There is ample opportunity to bridge the nation's gas crisis with alternate fuels. Liquefied Petroleum Gas (LPG) is the greenest form of alternate fuel as LPG produces low carbon footprint when burned for energy. LPG is a portable fuel and accessible by all industries. Most importantly, the usage of LPG/ Propane (being the most sustainable form of alternate fuel) , can deliver substantial cost savings when compared to diesel as a burning fuel and for power generation.
As per our industry estimates, the currentannual LPG import demand exceeds 600 000 MT and the volumes are poised to grow over 1 400 000 MT by 2022. Households and automobile users are migrating to the environmentally friendly fuel for to its proximity& convenience.
The international energy industry has taken a keen interest in Bangladesh's burgeoning demand for alternate fuels. LPG operators have delivered huge volumes in the last two years, this prompts Fortune 500 Companies and the World LPG Association to observe our market as a case study for acceptance of environmental-friendly fuels by mass markets.
The local LPG operators in Bangladesh have adopted world class operating procedures. Omera, being one of the largest operator, owns and manages a sophisticated LPG supply infrastructure with control over the whole value chain (international shipping, storage, local shipping, cylinder manufacturing etc.). The Company operates four LPG bottling terminals across the country and can supply 35 000 LPG cylinders in a single shift operation. Omera's annual LPG supply capacity currently stands at 200 000 MT and scaling upto 300 000 MT in 2018.As an ISO and ISPS certified operator, our team meets the highest standards of compliance and safety, top down through all stages of operation and across all functions.
Omera have also joined hands with Japanese LPG giant Saisan Co. Ltd. to set up the Omera Gas One Limited (OGL), the first Bangladesh- Japan joint venture in the national energy sector. OGL is specialized to supply industrial LPG solutions, LPG storage tanks, LPG autogas stations & reticulated systems customized to Japanese standards, the most stringent and sophisticated LPG industry in the world. OGL is supplying bulk LPG to local industries such as Fu-Wang Ceramics, ACI Limited, Utah Group etc. Moreover, Omera has also signed agreement with Government of Bangladesh to set up dedicated import terminal for supply of bulk LPG and fuels to its economic zones. The specialized terminal is due to be completed in 2019. Moreover, Omera cylinders Limited is the most sophisticated LPG cylinder manufacturing plant in Bangladesh. Equipped with European machinery and the Highest testing standards, the company can supply over a thousand gas cylinders each day conforming DOT 4BA specifications
In recognition of the company's immense contribution to the nation's energy diversity, Omera Petroleum Limited (OPL) was awarded as the best private company in national energy sector by Her Excellency Sheikh Hasina, Hon'ble Prime Minister of the people's Republic of Bangladesh in December 2016.
It is to be noted that Omera's success in the LPG market is not a short story. Its key success factors have been the visionary thinking of its leadership and most importantly, continuous investment in the energy sector. Omera's mother company is MJL Bangladesh Limited, majority of which shares are owned by East Coast Group (ECG). ECG has been operating in the Bangladesh energy industry for over 30 years. The Group's plan to serve Bangladesh with LPG saw its inception 20 years age. ECG studied the LPG market and minutely drew up its strategic plans for over two decades before entering this market. ECG's heritage in the energy industry also plays a major role in Omera success through advisory, shipping and technical expertise.
Looking ahead at the next 5 years, we can observe many companies planning to enter this sophisticated industry. It needs to be appreciated that planning, business strategy and safety aspects need to be carefully considered before investing into this market. Most importantly, government regulations and safe practices regards to LPG needs to be fully understood by each and every stakeholder. Omera, as a proud member of the WLPGA and LPG Operator Association of Bangladesh (LOAB), considers it as our responsibility to set a benchmark for the best practices to make the growth of this industry sustainable, scalable and a success story on a global scale.
The writer is director of East Coast Group and deputy general manager corporate planning & business development, Omera Petroleum Limited