Guide to an LPG Refueling Station License

The procedure for an LPG refueling station license is a legal process that requires traders to comply strictly with regulations for conditional business lines. This activity directly relates to fire and explosion safety and energy security, and is therefore tightly regulated by law. This Long Phan Consulting article analyzes the current legal provisions on the conditions, dossier, and implementation process.

Conditions for an LPG Refueling Station License

The operation of an LPG refueling station for vehicles is classified as a conditional business line, requiring traders to meet strict standards before licensing. These conditions ensure not only legal status but also focus on physical facilities, technical standards, and especially fire prevention and fighting safety.

Based on Article 11 of Decree No. 87/2018/ND-CP, the core conditions to obtain an LPG refueling station license include:

• Legal Status: The station must be owned by a trader legally established under Vietnamese law. This means the enterprise, cooperative, or business household must have a valid Business Registration Certificate that clearly states the business line of trading liquefied petroleum gas.
• Construction Investment Approval: The LPG refueling station construction project must have its investment plan approved and a construction permit issued by the competent state authority. Relevant legal documents include the investment policy decision, a land use rights certificate or a legal land lease contract, and the construction permit.
• Fire Prevention and Fighting (FPF) Safety: This is the most critical prerequisite. The trader must possess complete documentation proving FPF compliance, including a design appraisal document and an acceptance document on fire prevention and fighting, both issued by the competent Fire Police Department. Additionally, the facility must be fully equipped with on-site FPF equipment, develop an emergency response plan, and have personnel trained in FPF operations as per Article 47 of Decree 87/2018/ND-CP. Specialized safety regulations in Article 51 of Decree 87/2018/ND-CP must also be followed, such as installing breakaway couplings between the dispenser and hose, maintaining minimum safety distances from storage tanks to the perimeter fence, and implementing a grounding system.

Competent Authority for an LPG Refueling Station License

Pursuant to Article 44 of Decree 87/2018/ND-CP, the authority to issue the Certificate of Eligibility is determined by the type and scale of the gas business.

For the procedure to obtain an LPG refueling station license, the sole competent authority is the provincial-level Department of Industry and Trade where the station is located. Specifically, Clause 2, Article 44 stipulates that the Department of Industry and Trade has the authority to issue Certificates of Eligibility for business types listed in Clauses 2, 6, 7, and 8 of Article 36, which includes the “Certificate of Eligibility for LPG/LNG/CNG refueling stations for vehicles.”

The authority hierarchy is structured as follows:

• Ministry of Industry and Trade: Responsible for licensing large-scale operations with international elements, such as LPG/LNG/CNG exporters and importers, and manufacturers of LPG cylinders.
• Department of Industry and Trade: Manages provincial-level gas trading, distribution, and filling activities, including gas trading merchants, cylinder filling stations, tank truck filling stations, and vehicle refueling stations.
• District-level People’s Committee: Responsible for licensing small-scale businesses that sell directly to consumers, specifically retail stores for LPG cylinders.

Therefore, when initiating the procedure for an LPG refueling station license, you must prepare and submit the dossier directly to the local Department of Industry and Trade.

Procedure for an LPG Refueling Station License

The licensing procedure is a strictly regulated administrative process regarding the dossier composition and implementation steps. The entire sequence is detailed in Articles 40 and 43 of Decree 87/2018/ND-CP.

Required Dossier

According to Article 40 of Decree 87/2018/ND-CP, the application dossier for an LPG refueling station license includes the following documents:

• An application form for the Certificate of Eligibility, using Form No. 07 from the Appendix of Decree 87/2018/ND-CP.
• A copy of the Business Registration Certificate for the enterprise/cooperative/business household.
• Documents proving the station’s construction investment was approved by a competent authority. This may include the Investment Policy Decision, Investment Registration Certificate, Construction Permit, or equivalent legal documents.
• Documents proving compliance with fire prevention and fighting conditions. This may include: the FPF design appraisal document; the FPF acceptance document for the station issued by the competent Fire Police Department; and records of periodic FPF safety inspections (if any).

