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Hidden Truths About The Cooking Gas Business In Nigeria - Business - Nairaland

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Hidden Truths About The Cooking Gas Business In Nigeria by uwandukahuna(m): 10:30pm On Sep 11, 2016
Cooking gas business is a very profitable business, but just like every other en-devour of life, it comes with its own challenges.

The purpose of this article is to enable you to have in depth knowledge about what you have not known or hear before in the cooking gas business.

My Name is Emmanuel and i am your Gaspreneur Expert, i will guide you through phases of investment in the cooking gas busines, i am dedicated to
your success so you can trust me to open up on all what you have not been told or on what you are not aware of in this business.

This thread will enable you to make informed decision when you are making decision on when,where and how to start your business as pertain to cooking gas.

What i will be sharing are very important and cannot be ignored or taking with levity. I will draw from my experience and other experiences of other cooking gas business owners so you can learn all what it takes to
start out on a brighter note.

You have not heard this anywhere,LPG Installers and business owners will not even want to tell you,but you will hear and see everything on this thread.

I will also bring to you the latest researches on the cooking gas business and how you can take advantage of this recent developments in the LPG Industry

Welcome to the Gas Side of Life, Stay connected.

For more information call/whatsapp our business development team: 09060325773

OR send us a mail at: gaspreneur@kiakiagas.com

2 Likes 1 Share

Re: Hidden Truths About The Cooking Gas Business In Nigeria by ol2012: 10:37pm On Sep 11, 2016
Good evening Chief. I'm very much interested in every info you've got to share about this LPG business. Thanks for coming up with the thread
Re: Hidden Truths About The Cooking Gas Business In Nigeria by Nonso92(m): 10:38pm On Sep 11, 2016
Re: Hidden Truths About The Cooking Gas Business In Nigeria by Loveprince: 10:38pm On Sep 11, 2016
Continue bro
Re: Hidden Truths About The Cooking Gas Business In Nigeria by uwandukahuna(m): 10:51pm On Sep 11, 2016
Most of the energy used for domestic cooking in Nigerian homes comes from traditional forms of energy like HHK (kerosene) which accounts for 65-70% of the energy consumption in Nigeria, LPG stands at 25%, while other fossil fuels like firewood and coals accounts for the remaining 5%.

Now lets do some basic mathematics from the post above

Annual Consumption of cooking Gas stands at 300,000 MTPA (300million KG)
25% of annual consumption= 300million kg (527million litres)

Now imagine if we can switch another 25% of our population from House Hold Kerosene to cooking gas in the next 36 months

50% of annual consumption= 600million kg (1.54billion Litres)

Considering the negative impact of kerosene on the economy (subsidy) and the environment, it's important for us as Nigerians to look inward and invest in this emerging sector to grow the naira and reduce the emission of green house gases to curb global warming

We cant do it alone, we need to join hands to make Nigeria a cleaner place and become millionaires in the process.

#creatinggreenmillionaires #startnow

For more information call/whatsapp our business development team: 09060325773

OR send us a mail at: gaspreneur@kiakiagas.com

1 Like

Re: Hidden Truths About The Cooking Gas Business In Nigeria by uwandukahuna(m): 10:54pm On Sep 11, 2016
Annual Consumption of cooking Gas stands at 300,000 MTPA (300million KG)

Using the standard LPG cylinder benchmark (12.5kg cylinders) = 24million 12.5kg cylinders

Lagos accounts for 35% of the total LPG consumed in Nigeria = 105,000MTPA (105million KG) (8.4million 12.5kg cylinders)

The other states share the remaining 65% = 195,000 MTPA (195million KG)

There is a huge market potential for retailing cooking gas

For more information call/whatsapp our business development team: 09060325773

OR send us a mail at: gaspreneur@kiakiagas.com

Re: Hidden Truths About The Cooking Gas Business In Nigeria by uwandukahuna(m): 11:22pm On Sep 11, 2016
Difference between propane and butane.

