Do I Need a PESO License for Storing 25 KL of Ethanol with a 12°C Flash Point?

Is a PESO license required for ethanol storage with a flash point of 12 degrees Celsius? The proposed storage capacity is 25 KL.

Since ethanol belongs to the alcohol group, and according to the Petroleum Rules of 1976, petroleum is defined as "Any liquid hydrocarbon or mixture of hydrocarbons, or any inflammable mixture (liquid, viscous, or solid containing any liquid hydrocarbon)."

Dear Jenish Parmar,

Yes, Ethanol comes under Class "A" petroleum product and requires a license from PESO.

Along with PESO license, you need to get permission from the state excise and prohibition department for the storage and handling of ethanol. Kindly refer to your state excise and prohibition act.

NOTE: Ethanol is an alcoholic substance consumed in place of wine by illiterate people after getting the ethanol odor while handling. Due to its intoxicating nature, the government regulates the handling and storage of ethanol.

Prahlad Patel from Ankleshwar, Gujarat.

PESO License is required for the storage of 25 KL of ethanol. It contains Petroleum Class A, as its flashpoint is 12 degrees Celsius. No license is needed if the total quantity of possession does not exceed thirty liters. Also, permission for the storage and handling of ethanol is required from the Prohibition and Excise Department of the concerned state.

If the total ethanol content is less than 99.5%, then there is no need for a PESO License. Please refer to the PESO FAQ: FAQS

Hi Members, this matter is old, but I have a similar problem. The FAQ page shown above seems to have been deleted.

There is a notification from August 2019 which states that ethanol is a Class A item under petroleum rules and therefore needs a license for transport. My assumption is that if there is a need for a license to transport, then there will automatically be a license to store.

As per the above reply, please find herewith the flammable product storage criteria based on its flash point (Petroleum Act-1934 - Petroleum Rules, 1976).

Definition of Petroleum as per the Act

Any liquid hydrocarbon or mixture of hydrocarbons or any inflammable mixture (liquid, viscous/solid containing any liquid hydrocarbon).

Classification of Petroleum

This is based on flash point.

Class A - Flash point less than 23°C (LPG)

Class B - Flash point 23°C or more but less than 65°C (Kerosene)

Class C - Flash point 65°C or more but less than 93°C (Furnace Oil, LSHS, LSGR) flash point 93°C or more - not covered under Act.

Storage of any petroleum product covered under the Act requires a storage license. However, some quantities are exempted under sections 7 and 8 as given below.

Exemption Limits

Class A - Not more than 30 liters (i.e., up to 30 liters)

Class B - Not more than 2500 liters and not more than 1000 liters in the receptacle (container)

Class C - Not more than 45000 liters (i.e., up to 45 KL).

Section 7 & 8 for Your Reference

Section 7: No license needed for transport or storage of:

i) Petroleum Class 'B' (Non-Bulk) in quantity not exceeding 2500 liters and in receptacle not exceeding 1000 liters.

ii) Petroleum Class 'C' (In Bulk) in quantity not exceeding 45,000 liters.

Note:

a) 'Non-bulk storage' means storage of petroleum in receptacle/container/tank of water capacity not exceeding 1,000 liters.

b) 'Bulk storage' means storage of petroleum in container/tank of capacity exceeding 1,000 liters.

Section 8: No license needed for import, transport, or storage of petroleum Class 'A' not intended for sale if the total quantity in possession does not exceed 30 liters. However, such quantity of petroleum Class 'A' not requiring a license shall be kept in securely stoppered receptacles of glass or stoneware of capacity not exceeding 1 liter or in receptacle of metal of capacity not exceeding 25 liters.

Hi friends, could you please confirm which class in petrochemicals Ethyl acetate falls under?

A clear, colorless liquid with a fruity odor and a flash point of 24°F. It is less dense than water, with vapors heavier than air. Since the flashpoint is 24°F (which is below zero degrees centigrade), it will always be classified as Class A.

Ethanol Required PESO License

The Ethanol Required PESO license is needed for storage, manufacturing, and transportation under Form 11. The <99.5% ethanol FAQ has been removed from the PESO website. Previously, it was mentioned that a license is not required if the ethanol content is <99.5%. Now, there is no specified percentage, and any ethanol content requires a license under PESO Class A.