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Status of the technology and its future market potential

LPG is seen by the IEA as the main means for moving away from unsustainable use of biomass for cooking: the target expressed in IEA (2006) is to reduce the use of biomass in cookstoves by 50% by stimulating 1.3 billion people to switch from biomass to LPG. The future market potential for LPG could thus be huge. However, other technologies and fuels (e.g., ethanol/methanol, Biomass gasification stoves, ICS, solar-based cooking) could serve the same purpose. LPG price increases could make LPG-based cooking less accessible for the poor, particularly in the rural areas. The scope for LPG/LNG for cooking is therefore not clear in developing countries, but it seems that it will be concentrated on the middle and high income groups in urban areas.

Existing gas stove burners can be easily adapted to burn LNG and LPG. Below are some examples of LNG/LPG applications in developing countries:

  • In Brazil, 98% of the households have access to LPG through government policies to develop the required infrastructure in all urban and rural regions, in combination with an LPG subsidy. Recently, due increased LPG prices, residents have begun switching back to woodfuel (IEA, 2006).
  • In 2001, 17.5% of Indian households (33.6 million households) used LPG as cooking fuel. Around three-quarter of these households were in urban areas; only 5.7% were rural households. Again, the LPG price is subsidised by the government. Increases in LPG prices are politically sensitive in India because of their effect on the middle classes, and recent increases in LPG prices have caused a move away from LPG. For instance, Climate Care is supporting a project in the Punjab to promote the use of briquettes made from biomass crop residues in cook stove. These cookstoves are half the price of the existing LPG stoves, and the payback time from the savings made is 18 months.
  • In China, 80,000 housing estates in Shenzhen have been converted to LNG. The price of natural gas was claimed to be lower and more stable than that of LPG and would not exceed 5 RMB/m 3 (€0.43/m 3 ). This is probably the result of the deal between China and Australia for the annual import of 3.7 million tons of LNG with a pricing mechanism that will ensure that the price is much lower than the current price for natural gas on the world market. However, the price of natural gas in Shenzhen would be higher than in Beijing and Shanghai due to the differences in the source and quality of gas, purchasing cost, construction and labour costs. In addition, the government supplies a subsidy for purchase of new equipment for LNG burning (Peoples Daily, 2006).

Sahara Gas Distributors In India

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About Us
Sahara gas is backed by the vision of Mr.Ram Chander Sheoran who has got decades of valuable experience behind him of LPG supplying. What do we believe in at Sahara Gas.
Sahara gas is one of India’s leading LPG suppliers helping the Indian households cooking food as it is Sahara gas iconic vision to light the flame of hunger satiating food in every Indian household and businesses as well. Sahara gas offers an opportunity of its strong franchise network to the buyers and investors helping them create their bright future. Sahara gas has an intense franchise network in areas like Delhi NCR, Haryana, Punjab, Rajasthan already and is further looking for PAN India expansion. We at Sahara gas understand the need of our customers and provide 24/7 customer support along with the best LPG quality gas possible. The safety of our customers is our priority and is of utmost significance to us. We provide quick installation services to our customers with variety of modules. The LPG we provide is in contrast to the customer satisfaction. We believe in providing easy and hassle free services to our loyal consumers. We are mentored and backed by one of the leading franchise consultancy companies i.e, franchise zing and it is because of their dedicated services that we are having this profitable franchise opportunity to expand aggressively.
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