Cooking gas is called Liquefied Petroleum Gas; it has two major components namely Propane and Butane.

Propane and butane are both combustible fuels derived from petroleum. They are commonly used as cooking fuels, particularly in portable gas cylinders, while there are many similarities between these gases, there are also subtle differences. Propane is mostly used in Colder regions and butane is used in Hotter Regions of the world. As a matter of fact in Nigeria the standard composition of LPG is 100% butane, and the propane level should not be more than 15% if it is present because of the temperature of our climate

Let us quickly look at the differences and Similarities of Propane and Butane.

Heat Output

Contrary to the notion that propane burns hotter than butane, the heat output is identical. Both fuels deliver the same BTUs (British thermal units), so neither flame is hotter, according to The Adventure Network. One will not boil water or cook food faster than the other.

Cooking Capacity

Butane has about 12 percent more energy than propane by volume. This means that you can cook longer with a bottle of butane than with a propane bottle or cartridge of the same size.

Connectors

Butane stoves are typically more convenient and easier to connect to a fuel container than a propane stove. This is because butane containers features clip-style connectors, while propane containers have screw-on connectors. This distinction only applies to larger stoves--smaller stoves use cartridges that have the same types of connectors.

Boiling Point

Cooking fuels must be in a gaseous state before they can be used with a stove. Standard butane boils at 31 degrees F, while propane boils at -43 degrees F. This means that if you are cooking in freezing weather, butane will not work well because it will remain in a liquid state. You would need to warm the container before using it in cold weather.

Look at what a standard Nigerian DPR approved cooking gas report that should be retailed looks like in the image below

For more information call/whatsapp our business development team: 09060325773

OR send us a mail at: gaspreneur@kiakiagas.com

Re: Hidden Truths About The Cooking Gas Business In Nigeria by uwandukahuna(m): 4:53am On Sep 12, 2016
Questions usually arise with respect to the safety of an LPG skid plant in a given location. People are often discouraged to own and operate LPG skid plants mostly due to the explosive nature of the gas which might be perceived as a threat to lives and properties. However, there are cogent and verifiable reasons why these concerns should not discourage you from owning and operating an LPG skid plant in any location of your choice.

1. Before an LPG skid plant can be sited and installed in a given location, Department of Petroleum Resources (DPR) must carry out a proper Environmental Impact Assessment (EIA) in accordance with the international best standard, followed by calibration test, pressure test and facility integrity test to ascertain the safety compliance limit of the LPG infrastructure. A DPR certificate is issued once all the necessary standards are met.

2. An LPG skid plant comes with a Pressure Relief Valve (PRV) which serves as a vent for built-up pressure. Under a high external temperature (due to a nearby fire incident for instance), the Pressure Relief Valve (PRV) releases the excess pressure fast to prevent the rupturing of the vessel (tank or cylinder).

3. An LPG skid plant has a wall thickness of about 15cm. This serves as a fire and pressure resistance, preventing the rupturing of the vessel (tank and cylinder) under a high and prolonged fire incidence.

4. In accordance with international best standard, an LPG skid plant is filled up to about 85% capacity in order to provide enough space for the thermal expansion of the contained gas when the surrounding temperature increases.

In the light of the aforementioned facts, investment in the growing LPG market is the most prudent decision anyone can make, especially as the LPG market in Nigeria is worth over #37 billion annually with about 50% return on investment.

For more information about the LPG business in Nigeria call/whatsapp our business development team: 09060325773

OR send us a mail at: gaspreneur@kiakiagas.com
Re: Hidden Truths About The Cooking Gas Business In Nigeria by millhouse: 9:39am On Sep 12, 2016
You have said the obvious.. Which is different from you caption. Thought you were going to hit the challenges is the biz.. But all you dwelled on was the usual sweet talks of how lucrative it is.
Re: Hidden Truths About The Cooking Gas Business In Nigeria by Nobody: 10:55am On Sep 12, 2016
What is this one even saying? Is this what you said you'll teach us, how to start the business?
Re: Hidden Truths About The Cooking Gas Business In Nigeria by uwandukahuna(m): 4:23pm On Sep 12, 2016
Royal155:
What is this one even saying?
Is this what you said you'll teach us, how to start the business?
Haba My friend, No vex i wanted to bring it to you bits by bits, unfortunately i got caught up with field work, couldnt post immediately.

