Fueling up with oil has become a daily necessity for people who own motor vehicles. This makes Gas Stations (SPBU) always bustling with consumers. One of the popular and never-empty SPBUs is Pertamina.
This makes owning a Pertamina franchise a method of generating additional income, especially if you're tired of the booming F&B business ideas.
1. About Pertamina
Before delving into Pertamina franchise and its benefits, it's good to have a basic understanding of Pertamina, including its vision & mission, and logo meaning:
1.1 Brief History of Pertamina
On December 10, 1957, PT Perusahaan Minyak Nasional (PERMINA) changed its name to Pertamina, a moment commemorated as Pertamina's birth. In 1960, PERMINA's status changed to a State Company (PN) Permina, and later merged with PN Pertamin on August 20, 1968, forming PN Pertambangan Minyak dan Gas Bumi Negara (Pertamina).
In 1971, through Law No. 8, the government designated Pertamina's role in oil and gas processing and fuel supply in Indonesia. Subsequently, Law No. 22 of 2001 changed Pertamina's position, directing the implementation of Public Service Obligation (PSO) through business activities.
On June 18, 2003, through Government Regulation No. 31, Pertamina transformed into PT Pertamina (Persero) with oil and gas business activities from Upstream to Downstream sectors. On December 10, 2005, Pertamina's seahorse emblem was replaced by a green, blue, and red arrow, reflecting dynamism and environmental concern.
On July 20, 2006, PT Pertamina (Persero) underwent fundamental transformation, changing its vision to "World-Class National Oil Company" on December 10, 2007. In 2011, the vision was updated to "World-Class National Energy Company." Changes to the articles of association and board composition were approved on December 14, 2015, and November 24, 2016, respectively.
In 2018, PT Perusahaan Gas Negara (PGN) became Pertamina's Gas Sub Holding, as part of the state-owned gas business consolidation. On June 12, 2020, Pertamina was inaugurated as a Holding Company in the energy sector, overseeing six Sub Holdings focusing on various energy sectors.
1.2 Vision, Mission & Core Values
Like other businesses, Pertamina has a vision and mission. Its vision and mission are as follows:
Vision: To become a world-class national energy company
Mission:
To conduct integrated oil, gas, and new and renewable energy business, based on strong commercial principles
In addition, Pertamina has core values known as AKHLAK, which stands for:
- Trustworthy: Upholding the trust given
- Collaborative: Building synergistic cooperation
- Harmonious: Caring and respecting differences
- Loyal: Dedicated and prioritizing the nation's interests
- Adaptive: Continuously innovating and enthusiastic about driving or facing change
- Competent: Continuously learning & developing capabilities
1.3 Logo Meaning
Image Source: Pertamina Official Website
Pertamina's logo has the following meanings:
Based on colors:
- Blue reflects reliability, trust, and responsibility.
- Green reflects environmental awareness in energy resources.
- Red reflects tenacity, firmness, and courage in facing challenges.
Based on graphic symbols:
The arrow symbol reflects Pertamina's determination to continue to grow, advance, and be progressive, also creating the letter "P" which is the initials of Pertamina. The three colored elements symbolize islands of various scales, representing the geographical shape of the Indonesian archipelago.
2. Benefits of Pertamina Franchise
A Pertamina franchise can be a means for you to increase income. There are several advantages if you decide to franchise with Pertamina. The benefits are as follows:
2.1 Stable Fuel Availability
Pertamina will continuously ensure the availability of fuel for your Pertamina franchise. Thus, the fuel that becomes your product will always be in stock if it runs out. This is important for sustaining your business. With constantly available fuel, there will always be customers refueling at your gas station.
2.2 Operational System with Standards
Purchasing a Pertamina franchise is akin to buying access to an operational system that already has standards and has been tested. This makes it easier for you to manage the business and reduces risks.
2.3 Role in National Energy Provision
By becoming a Pertamina franchise partner, you also participate in supporting the national energy provision, a crucial component of the country's infrastructure. Through membership in the Pertamina franchise network, you contribute to the effort of fulfilling energy needs across the country, playing a significant role in supporting the growth and stability of the country's energy infrastructure.
2.4 Promising Revenue Potential
Consumer demand for fuel tends to be stable, even steadily increasing. This is based on the growth of the number of vehicles every month and year. Many people aspire to own vehicles, saving up until they finally buy motor vehicles. This makes Pertamina franchises have stable and promising income.
2.5 Strong Brand Reputation
Pertamina has been a leading oil and gas company in Indonesia for years. This gives Pertamina a strong reputation in Indonesia. By opening a Pertamina franchise, you will run a business that is already well-known and trusted by the public. People will immediately visit your gas station if it's near their location and they need to refuel.
2.6 Full Support from Pertamina
As someone opening a Pertamina franchise, you will undoubtedly receive a lot of support from Pertamina. This includes training and guidance to run the Pertamina business. With support from Pertamina, you can ensure smooth operations.
Also Read: 7 Best Selling Non-Food Franchise Business Ideas in 2023
3. Pertamina Franchise Requirements
To open a Pertamina franchise, there are several requirements and documents that must be met. This is to minimize the risks of Pertamina gas station business:
3.1 General Requirements
- Be an Indonesian citizen (WNI) with original ID card,
- Have a business entity such as cooperatives, CV, PT, UD, and others,
- Have a company tax ID (NPWP),
- Have a personal tax ID (NPWP),
- Have a legally registered company deed,
- Have a bank account,
- Have a dispute-free land certificate for building the gas station.
