Fill up the online application from your netbanking and enter the same details associated with the Apay card. It will show a set of eligible cards. You can apply from those.
The BPCL card points are best for buying fuel at BPCL bunks. Other than that, they do have a rewards catalogue that closely resembles the Payback points catalogue. You get lot of options like the ones shown in the screen.
The point value is fixed at 25 paise. Doesn't matter where you redeem. It's not like the Amex MR points where different redemptions give different per point value.
Edit: The value of points drops when used for items in the rewards catalogue.
The 7.25% includes 1% fuel surcharge waiver. The balance 6.25% comes from the 25 points per 100 spent at BPCL. The point value is 25 paise. So the 25 points give Rs. 6.25 per 100. Hope this is clear.