Despite a declining market, Greenergy has continued its rapid growth over the past 12 months – supplying 10.9 billion litres of fuel during the company’s financial year, ending April 12th – one billion litres more than the previous year, an increase of more than 10%.
“We’ve experienced growth in all areas of our business and in all locations,” Greenergy chief executive, Andrew Owens, told Fuel Oil News. “In particular, we’ve seen strong growth in diesel sales at Teesside following the administration of Petroplus, which brought their exit from nearby storage terminals. We’ve also experienced increased sales volumes for both petrol and diesel in the south east due to interruption of supply at Coryton. Operationally the business has coped well with this additional demand.”
Greenergy’s priorities in the past six months
In January 2012, Greenergy opened a new storage and supply terminal inCardiff. For more efficient fuel movements between terminals, the new Cardiff facility is rail fed. As a result, the company claims to be the only “completely national fuel supplier” in Britain.
The company is continually looking to cut costs from its supply chain, whether purchasing fuel products globally, manufacturing in theUK, or automating its business processes. Greenergy is currently undertaking a £10 million investment in IT and process development which, it claims, when complete, will give capabilities unique in the industry.
Earlier this year Greenergy introduced a “flexible approach” to customer pricing, using spot, lagged, fixed and trigger pricing mechanisms. The company reports considerable interest from the reseller market in this policy.
Greenergy regards its “absolute priority” as always (“and we mean always,” stresses the company) to have fuel available wherever and whenever customers need it. “For our commercial delivered-in customers, we achieved 99% on-time deliveries and zero stock-outs over the year,” says Andrew Owens.
As a totally new area of business, Greenergy has started selling fuel to the independent retail sector. “As a number of the major oil companies scale back their activities in theUK, many dealers are looking for a new forecourt brand,” explains Andrew. “We’re offering them a choice of a number of different brand options, or even their own brand – all with reliable and low cost supply.
“Just to be clear though, you still won’t see the Greenergy brand on retail forecourts, because we don’t want to compete with our customers in that space.”