Petroleum and Biodiesel Blends Licences

What is it?

The Petroleum and Biodiesel Blends Licence allows approved companies to manufacture dutiable petroleum products and biodiesel blends. It also allows the storage of dutiable and non-dutiable petroleum products, and biodiesel blends in a designated area licensed by Singapore Customs, with the duty and/or Goods and Services Tax (GST) suspended. This designated area is termed as licensed premises.

There are 3 types of Petroleum and Biodiesel Blends Licences:

• Oil Refinery

For the refining and production of dutiable petroleum products and biodiesel blends

• Licensed Warehouse for Petroleum

For the storage of imported or refined dutiable petroleum products and biodiesel blends with duty and GST suspended

• Bonded Warehouse for Petroleum

For the storage of imported or refined non-dutiable petroleum products and pure biodiesel with GST suspended

How to Qualify?

To qualify for a Petroleum and Biodiesel Blends Licence, the company must:

• Be GST-registered with the Inland Revenue Authority of Singapore
• Have a valid Customs Account
• Have good compliance records with Singapore Customs
• Ensure the premises to be licensed is a storage-based facility with security measures in place
• Have good stock record-keeping and warehouse procedures
• Be responsible for the security, accountability and control of the goods
• Undergo TradeFIRST assessment and meet all the mandatory criteria while attaining the minimum “Enhanced” band

Licence Fee

An annual licence fee is payable when the Petroleum and Biodiesel Blends Licence is issued. The fee varies with the type of licence issued:

Key Responsibilities

• Accountability to Singapore Customs

  • Accountable for goods stored in the licensed premises and for the payment of duty and/or GST on goods not accounted for
  • Declare relevant Customs permits through TradeNet for movement of all goods in and out of the licensed premises, and abide by the stipulated permit conditions
  • Report to Singapore Customs if there is any discrepancy in the licensed premises by the next working day
  • Provide assistance to Singapore Customs, including but not limited to manpower and system access for the purpose of any investigation, periodic audit, stock check and supervision operation conducted by Singapore Customs
  • Comply with the Customs Act, Customs Regulations, GST Act, GST (General) Regulations and the licensing Terms & Conditions
• Accountability to Other Competent Authorities
  • Obtain the necessary approvals from the relevant Competent Authorities (for example, the storage of controlled goods, including Dangerous Goods)
• Inventory Control
  • Ensure inventory records and supporting documents are properly maintained and updated
• Physical Security Control
  • Ensure adequate security measures in the licensed premises
  • Obtain prior approval from Singapore Customs for any structural alteration to the licensed premises

How to Apply?

Step 1: Complete the TradeFIRST Self-Assessment Checklist.

Step 2: Prepare these supporting documents:

• Accounting and Corporate Regulatory Authority BizFile Report
• Audited financial statements for the past 3 years
• One copy of the layout plan. Please indicate the intended licensed premises, entry/exit points and security features such as closed-circuit televisions and alarm systems in the layout plan. The plans must show the address affixed with the company stamp.
• Title deed or tenancy agreement
• Other relevant documents

Step 3: Apply online.

Singapore Customs reserves the right to impose a Banker’s Guarantee or insurance bond, if required.

Once the application is successful, we will contact you to follow up with your application.

For further assistance, please email customs_schemes@customs.gov.sg.

Application for Changes to Schemes for Existing Licensees

You may complete your applications for changes to schemes for existing licensees or to update records online.