Anyway, as you walk across Nigeria today, you will observe a new trend of LPG plants popping up all around especially in petroleum filling stations and small land spaces and many write-ups are littered across the internet about the LPG industry, this is as a result of many individuals that are shifting from kerosene and other fossil fuels to using cooking gas. The major challenge for the old and new consumers of gas is the fact that the gas plants are not close enough for them which creates a vacuum which entrepreneurs can take advantage of and create value in the sector by bring gas closer to the consumers.

So let us look at how you can start up the cooking gas business.

For more information call/whatsapp our business development team: 09060325773

OR send us a mail at: gaspreneur@kiakiagas.com

1 Like

Re: Hidden Truths About The Cooking Gas Business In Nigeria by ol2012: 7:31pm On Sep 12, 2016
A quick one chief, while we await your next post. I have observed a lot of skid plants, expose their vessel(tank or cylinder) to nature i.e without a cover. I have also seen a few covered to protect the vessel from nature(rain sunlight etc) Kindly advise which of the two options is better. I mean which option will guarantee a longer life span.

I will not fail to express my sincere appreciation to you for coming up with this thread.

God bless you richly

1 Like

Re: Hidden Truths About The Cooking Gas Business In Nigeria by Christie171(f): 1:54am On Sep 13, 2016
listening attentively.....
Re: Hidden Truths About The Cooking Gas Business In Nigeria by khassy(m): 5:44am On Sep 13, 2016
.
Re: Hidden Truths About The Cooking Gas Business In Nigeria by RGem(f): 6:09am On Sep 13, 2016
Lovely thread.
Re: Hidden Truths About The Cooking Gas Business In Nigeria by kenjox: 1:43pm On Sep 13, 2016
ol2012:
A quick one chief, while we await your next post. I have observed a lot of skid plants, expose their vessel(tank or cylinder) to nature i.e without a cover. I have also seen a few covered to protect the vessel from nature(rain sunlight etc) Kindly advise which of the two options is better. I mean which option will guarantee a longer life span.

I will not fail to express my sincere appreciation to you for coming up with this thread.

God bless you richly


Thank you for your interest.

Your question is such an intelligent probe into the ethics of LPG plant operation. It is however important to note that pressure vessels (including LPG tanks) are designed and built to sustain their physical integrity under the elements of nature (rain, sunshine etc) as I already pointed out in my earlier post. It is a common practice to shield the plant with car port and other improvised materials even though some of these are more about aesthetics than protection. DPR specifies that a water sprinkler system is installed for LPG plants exceeding 2.5 metric tonnes to control the ambient temperature.

To put all these in perspective, you can decide to shield your LPG skid plant but leaving it unshielded does not constitute a bad LPG plant management culture.

Thank you once more for your interest.
Re: Hidden Truths About The Cooking Gas Business In Nigeria by uwandukahuna(m): 7:10pm On Sep 13, 2016
What You Need to Start Cooking Gas Business

Get a Location: It is important to do your findings when you want to set up this business, you should look out for a location with a strong retail potential. Almost anywhere in lagos is good for this business but some areas are more viable than some. One interesting fact about the current trend in this business is that the consumption rate of cooking gas in low-income areas is growing higher than the consumption rate in the Urban areas.

The reason for this change in trend among consumers is the rising cost and scarcity of kerosene; the low-income earners are moving from Kerosine to small cylinders (3kg,5kg,6kg) because of the price and availability of the product. Their domestic energy needs are more because their income cannot accommodate eating in restaurants and big generators to generate power to keep their foods fresh in the freezer or boil water with heaters, so they use the gas always to cater for their domestic energy needs as against the consumers in the urban areas who spend most of their time at the office and rely on eatries and Restaurants for their food and electricity for their other energy needs.

