of Petrol Pump: 28
Regular Petrol Meters: 12 for Bike & Car
Power Petrol Meters: 2
Diesel Meters: 8
Dail Average Selling of Regular Petrol: 8500 Ltr.

Dail Average Selling of Power Petrol: 650 Ltr.
Dail Average Selling of Diesel: 6500 Ltr.
Dail Average Selling of Lubricant oil: 6.5 Ltr.
Average Dail Customers(24 Hrs): 4240 Customers
Position of Petrol Pump
P f h e Nea Sa adha C ad, h a ea 2

e a a ab e(A ea 10 2A .).
1) HP Pe e
2) Bha a Pe e
A d he d a ce be ee 2 e O 150 Me e .
L g de & La de f he HP Pe P - 23 03'48"N 72 31'55"E

L g de & La de f he Bha a Pe P - 23 03'44"N 72 31'51"E
FIG E2 A E I E IE
DATA ANALYSIS
YEAR: 2019
REPORT:2019
INCOME
Pe Sa e A
1) Reg a Pe 31,49,763.00 L @ 69.58/L = RS. 21,91,60,509.04
2) P e Pe 2,37,350.00 L @ 72.34/L = RS. 1,71,69,899.00
D e e Sa e A . 20,22,675 L @ 68.68/L . = RS. 13,89,17,319.00
Lea e e f a d ad b e c a . = RS. 4,00,000.00
P f ae f b ca = RS. 6,00,000.00
G I c e = RS 37,94,47,727.04
EXPENSES
C f Pe
1) Reg a Pe . 31,49,763.00 L @ 66.28/L = RS.20,87,66,291.64
2) P e Pe 2,37,350.00 L @ 69.04/L . = RS. 1,63,86,644.00
C fDe e 20,22,675 L @ 66.38/L . = RS. 13,42,65,166.50
S aff Sa a . = RS. 58,80,000.00
P e Ta e = RS. 1,69,000.00
E ec c a d Wa e Cha ge = RS. 3,60,000.00
Te e h e, P age, S a e = RS. 60,000.00
Ma e a ce E e e = RS. 1,20,000.00
I a ce P e = RS. 1,96,000.00
G E e e =. RS 36,61,73,102.14
Ne Ma a ab e P f = G I c e-G E e e
= 37,94,47,727.04 - 36,61,73,102.14
= 1,00,74,624.9 / Yea .
Ca a g a 6% Y e d, Va e f b e = 1,00,74,624.9*100/6
= RS 16,79,10,415.00
Purchase price for the outlet should not be more than Appro
RS.1679 Lacs.
Year 2018
REPORT:2018
INCOME
Pe Sa e A
1) Reg a Pe 30,72,567.00 L @ 74.38/L = RS. 22,85,37,533.46
2) P e Pe 1,94,036.00 L @ 77.14/L = RS. 1,49,67937.04
D e e Sa e A . 20,17147.00 L @ 71.95/L . = RS. 14,51,33,726.65.00
Lea e e f a d ad b e c a . = RS. 4,00,000.00
P f ae f b ca = RS. 5,00,000.00
G I c e = RS 38,95,39,197.19
EXPENSES
C f Pe
3) Reg a Pe . 30,72,567.00 L @ 71.08/L = RS.21,83,98,062.36
2) P e Pe 1,94,036.00 L @ 73.84/L . = RS. 1,43,27,618.24
C fDe e 20,17147.00 L @ 69.65/L . = RS. 14,04,94,288.55
S aff Sa a . = RS. 57,50,000.00
P e Ta e = RS. 1,69,000.00
E ec c a d Wa e Cha ge = RS. 3,60,000.00
Te e h e, P age, S a e = RS. 54,000.00
Ma e a ce E e e = RS. 1,20,000.00
I a ce P e = RS. 1,96,000.00
G E e e =. RS 37,98,68,969.15
Ne Ma a ab e P f = G I c e-G E e e
= 38,95,39,197.19 - 37,98,68,969.15
= 96,70,228.04 / Yea .
Ca a g a 6% Y e d, Va e f b e = 96,70,228.04*100/6
= RS 16,11,70,467.33
NOTES ON THE ASSUMPTIONS
1- He e a da a ge ea d da a a c ec F Pe P
O e.
2- A d a he I f a a c ec f a d he Pe P
S e .
CHAPTER 6 CONCLUSION
A S d g he g h a d e f Pe e d c a d c d c g da a
a a f he HP Pe P - SOLA, We de e a c c ha a g a
e f ab e a d ab e b e .A ca ge e a e a e
c e f a fe e. A d e e ea h b e g g.
Benefits:
1. O g Pe P a Pe fec P ace g e e g dI c e.
2. I g 24 7 a d Wh e ea ca g e c a I c e.
3. B e e ed a ec f c ed e .
4. Ea e B e .
5. E e ea b e g g beca e f a c he eh c e
be a c ea e.
CHAPTER 7 PHOTOGRAPH OF PETROL PUMP
FIG E3 I I H 2
FIG E4 I I H 3
FIG E5 I I H 4
FIG E6 I I H 5

