LPG Connections to be Expanded, New Opportunities

By Narsi Santhanam • Jun 27th, 2010 • Category: Uncategorized

Read an interesting article on how the government is planning to significantly expand the access to LPG for many customers in rural India. The proposed drive is expected to make LPG available to three-fifths of the rural folks, according the petroleum ministry.

That sounds ridiculously difficult (current # of LPG connected households is about 11 crores, acc to the govt). But let’s say the government is able to pull it off to the extent of 50%. Even then, it is a fairly massive expansion.

Such an expansion is likely to provide significant opportunities to allied industry firms supplying cylinders and pressure regulators to the three LPG retailers – HPCL, IOC and BPCL.

Overall, however, the increased reliance on LPG is expected to bring in healthier lifestyles to rural folk, who otherwise use firewood or kerosene, both of which have their own environmental problems…not to mention that a large part of kerosene intended for the poor ends up as a cheap adulteration to diesel.

About the Author

Narasimhan (Narsi) has extensive experience in understanding renewable energy markets and strategic levers for success in these markets. His special focus has been his work on the Indian renewable energy industry. His work in the previous 15 years have spanned market and industry research, product management and international sales, and strategic consulting. see more http://www.eai.in/ref/team/ns.html

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