For more information call/whatsapp our business development team: 09060325773

OR send us a mail at: gaspreneur@kiakiagas.com

2 Likes 1 Share

Re: Hidden Truths About The Cooking Gas Business In Nigeria by ol2012: 11:14am On Sep 20, 2016
Patiently awaiting the next post form Mr Emmanuel
Re: Hidden Truths About The Cooking Gas Business In Nigeria by ol2012: 11:16am On Sep 20, 2016
kenjox:



Thank you for your interest.

Your question is such an intelligent probe into the ethics of LPG plant operation. It is however important to note that pressure vessels (including LPG tanks) are designed and built to sustain their physical integrity under the elements of nature (rain, sunshine etc) as I already pointed out in my earlier post. It is a common practice to shield the plant with car port and other improvised materials even though some of these are more about aesthetics than protection. DPR specifies that a water sprinkler system is installed for LPG plants exceeding 2.5 metric tonnes to control the ambient temperature.

To put all these in perspective, you can decide to shield your LPG skid plant but leaving it unshielded does not constitute a bad LPG plant management culture.

Thank you once more for your interest.

Thank you very much sir/madam
Re: Hidden Truths About The Cooking Gas Business In Nigeria by YOLO1(m): 3:16am On Sep 26, 2016
uwandukahuna:
What You Need to Start Cooking Gas Business

Get a Location: It is important to do your findings when you want to set up this business, you should look out for a location with a strong retail potential. Almost anywhere in lagos is good for this business but some areas are more viable than some. One interesting fact about the current trend in this business is that the consumption rate of cooking gas in low-income areas is growing higher than the consumption rate in the Urban areas.

The reason for this change in trend among consumers is the rising cost and scarcity of kerosene; the low-income earners are moving from Kerosine to small cylinders (3kg,5kg,6kg) because of the price and availability of the product. Their domestic energy needs are more because their income cannot accommodate eating in restaurants and big generators to generate power to keep their foods fresh in the freezer or boil water with heaters, so they use the gas always to cater for their domestic energy needs as against the consumers in the urban areas who spend most of their time at the office and rely on eatries and Restaurants for their food and electricity for their other energy needs.

Watch out for the next post
Oga, when is ur next post coming up? Am so curious about starting this business
Re: Hidden Truths About The Cooking Gas Business In Nigeria by WhoBeThisMan: 6:23am On Sep 26, 2016
I have a question, of you have an LPS plant, it there a measure put in place to allow you monitor your staff sales?
Re: Hidden Truths About The Cooking Gas Business In Nigeria by uwandukahuna(m): 12:28pm On Sep 27, 2016
WhoBeThisMan:
I have a question, of you have an LPS plant, it there a measure put in place to allow you monitor your staff sales?

Yes sir, we do have a monitoring system,

For more information call/whatsapp our business development team: 09060325773

OR send us a mail at: gaspreneur@kiakiagas.com
Re: Hidden Truths About The Cooking Gas Business In Nigeria by uwandukahuna(m): 3:45pm On Oct 11, 2016
My name is Emmanuel and today i will like to share with you some facts to consider when starting a cooking gas retail business. If you have been looking to start a business of your own, a cooking gas retail business might just be the best option for you. It involves buying huge quantities of cooking gas, storing it in tanks, and selling it to individuals for domestic purposes such as cooking. But before starting a cooking gas retail business, it is important to learn about the business. Some of the things to know about the business are:

1 How is cooking gas measured?
2 Where do you buy cooking gas from?
3 How do you handle gas cylinders?
4 How do you refill a customer’s gas cylinder?
5 What are the various sizes of cooking gas cylinders?

