Greenergy expands its role in the UK supply chain

Major investment has been made at import and storage terminals; Greenergy holds its own physical oil at eight terminals, including North Tees

Major investment has been made at import and storage terminals; Greenergy holds its own physical oil at eight terminals, including North Tees

Greenergy is continuing to expand its role in the UK’s fuel supply chain as it pushes ahead with a major programme of infrastructure investment and develops its in-house logistics operation in Greenergy Flexigrid.

The company is already the largest of the independent wholesalers, supplying more than a quarter of the road fuel in the UK.  It holds its own physical oil at eight terminals across the country, including at Thames, Teesside, Clydebank, Cardiff and Plymouth, and supplies customers from a further 16 locations – making it the country’s only national fuel supplier.

To consolidate its position in the UK market, Greenergy has made a number of major terminal investments over the last few years, including the purchase of former Petroplus refineries at Thames Oilport and at Teesside.  These complement its previous investments in petrol blending facilities, new storage and distribution facilities at import terminals around the country.  They also mean that Greenergy owns or part-owns the only two deep water jetty terminals in the UK.

Greenergy has also expanded its role in the delivery of fuel to company sites. The company has always been a major supplier of fuel on a delivered-in basis, but historically provided deliveries through third-party haulage companies.  In order to improve control and service levels, it began insourcing these operations in 2012.  Today the company employs around 250 drivers, based in 15 depots nationally and supported by operational centres at Thames and Tamworth.  Tankers are either Greenergy livery, Flexigrid livery (providing a neutral service brand suitable for delivery to retail sites) as well as customers’ brands.

Andrew Owens, Greenergy chief executive explained: “Our aim is to create a low cost base without compromising on reliability and service, so we can offer the most competitive pricing for customers.  To achieve that, we are continuing to make major investments in import and storage terminals in order to develop our service capability and meet the needs of our customers.

“By developing modern import terminals with deep water jetties, we can buy in large quantities from the lowest cost suppliers globally and move that low cost product to our other supply locations around the country.

“Our cost advantage also comes from a lean organisation that is highly automated.  Investment in IT systems has created back-office efficiencies, minimised back office costs and provided for an error-free service for customers.”

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