LPG Industry to grow in next few years by leaps and boundsAditya fuels geared up to enter three decades of its operations with the horizontal and vertical development of the company in the energy sector and private players to play a major role.
New Delhi, India: The unrivalled and unique story of Aditya Fuels Limited began when the world economy was waiting to invest in Indian market. The first-generation entrepreneur, a technocrat turned professional took the plunge in the LPG sector.
Aditya fuels growth is reflected on a larger canvass, the big picture of the Indian LPG imports has been registering some remarkable trends in the last 10 years. The growth trends over the last 10 years, 5 years and 1 year are 17% CAGR (FY07 to FY17), 14% CAGR (FY12 to FY17) and 23%. At nearly 11 million tons in FY17, India surpassed Japan’s imports at 10.6 million tons.
The government has gone full throttle in promoting LPG as a reliable fuel through schemes such as Pahal, Ujjwala, Direct Benefit Transfer and ‘Give it Up’ which led to increased adoption of LPG in the residential segment. While ‘Pahal’ got enlisted under Guinness Book of World Record for its largest cash transfer at a whopping USD 6.5 billion. All the same, under the Ujjwala scheme free LPG connections will be provided to 5 crore poor households by 2019 which is bound to help Aditya Fuels in expanding its operation in new areas.
“A rapid increase in urban population combined with increasing LPG penetration in rural areas has resulted in a 10% growth in LPG consumption, making India the second largest LPG consumer in the World at 19 million tons per year. Based on Government’s continued efforts to promote clean fuel and increased adoption by consumers, LPG consumption is expected to see a sustained double-digit growth in the years to come” informed V K Shukla, CMD Aditya fuels Ltd.Shukla added that this was the main reason for Aditya fuels expansion plan to be executed.
Industry experts like Mr. Shukla are of opinion that over 90% of demand for LPG comes from residential consumers, a consistent hike in the excise duty for automotive fuels such as diesel and petrol has made commercial LPG a favourable option for the AutoLPG segment. Owing to a significant drop in the crude oil prices and favourable economics vis a vis petrol and diesel, AutoLPG sales registered a growth of 4.9% during FY17. According to SIAM, the domestic passenger vehicle sales are likely to reach 7%-9% growth in FY18.
“The ongoing upsurge in LPG consumption, as well as penetration in rural segment, is driven by LPG’s practical advantage and an enhanced positive perception as an agent for women empowerment and social change. With new geographical shifts & expansions in demand base, there is a significant potential for LPG infrastructure addition and geographical diversification” feel Energy experts like Shukla.
Aditya Fuels Limited on its way to complete two decades of service to its client base thirteen northern states of India. The dream project of Mr. V.K Shukla (CMD) started its operation in the year 1998.
Through this knowledge and experience. Later on, in the year of 1994-95, he set up his own Distillation Column Plant (Mini Refinery) in Maharashtra.
He has created different ideas with the innovation of several new marketing strategies to boost up commercial LPG Supply by providing exclusives after Sales Value-added Services involving diverse technologies that have raised brand“Aditya Gas”.
He led the creation of India’s one of the largest grassroots LPG Bottling Plant at UP as a parallel marketer, with a current annual capacity of more than 108TMT bulk movement per year integrated with other related infrastructure and later another at Dharuhera with bottling capacity of 50 TMT.
Further, he steered the setting up of other five more LPG Bottling Plants gearing up for the new age with the endless opportunity to stakeholders.
During the journey, V.K. Shukla satisfied the largest number of the customer base of more than 1.5 lakhs with its presence in UP, MP, Bihar, UK, Jharkhand, Chattisgarh, HR, Rajasthan, Punjab and Delhi NCR etc.
He reassures that “Aditya Fuels Limited” commitment to scale up the level even further by surmounting all the challenges and will go up-stream into oil & gas major player as a Parallel Marketer in refining, LPG, Import, and Distribution etc. Aditya Gas offers a one-stop solution for quality fuel (LPG) Products and Services.