Licensing Process

After completing the dossier, the licensing process follows the steps specified in Article 43 of Decree 87/2018/ND-CP:

Step 1: Dossier Submission The trader submits one set of the prepared dossier to the Department of Industry and Trade. Submission can be done in person, by post, or online via the provincial Public Service Portal.

Step 2: Dossier Appraisal The Department of Industry and Trade receives and reviews the dossier for completeness and validity. If the dossier is incomplete or invalid, the authority will issue a written notice specifying the required additions.

Step 3: Issuance of Certificate Within 15 working days of receiving a complete and valid dossier, the Department of Industry and Trade is responsible for appraisal and decision-making.

• If the dossier meets all conditions, the Director of the Department will issue the LPG refueling station license.
• In case of refusal, the Department must provide a written response stating the reasons.
• The Certificate is valid for 10 years from the date of issuance.

Step 4: Fee Payment During the submission process, the trader must pay the business condition appraisal fee as prescribed by current laws on fees and charges.

>>> See more at:

• Adjusting the LPG Refueling Station License
• Reissuing LPG Refueling Station Certificate Guide

LPG Refueling Station License Services by Long Phan Consulting

The procedure for an LPG refueling station license requires in-depth knowledge of business law, land law, construction regulations, and particularly FPF technical safety standards. Using a professional legal service is an optimal solution to ensure the process is accurate, swift, and compliant. At Long Phan Consulting, we provide comprehensive services to support businesses from the initial stage until the license is obtained.

Our team of expert consultants will perform the following tasks on your behalf:

• Provide comprehensive advice on licensing conditions, technical regulations, and FPF safety standards for an LPG station.
• Review and assess the legality of the client’s existing documents; advise on solutions to meet any outstanding conditions.
• Draft and standardize the entire application dossier according to current regulations.
• Act as your authorized representative to submit the dossier to the Department of Industry and Trade and handle related financial obligations.
• Proactively monitor and update you on the dossier’s processing status.
• Represent you in working with and providing explanations to specialists at the Department of Industry and Trade and other relevant agencies.
• Receive the final Certificate of Eligibility and deliver it directly to you.
• Advise on post-licensing legal obligations to maintain lawful and safe business operations.

Frequently Asked Questions about the LPG Refueling Station License

After receiving the Certificate of Eligibility, are we required to submit periodic reports?

Yes. Regulations require traders to submit periodic annual or ad-hoc reports on their gas business activities to the Department of Industry and Trade. This allows the state management agency to monitor the maintenance of business and safety conditions.

How is the Certificate of Eligibility renewed when it is about to expire?

The trader must prepare a renewal application dossier and submit it to the Department of Industry and Trade at least 30 working days before the current license expires. The renewal dossier is similar to the initial one, accompanied by a report on business performance during the license’s validity period.

If we change the business name or legal representative, do we need a new license?

If only the business registration information changes (name, head office address, legal representative) without altering the location and business scope of the station, the trader must apply for an adjustment to the Certificate. This dossier is simpler than a new application.

Do station operators need any special professional certificates besides FPF certification?

Yes. In addition to FPF training, managers, technical staff, and operators at the station must be trained in technical safety according to the Circular from the Ministry of Industry and Trade guiding safety management in the gas sector.

What is the appraisal fee for the license, and where is it regulated?

The business condition appraisal fee is stipulated in Circulars from the Ministry of Finance on fees and charges. This fee may change over time and is publicly listed at the licensing authority.

What are the legal consequences of operating an LPG station without a Certificate of Eligibility?

Operating an LPG refueling station without an LPG refueling station license is a serious legal violation. The business can face a substantial administrative fine and be forced to suspend operations until a valid license is obtained.

Conclusion

The procedure for an LPG refueling station license is a complex process demanding a deep understanding of multiple legal fields and technical standards. Inadequate preparation can lead to legal risks and business delays. To ensure a smooth, compliant, and efficient process, contact the expert team at Long Phan Consulting via our Hotline at 1900636389 for the most professional support.