Complete Fuel Stations Guide 2025: Categories, Permits, Requirements, Qualification, and Approved Companies in Saudi Arabia

Introduction: The Fuel Station Sector in the Kingdom

The fuel station sector is one of the most vital sectors in the Kingdom of Saudi Arabia, with more than 10,000 fuel stations spread throughout the Kingdom, serving millions of citizens, residents, and visitors daily. With Vision 2030, this sector has witnessed tremendous development and strict organization aimed at raising service quality and achieving the highest standards of safety and sustainability.

Whether you are an investor thinking about establishing a fuel station, an owner of an existing station seeking to qualify it, or even a citizen wanting to understand how this important sector works, this guide will take you on a comprehensive journey from A to Z. We will cover everything you need to know: the different station categories, areas and requirements, licensing and qualification procedures, safety standards, and approved operating companies.

First: Classification of Fuel Stations in Saudi Arabia

The Ministry of Municipal and Rural Affairs, in cooperation with the Ministry of Energy, has classified fuel stations into four main categories, according to the station's location and the nature of services it provides. Understanding this classification is essential for anyone who wants to enter this sector or understand its workings.

Category (A): Regional Highway Stations

These are stations located outside the urban boundary on main and secondary regional highways. These stations are considered the largest in size and most comprehensive in services, and are divided into two sections:

Category (A.1): Located on main and secondary regional highways according to the Ministry of Transport and Logistics Services classification. Category (A.2): Located on branch regional highways. These stations serve long-distance travelers, so they are required to provide integrated services including: a mosque with an area of no less than 200 square meters, separate restrooms for men and women, rest areas and restaurants, car maintenance services, and retail shops.

Category (B): Stations Inside Cities

These are stations located within the urban boundary (cities and villages). These stations provide fuel in addition to some basic and optional services. The minimum area is 500 square meters, and they must be located on a commercial street with a width of no less than 30 meters. Their services usually include: a prayer room with an area of at least 20 square meters, restrooms, a mini-market or convenience store, and may include car wash services.

Category (C): Compact Stations

These are compact fuel stations that contain the fuel tank with the pump and necessary equipment surrounded by a metal structure. The minimum area is 400 square meters. They provide limited optional services within the structure itself. What applies to Category (A) locations outside the urban boundary applies to them, and what applies to Category (B) applies to them inside the urban boundary.

Category (D): Mobile Stations

These are mobile fuel stations, consisting of a tank and fuel pump mounted on a mobile truck. They are used to meet temporary needs or serve remote areas that fixed stations do not reach. They have no specified area, but their parking must be only within approved distribution centers.

Second: Area and Location Requirements

The competent authorities have set precise requirements for areas and distances to ensure optimal distribution of fuel stations and achieve public safety.

Required Areas for Each Category

Category (A) stations on regional highways: The area is not specified with a minimum, but it is usually large to accommodate all required services. Category (B) stations inside cities: Minimum 500 square meters. Category (C) compact stations: Minimum 400 square meters. Category (D) mobile stations: No fixed area required.

Distances Between Stations

Outside the urban boundary (Category A): The distance between a station and the next one in the same direction must not be less than 20 kilometers and not exceed 60 kilometers. This ensures availability of stations for travelers without unjustified congestion. Inside the urban boundary (Category B): The distance between a station and the next one must not be less than 1 kilometer in the same direction or in the opposite direction.

Distances from Buildings and Facilities

The requirements specify precise safety distances between fuel tanks and neighboring buildings: The distance between an above-ground fuel tank and administrative, commercial, and industrial buildings must not be less than 30 meters. The distance between the fuel tank and schools, hospitals, and wedding halls must not be less than 60 meters. These distances are exempted if the tank is buried below ground level. The distance between fuel stations and outdoor shooting ranges must not be less than 5 kilometers. The distance between the station and indoor shooting ranges must not be less than 2 kilometers. The distance between gasoline tanks and public water tanks must not be less than 150 meters.

Location Requirements for Stations Inside Cities

The station must be located on a commercial street with a width of no less than 30 meters. The distance between the station's entrance or exit and intersections must not be less than 700 meters. Having more than one entrance and exit on the main road is prohibited. The station's entrances and exits must be adequately lit.

