LPG TO ASSUME SIGNIFICANT ROLE AS AUTO GAS
June 28 - July 04, 2010
The natural gas, currently playing a dominating role in the energy basket of the country, is under heavy pressure in the face of ever increasing demand and static supplies forcing the stakeholders to look for alternative energy resources.
In this respect the clever energy companies have started exploring various options for sustainable fuel supplies at an affordable price.
Byco previously known as Bosicor has taken a bold initiative of launching a campaign for liquefied petroleum gas generally known as LPG as auto gas in the country. Byco, a joint venture between Bosicor 60 percent & Abraj 40 percent holding is in the process of introducing LPG filling stations and LPG kits which will be a sustainable and predicable source of fuel for automobiles across the country especially in the remote areas having no gas pipeline structure for supplies of gas.
Taking advantage of the situation Byco has decided to go ahead with LPG scientific outlets for supplies of motor gas even in the remote parts of the country.
Kalim A Siddiqi, President Petroleum Marketing business of Byco Petroleum Pakistan Limited in an informal talk said that arrival of LPG as auto gas will change the energy scenario especially by reducing the heavy reliance on CNG or natural gas in exact terms.
He regretted that we lost various opportunities primarily due to delays and lethargic attitude and lack of planning for future generations. He referred to much delayed project of Iran gas pipeline which is pending for more than a decade. Development of Thar coal was yet another example where we failed to develop a strong energy base only because of negligence and lack of planning for future energy needs. Had we developed our indigenous energy resources on time the economic situation would have been quite different today, he said.
He recalled that it was quite easier to materialise Iran Gas Pipeline in the early days when Iran was insisting and offering supply of gas at a reasonable price and there was no international pressures involved in this project. But now the situation is different since not only we have to bear with the burden of escalated cost of the project from $2 billion to $8 billion but also have to face pressures from international forces which are against this project due to certain political reasons.
Kalim is confident about LPG has the potential to share the burden of demand and restore stability of the energy sector in the coming years which he felt would also provide an opportunity to Byco to be a household energy brand in Pakistan.
When asked how would the company maintain the competition when natural gas is cheaper than LPG, Kalim who usually smiles while speaking said LPG has an edge over natural gas in the sense that it is an efficient fuel as compared to CNG and gives much better heating value as well as power even more than gasoline.
He disclosed that Byco refinery so far the youngest and smallest of the five bigger refineries in the country is well on its way to come on top of the list with the arrival of the Byco refinery having a capacity of one million tons barrels a day. Currently, Byco has a refining capacity of 30,000 barrels a day.
At the moment Byco is engaged with branding activity of its new identity and has achieved a milestone of 110 outlets across the country but is well prepared to launch some innovative products and services, which are not available at present, for niche market.
He cited the example of Bunkering Port, which provides fuel to ocean going vessels. Since bunking fuel system was not available in the country the ships have to call on other ports of fueling facility. In order to fill the gap, Byco has planned to develop a bunkering port and developing a terminal at Keamari for this purpose. When completed this would be a first of its kind in the country to the credit of Byco.
Another attractive product is the winterised diesel which remains unaffected of the severe cold weather that usually affects the normal diesel which coagulates due to cold weather. This product will be a gift for northern areas where whether is abnormally cold in winter, he said.