1) How is cooking gas measured: Cooking gas can be measured in litres, kilogrammes and tonnes. 1 kilogramme is equivalent to 1.75 litres and 1 metric tonne is equivalent to 1000 kilogrammes. So 1 metric tone is equivalent to 1,750 litres.

2) Where do you buy cooking gas from: If you plan to go into the cooking gas retail business, it is necessary to know the best source or sources to get your gas from. NAVGAS is currently the biggest offtaker (gas seller) in Nigeria, another very reliable offtaker is NIPCO and they are both located at Apapa in Lagos state.

3) How do you handle gas cylinders:
– Always place gas cylinders in a vertical position, unless stated otherwise by the manufacturer.
– Restrain cylinders securely to prevent them from falling over.
– Always ensure that the cylinder valves are tightly closed.
– Ensure that the valve is protected by a valve cap to prevent any damage if the cylinder is dropped.
– When loading or unloading the cylinders, never drag, drop or roll the cylinder as these can cause major physical damages to the cylinders.
– Always ensure that the cylinders are kept in a well ventilated warehouse with regards to the manufacturer's ambient temperature standard.
– Always ensure that the cylinders are placed on wooden pallet and not on a bare floor.
– Prevent direct physical contact among cylinders in storage.

4) How do you refill a customer's gas cylinder: There are two basic ways gas cylinders can be filled depending on the nature of the filling system i.e automatic or pneumatic filling system. For automatic dispensing system, the exact amount or quantity of (kg or litres) is pressed on the dispenser while the refilling nozzle is already inserted in the cylinder. In this way, the system automatically stops dispensing once the pre-determined amount of gas is reached. For the pneumatic dispensing system, the cylinder is place on a digital scale and the scale is adjusted to its zero limit. Then, the nozzle of the filling system is fitted to the value of the cylinder and the system is stopped as soon as the pre-determined amount of gas is reached.

5) What are the various sizes of cooking gas cylinders: Cooking gas cylinders come in different shapes, colors and sizes. The various sizes are 3kg, 5kg, 6kg, 12.5kg, 25kg and 50kg. Also some intermediate sizes could be manufactured based on specific orders.

For more information call/whatsapp our business development team: 09060325773

OR send us a mail at: gaspreneur@kiakiagas.com

WELCOME TO THE GAS SIDE OF LIFE!
Re: Hidden Truths About The Cooking Gas Business In Nigeria by uwandukahuna(m): 3:07pm On Oct 14, 2016
Annual Consumption of cooking Gas stands at 300,000 MTPA (300million KG)

Using the standard LPG cylinder benchmark (12.5kg cylinders) = 24million 12.5kg cylinders

Lagos accounts for 35% of the total LPG consumed in Nigeria = 105,000MTPA (105million KG) (8.4million 12.5kg cylinders)

The other states share the remaining 65% = 195,000 MTPA (195million KG)

There is a huge market potential for retailing cooking gas

For more information call/whatsapp our business development team: 09060325773

OR send us a mail at: gaspreneur@kiakiagas.com
Re: Hidden Truths About The Cooking Gas Business In Nigeria by guru1234: 12:33pm On Jun 10, 2017
uwandukahuna:
My name is Emmanuel and today i will like to share with you some facts to consider when starting a cooking gas retail business. If you have been looking to start a business of your own, a cooking gas retail business might just be the best option for you. It involves buying huge quantities of cooking gas, storing it in tanks, and selling it to individuals for domestic purposes such as cooking. But before starting a cooking gas retail business, it is important to learn about the business. Some of the things to know about the business are:

1 How is cooking gas measured?
2 Where do you buy cooking gas from?
3 How do you handle gas cylinders?
4 How do you refill a customer’s gas cylinder?
5 What are the various sizes of cooking gas cylinders?

1) How is cooking gas measured: Cooking gas can be measured in litres, kilogrammes and tonnes. 1 kilogramme is equivalent to 1.75 litres and 1 metric tonne is equivalent to 1000 kilogrammes. So 1 metric tone is equivalent to 1,750 litres.