Third: Licensing and Qualification Procedures

To obtain a license to establish and operate a fuel station, there is a clear path to follow. The process goes through several stages and requires dealing with multiple authorities.

Competent Authorities

Ministry of Municipal and Rural Affairs: The main authority responsible for issuing construction and operating licenses. Ministry of Energy: Supervises technical requirements related to fuel and tanks. Permanent Executive Committee for Service Centers and Fuel Stations: Supervises the qualification program and updates requirements. Civil Defense: Issues safety certificates and approves firefighting systems. Ministry of Transport and Logistics Services: For approval of locations on regional highways.

Steps to Obtain a Fuel Station License

The first step is choosing the appropriate location and ensuring it complies with spatial requirements. Then submit the licensing application through the Balady electronic platform with the required documents attached. After that, engineering designs are prepared by an accredited consulting office according to the Saudi Building Code. Then obtain approvals from relevant authorities (Civil Defense, Ministry of Transport if on a regional highway). Finally, obtain the construction license then the operating license after construction is complete.

Required Documents

Copy of land ownership deed or lease contract. Commercial registration of the establishment. Approved engineering designs. Civil Defense certificate. Ministry of Transport approval (for regional highways). Economic feasibility study. Organizational structure of the establishment.

Fourth: Establishment Qualification Program

Based on Cabinet Resolution No. (541) of 1442 AH, the establishment qualification program for managing and operating fuel stations was launched. This program aims to raise service quality and eliminate commercial concealment in the sector.

What is Qualification?

Qualification is an official certificate that proves the establishment's efficiency and ability to manage, operate, and maintain fuel stations and service centers according to approved standards. It is no longer permissible to operate stations individually without this certificate, especially on highways.

Types of Qualification Certificates

Temporary Qualification Certificate: Valid for 12 calendar months, and only authorizes the establishment for one location only, and it is not entitled to the benefits of final qualification. Final Qualification Certificate: Valid for 24 calendar months (two years), and grants the establishment all benefits including the approved profit margin.

The 13 Reports Required for Qualification

The Ministry of Municipal and Rural Affairs has specified 13 basic reports that must be submitted within the qualification file: Economic feasibility study report including future plan. Organizational structure, responsibilities, and job description report. Qualifications specification report for each position. Training and development plan report. Quality management system report. Human resources and financial planning report. Performance evaluation system report. Procurement and inventory management system report. Preventive and corrective maintenance plan report. Occupational safety and health system report. Emergency plan report. Environmental management system report. Customer service plan report.

Qualification Standards

Qualification standards are divided into two main sections: Establishment profile standards including establishment information, geographical coverage, and customer service. Technical standards including safety and health standards, operation and maintenance, environment and sustainability, and customer service. Technical standards are divided into mandatory ones that must be complied with, and flexible ones whose application leads to increased qualification chances.

Fifth: Safety and Security Requirements

Safety is the top priority in fuel stations due to the nature of the materials handled. The competent authorities have set strict requirements that must be adhered to.

Fuel Tank Requirements

Fuel tanks must be designed inside sealed concrete rooms. The distance between the buried tank and the nearest wall of the tank room must not be less than 1.5 meters. The distance between fuel tank openings and flame sources must not be less than 6 meters. Materials used in tank construction must be corrosion-resistant and unaffected by petroleum materials. Leak detection and fuel level monitoring systems must be installed.

Pump Requirements

Emergency disconnect switches must be provided at a distance of no less than 6 meters and no more than 30 meters from fuel dispensing devices. Clear signs must be placed stating "EMERGENCY FUEL SHUTOFF." The distance between diesel pumps must not be less than 12 square meters.

Firefighting Requirements

The station must be equipped with a Civil Defense-approved firefighting system. Sufficient fire extinguishers must be provided and distributed strategically. Saudi Fire Protection Code (SBC-801) requirements must be met. All electrical materials inside the hazardous area must be explosion-proof.

Operating Requirements

During fuel tanker unloading, the station's entrance and exit must be closed and all activities stopped. No vehicle is allowed to move in the station while the tanker is unloading its cargo into the station's tanks. Clear warning signs must be placed during the unloading process. Smoking and mobile phone use in refueling areas is prohibited.

Sixth: Architectural and Construction Requirements

The requirements ensure that fuel stations have a unified and distinctive architectural character that reflects the Kingdom's identity and achieves user comfort.