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AL ATION ON PROJECT OF PETROL P MP B INCOME

KHYATI INSTITUTE OF VALUATION

Enrollment No. – 201815600013

Under the guidance of

KHYATI INSTITUTE OF VALUATION

Enrollment No. - 201815600013

Under the guidance of

This is to certify that Mr. MEET ASHOKBHAI SAVASANI has worked

Name & Signature of Guide Date of submission:

Name & Signature of Professor in Charge/ Director/Principal of the

Stamp of the Institute with date

I the undersigned Mr. MEET ASHOKBHAI SAVASANI here by, declare

College Seat No.Year :

Exam Seat No.Year :

Date Name & Signature:

1.1 THE MODERN OIL INDUSTRY

1.2 HISTORY OF OIL AND GAS INDUSTRY FROM 347 AD TO

1.2.1 HISTORY OF OIL AND GAS: FIRST DISCOVERIES

O a d ga had a ead bee ed e ca ac , ch a a a a

1.2.2 THE FIRST MODERN WELLS

The f e d ed a he f La B ea, T dad 1857. I a

1.2.3 BIG OIL

The M e beca e he f ag h e e f She T a a d T ad g, h ch

1.2.4 THE MODERN ERA

T da , OPEC ha 15 e be c e , acc gf a a e 44% f

I d a had 4.5 h a d ba e f e e e e a he e d f 2018

The ad f be a a a d a a J 1991 cha ged he

The f e g ade e e a d e e d c he ece a ha e

The e e d ha c b ed hea he a fac g d

2.1 GROWTH AND EVOLUTION OF PETROLEUM INDUSTRY IN

Domestic crude oil production [million tpa]

Products from indigenous crude

Indigenous crude processing

Products from fractionates

Total indigenous production

2.2 DEMAND DETERMINATION OF THE INDUSTRY

2.3 DEMAND DETERMINATION FACTORS

The De a d de e a fac a e ba ed a a ache . Top-

2.4 MARKETING & DISTRIBUTION OF PETROLEUM

2.5 RETAIL OUTLETS IN INDIA

The be f e a e (RO ) I d a ha c ea ed f 31,650 A

2.6 KEY ISSUES AND CURRENT TRENDS

2.6.1 ISSUES IN PETROLEUM INDUSTRIES

2.6.2 PROBLEMS FACED BY THE INDIA PETROCHEMICAL

The a fac g e da ed f a f ech g a dae

2.7 CURRENT TRENDS IN PETROLEUM INDUSTRY

3.1 EARLY HISTORY

The ea e e e e d ed Ch a AD 347 ea e . The had

O a d ee ed f 1745 Me e -Peche b , A ace de he

3.2 MODERN HISTORY

Th ef e b a ed, he ba fac ac c c ded Oc be 1856

B 1910, g f ca f e d had bee d c e ed he D ch Ea I d e

A a ab f a d acce , beca e f "ca d a a ce" a

3.3 INDIA HAS EMERGED AS REFINARY HUB

I d a' c e ef g ca ac a d a 249 MMTPA, c g f 23

3.4 PLAYERS IN THE INDUSTRY

Indian Oil Corporation Ltd (IOCL):-

The IOCL c e he h e h d ca b a e cha f , e e

Bharat Petroleum Corp. Ltd (BPCL):-

Hindustan Petroleum Corp. Ltd (HPCL):-

3.5 DISTRIBUTION CHANNEL OF THE INDUSTRY

The a e f he d b cha e h de a d a g ace

3.6 USING TECHNOLOGY TO BOOST PRODUCTIVITY