2) Where do you buy cooking gas from: If you plan to go into the cooking gas retail business, it is necessary to know the best source or sources to get your gas from. NAVGAS is currently the biggest offtaker (gas seller) in Nigeria, another very reliable offtaker is NIPCO and they are both located at Apapa in Lagos state.

3) How do you handle gas cylinders:
– Always place gas cylinders in a vertical position, unless stated otherwise by the manufacturer.
– Restrain cylinders securely to prevent them from falling over.
– Always ensure that the cylinder valves are tightly closed.
– Ensure that the valve is protected by a valve cap to prevent any damage if the cylinder is dropped.
– When loading or unloading the cylinders, never drag, drop or roll the cylinder as these can cause major physical damages to the cylinders.
– Always ensure that the cylinders are kept in a well ventilated warehouse with regards to the manufacturer's ambient temperature standard.
– Always ensure that the cylinders are placed on wooden pallet and not on a bare floor.
– Prevent direct physical contact among cylinders in storage.

4) How do you refill a customer's gas cylinder: There are two basic ways gas cylinders can be filled depending on the nature of the filling system i.e automatic or pneumatic filling system. For automatic dispensing system, the exact amount or quantity of (kg or litres) is pressed on the dispenser while the refilling nozzle is already inserted in the cylinder. In this way, the system automatically stops dispensing once the pre-determined amount of gas is reached. For the pneumatic dispensing system, the cylinder is place on a digital scale and the scale is adjusted to its zero limit. Then, the nozzle of the filling system is fitted to the value of the cylinder and the system is stopped as soon as the pre-determined amount of gas is reached.

5) What are the various sizes of cooking gas cylinders: Cooking gas cylinders come in different shapes, colors and sizes. The various sizes are 3kg, 5kg, 6kg, 12.5kg, 25kg and 50kg. Also some intermediate sizes could be manufactured based on specific orders.

For more information call/whatsapp our business development team: 09060325773

OR send us a mail at: gaspreneur@kiakiagas.com

WELCOME TO THE GAS SIDE OF LIFE!

THANKS FOR THE INSIGHT, CAN YOU GIVE ESTIMATED PRICE FOR THE AUTOMATIC GAS FILLING MACHINE, THE DIFFERENT TYPE OF FILLING MACHINES WITH PICTURES.....THANKS ONCE AGAIN

1 Like 1 Share

Re: Hidden Truths About The Cooking Gas Business In Nigeria by babytejiri(m): 12:51am On Sep 08, 2017
If you wanna venture into the LPG business, you'll have to learn how to start cooking gas business in Nigeria, and then proceed to get yourself a cooking gas business plan suitable for the Nigerian market.
Re: Hidden Truths About The Cooking Gas Business In Nigeria by AHCB: 12:04am On Jul 01, 2018
Noice.
Re: Hidden Truths About The Cooking Gas Business In Nigeria by ultrazone(m): 7:21pm On Nov 22, 2018
Re: Hidden Truths About The Cooking Gas Business In Nigeria by toygod2: 7:16am On Jan 30
Ok
Re: Hidden Truths About The Cooking Gas Business In Nigeria by AHCB: 11:57am On Jan 30
babytejiri:
If you wanna venture into the LPG business, you'll have to learn how to start cooking gas business in Nigeria, and then proceed to get yourself a cooking gas business plan suitable for the Nigerian market.
have you worked in a gas refilling plant before?
Re: Hidden Truths About The Cooking Gas Business In Nigeria by RealityShot: 4:39pm On Feb 23
Is it true that DPR is planning to close all small scale retailers, cylinder-to-cylinder retailers?


are there any certificates required for plant operators, attendants, etc?
Re: Hidden Truths About The Cooking Gas Business In Nigeria by Akobi83: 4:37pm On May 25
What are the process of obtaining the gas distribution business in Nigeria since the Buhari's government has vowed to arrest all the road side gas seller who refuse to transform to registerd micro gas distribution outlet.

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