General Station Appearance

Unified general architectural style across all station facilities. Coordinated buildings in terms of exterior finishing and architectural elements. Consideration of the area's urban code. Landscaping and green spaces around the site. Separation of traffic flow for different vehicles within the station.

Materials and Construction

Saudi Building Code application on all buildings. Designs approved by consulting offices accredited by the Ministry of Municipal Affairs. Use of fire-resistant materials. Separating walls between service centers must not be less than 20 cm thick. Facades must be clad with smooth materials that do not absorb oils and grease and are easy to clean, such as marble or high-quality ceramics. Protection of buried fuel tank ceilings from heavy weight effects.

Basic Facilities

Mosque or prayer room according to station category: 200 square meters for regional highways, 20 square meters for stations inside cities. Separate restrooms for men and women equipped with drinking water source. Restroom area not less than 1.5 square meters and sinks 0.90 square meters. Car wash areas not less than 30 square meters. Adequate parking spaces for all categories.

Signs and Directions

Illuminated electronic board at the station entrance showing officially announced fuel prices. Electronic directional sign at least 1 kilometer before the station showing its status, available services, and types of gasoline. Displayed prices must include VAT and match official prices.

Seventh: Approved Companies for Operating Fuel Stations

The number of qualified companies to manage, operate, and maintain fuel stations on regional highways in Saudi Arabia is 18 approved companies. These companies have obtained qualification certificates after meeting all required standards.

List of Approved Companies

Saudi Automotive Services and Equipment Company (SASCO): One of the largest and oldest companies, owning a wide network of stations throughout the Kingdom. Petromin: A leading company in petroleum products distribution and transportation solutions, with presence in more than 40 countries. Saudi Aramco Retail (Retailco): In partnership with French TotalEnergies, entered the retail market in 2019 with an investment of 3.75 billion riyals. Emirates National Oil Company (ENOC): Owns the largest fuel station in Saudi Arabia on Al-Kharj Road with an area of 16,000 square meters. Al-Drees Petroleum Services and Transport: The largest company in terms of number of stations with more than 1,200 stations and a market share of 16%.

The list also includes: Al-Tashilat Marketing, Neft Limited Oil Services, Oman Oil Marketing, Orange Fuel Station Development, Khidma Limited Fuel Service, Fuelway Integrated Fuel, United Excellence (7plus), Al-Khunaini Petroleum Services, Petrolat, Al-Atouz Petroleum Services, ADNOC International Distribution, Wafi Energy, Liter Trading, and Petroly Petroleum Services and Transport.

Benefits of Contracting with a Qualified Company

If you own a fuel station and do not want to operate it yourself, you can contract with one of the qualified companies. Benefits include: Automatic compliance with all requirements. Provision of trained administrative and technical staff. Ready quality control systems. Training workers to the highest standards. Providing job opportunities for Saudis. Freedom from daily management burden.

Market Shares

Five major companies control about 31% of the fuel station market in Saudi Arabia. Al-Drees leads with 16.2%, followed by SASCO with 8.3%, then G-Oil, Mazaya, and Aramco. The rest of the market (about 69%) is distributed among smaller companies and individual stations, noting the decline in individual station share from 90% in 2017 to less than 70% currently.

Eighth: Required and Optional Services

Required services vary according to the station's category and location. Here is the detail:

Basic Mandatory Services

All stations must provide: Fuel pumps of all types (91 gasoline, 95 gasoline, diesel). Clear electronic price displays matching official prices. Clean and maintained restrooms. Adequate lighting for the station, entrances, and exits. Electronic payment system (Mada, Visa, Mastercard). Safety and firefighting equipment.

Basic Services for Regional Highway Stations (Category A)

A mosque with an area of no less than 200 square meters equipped with appropriate furniture according to Ministry of Islamic Affairs requirements. Rest areas for travelers. Restaurant or cafeteria. Convenience store or mini-market. Basic car maintenance services. Free water and air for cars.

Optional Services

Manual or automatic car wash. Oil and filter change. Tire repair and balancing. Coffee shops and fast food restaurants. Pharmacy. Hotel or furnished apartments (on regional highways). Electric vehicle charging. ATM machines.