3.2 Infrastructure Requirements
- Provide waste disposal installations,
- Provide fire extinguishers,
- Provide environmental protection facilities,
- Provide warning signs,
- Provide lighting to facilitate operations,
- Install fences for security.
3.3 Location Criteria
To apply for a Pertamina franchise, you must provide a building with an adequate location. Here are the location criteria that can accommodate a Pertamina franchise:
- Providing waste disposal facilities
- Providing fire extinguishing equipment
- Providing environmental protection facilities
- Providing warning signs
- Providing lighting for operational ease
- Installing security fencing
Additionally, there are requirements related to the minimum land area tailored to the location intended for the establishment of a Pertamina franchise.
For example, if the land to be used for building an SPBU is located on a main road and falls into category type A, then the minimum required area is 1800 square meters. Besides type A, there are also types B and C, each with different minimum areas, front widths, side widths, and estimated sales volumes. Here are the detailed requirements:
- Minimum land area is 1800 m2 for Type A and 1500 m2 for Types B and C.
- Minimum front width of the land is 20 meters, applicable to Types A, B, and C.
- Minimum side width is 90 meters for Type A, 75 meters for Type B, and 65 meters for Type C.
- Estimated sales volume is >35 kL (kiloliters) for Type A, >25 kL and <= 35 kL for Type B, and >20 kL and <=25 kL for Type C.
This indicates that each type has specific criteria to be met according to the classification and desired sales volume.
4. Pertamina Franchise Costs
To obtain the Pertamina franchise rights, here are the cost details based on the package types you can choose according to the desired franchise type:
Also Read: 10 Easy and Profitable FnB Franchise Business Ideas
4.1 Pertamina Mini/Modular SPBU
With a minimum land area requirement of around 600 square meters, you can choose this package with Pertamina franchise costs ranging from Rp 250 to Rp 500 million. By selecting this package, you have the opportunity to become a Pertamina partner on a smaller scale while still providing access to superior fuel products and services.
4.2 Regular Pertamina SPBU
For those with a minimum land area of around 1500 square meters, you can choose the Regular Pertamina franchise package with costs ranging from Rp 5 to Rp 8 billion. By choosing this option, you can become a Pertamina partner on a larger scale, offering various superior fuel products and services in a wider area, enhancing potential service to the community. Additionally, these costs include the benefit of being part of the Pertamina network, which is well-established and widely known throughout Indonesia.
4.3 Mini SPBU
For the Mini SPBU option, the required Pertamina franchise fee is Rp 75 million. With this more affordable investment, you have the opportunity to become a Pertamina partner on a smaller scale while still providing access to quality fuel products and services. Therefore, the Mini SPBU option can be an attractive choice for those looking to enter this industry with a more affordable initial investment.
For further information and details, you can inquire with Pertamina.
5. How to Register and Recoup Pertamina Franchise Investment
If you are still interested in obtaining a Pertamina franchise, here are the steps to join and become a Pertamina franchise partner:
5.1 Registering for Pertamina Franchise
- Fill in Data on the Official Pertamina Platform
The first step is to fill in data on the official Pertamina platform accessible through their website. You will be asked to provide information such as your email address for the Pertamina franchise registration account. Next, select a partner location, log in to your account, and complete the form with personal and company data. Also, fill in the form related to your franchise plan. Choose the form of cooperation with Pertamina and provide detailed information about the location where the franchise will be established. Include detailed information about the building, supporting facilities, and facilities that will be provided. Don't forget to include details of annual SPBU expenditure.
- Data Verification
After completing the data, the next step is to undergo data verification. This stage includes evaluating financial aspects that will be assessed based on the financial management capabilities of prospective partners. Additionally, there is a verification stage for information related to the proposed land, which will be assessed based on the feasibility of the proposed land.
- Further Verification
If you successfully pass the data verification stage, the next step is further verification. Pertamina will visit the proposed location to assess the suitability between the previously submitted data and the actual conditions in the field.
5.2 How Long to Recoup Pertamina Franchise Investment?
Pertamina franchise businesses are believed to have very promising prospects in the market, especially as there is always a demand for oil fuel (BBM) along with the increasing number of vehicles. This opportunity is increasing, especially during holiday periods such as the Eid al-Fitr homecoming and return flow, where the presence of Gas Stations (SPBUs) is increasingly sought after by the public. Here are the estimated profit potentials and payback periods that you can achieve through partnership with Pertamina:
- Subsidized Fuel
By becoming a Pertamina franchise partner, you can earn a profit of Rp 280 per liter from subsidized BBM sales. This potential can contribute positively to the income of Pertamina franchise partners.
- Non-Subsidized Fuel
For non-subsidized BBM, franchise partners can earn profits ranging from Rp 375 to Rp 420 per liter. This creates greater opportunities to maximize income and accelerate profit achievement.
With the capital you have invested, the estimated payback period for SPBU investments can be achieved within a range of around Rp 8 to Rp 10 billion per year. This indicates the potential success of Pertamina franchise businesses in generating significant profits and providing long-term benefits to Pertamina franchise partners
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