Additional Service Regulations

Commercial service buildings (mini-market, restaurant, pharmacy) must be separated from car maintenance buildings. Flames are allowed in restaurants and coffee shops provided they are at least 6 meters away from fuel pumps. Using public sidewalks or setback areas for displaying products or outdoor seating is not allowed except with special permission.

Ninth: Penalties and Violations

The competent authorities have set strict penalties for violating stations to ensure compliance with requirements and consumer protection.

Types of Violations

Operating a fuel station without a valid license. Operating a station without a qualification certificate for the operating establishment. Non-compliance with safety and firefighting requirements. Fraud in fuel quality or quantities sold. Not displaying prices clearly or manipulating them. Neglecting cleanliness and maintenance. Not providing basic services required for the category.

Penalties

Warning for minor violations. Financial fines varying according to violation type and repetition. Temporary suspension of operating license. Permanent cancellation of operating license for serious violations. Suspension of qualification certificate for the operating establishment. Referral to judicial authorities in cases of fraud and forgery.

Cases of Qualification Certificate Suspension

Qualification is suspended in the following cases: Operating a station with an expired license. Non-compliance with the schedule for implementing the establishment's identity at all its locations. Non-compliance with the agreed expansion plan on regional highways. Violation of the petroleum products trading system and its executive regulations.

Tenth: Steps to Open a Fuel Station from A to Z

If you are thinking about investing in the fuel station sector, here are the detailed steps:

Phase One: Planning and Study

Conduct a comprehensive economic feasibility study for the project. Identify the appropriate location and ensure compliance with spatial requirements. Determine the station category to be established based on location. Ensure availability of infrastructure (electricity, water, sewage). Study competition and existing stations in the area.

Phase Two: Official Procedures

Register an establishment with the Ministry of Commerce and obtain a commercial registration. Submit licensing application through the Balady electronic platform. Obtain Ministry of Transport approval (for regional highways). Obtain Ministry of Environment approval (if the location is on agricultural land). Prepare engineering designs from an accredited consulting office. Obtain Civil Defense approval for safety designs. Issue construction license.

Phase Three: Implementation

Contract with an accredited contractor for implementation. Implementation supervision from an accredited engineering office. Install fuel tanks and pumps according to specifications. Implement safety and firefighting systems. Prepare facilities (mosque, restrooms, retail shops).

Phase Four: Operation

Obtain construction completion certificate. Obtain final Civil Defense approval. Issue operating license from the municipality. Contract with a qualified company for operation or obtain a qualification certificate for your establishment. Contract with an approved fuel distributor. Recruit and train workers. Open the station and start operation.

Frequently Asked Questions

How much does it cost to establish a fuel station in Saudi Arabia?

The cost varies significantly depending on location, area, and services provided. Costs range from 2-5 million riyals for small stations inside cities, and may reach 15-30 million riyals for large stations on regional highways with full services.

Can a fuel station be operated without a qualification certificate?

No, it is currently required that all fuel stations be operated by qualified establishments holding a qualification certificate, especially stations on regional highways.

What is the validity period of a fuel station operating license?

The period varies according to license type, usually one to three years renewable. The license must be renewed before expiration to avoid fines.

Can foreigners own fuel stations in Saudi Arabia?

Yes, foreign investors can enter this sector according to foreign investment regulations in the Kingdom, and partnership with qualified Saudi companies is preferred.

What is the required distance between two stations inside the city?

Not less than 1 kilometer between a station and the next one in the same direction or in the opposite direction.

Are mobile fuel stations allowed?

Yes, they are Category (D) in the classification, subject to special requirements, and their parking must be in approved distribution centers.

What authority is responsible for complaints about fuel stations?

You can submit complaints through: Balady app or call 940. Ministry of Commerce for commercial complaints. Consumer Protection Authority.

Conclusion

The fuel station sector in the Kingdom of Saudi Arabia is witnessing significant development and continuous growth, with clear requirements and tight organization aimed at raising service quality and achieving the highest standards of safety. Whether you are an ambitious investor or an owner of an existing station, understanding these requirements and complying with them is the key to success in this vital sector.

Remember that qualification is not just a formality, but an investment in your project's future and a guarantee of your customers' trust. Qualified stations today have become synonymous with quality and reliability, and are appreciated by users who seek safe and comfortable places to refuel.

Share this guide with everyone interested in the fuel station sector. Knowledge is the foundation of success, and compliance with requirements is your path to excellence in this promising market.