An Update on the UK’s Autogas Market

By Lisa Thomson, Communications Manager, UKLPG, the trade association for the LPG industry in the UK

Following the recent Autumn Budget Statement by the UK’s Chancellor George Osborne, the fuel duty regime in place for Autogas in the UK remains largely unchanged with the announcement of the deferment to the 1st August 2012 (deferred from the 1st January 2012).

What does this mean for Autogas in the UK?

With petrol prices still high it means an average difference of 57.2 pence per litre at the pumps.

UKLPG met with the UK Treasury ahead of this budget milestone, and has been reassured that the fuel duty differential is expected to continue for Autogas until the next general election for the UK (2015).

The Autogas market continues to remain 10% of LPG sales and fuels approximately 2% of the petrol vehicles in the UK. However with 10% of forecourts selling Autogas it remains the Third Fuel most popular on the forecourt. Autogas Ltd, is the leading Autogas supplier in the UK, and has recently been ramping up its efforts to remind consumers of the benefits of using our fuel and most recently by celebrating the availability of Autogas at Hopwood Park Services which is a prime location on the busy M42 motorway near Birmingham.

Representatives from Autogas met with members of the public to explain the cost and environmental benefits of switching to Autogas along with Bromsgrove MP, Sajid Javid and British Touring Car Championship (BTCC) race ace, Tom Onslow-Cole.

Sajid Javid MP for Bromsgrove commented: “I was delighted to open the first Autogas refuelling station at Hopwood Park Services on the M42. Not only is Autogas better for the environment than petrol or diesel, but it is also less expensive per litre, which is good news given that many people are feeling the pinch from rising fuel prices.”

Tom Onslow-Cole, who raced in an Autogas fuelled Ford Focus in the BTCC 2010 season, has recently had his own Range Rover Sport converted to run on LPG. He said: “The difference in cost is dramatic when filling up with Autogas instead of petrol.

This event forms part of a nationwide launch programme throughout 2012, each site opening being used as an opportunity to spread the word to UK drivers and the UK’s Members of Parliament. Jem Aldridge, General Manager and UKLPG Board Member, said:
“Fuel prices are hot on the agenda at the moment and motorists are looking for ways to save money on their fuel and motoring costs. Autogas cannot be ignored as an alternative, and we are seizing this opportunity to push the positive message of Autogas as an environmentally friendly fuel, which can save you up to 40% on your running costs.”

As the UK’s economy continues to suffer, and we head into winter, fuel costs remain at the top of the UK political agenda. In conjunction with a large number of wider energy policies targeting rural households, and the closing down of rural forecourts, the political focus has increasingly centred on rural areas, where fuel poverty and the recently adopted “transport poor” term remain higher than average, and therefore Autogas can play its part in alleviating part of the rural transport poverty issue. To meet this growing political trend UKLPG will be combining its positive messages for domestic LPG with that of Autogas and in the New Year UKLPG will be promoting LPG Part of the Sustainable Rural Energy Mix. The aim being to highlight how LPG can become the all round solution for the UK rural home – meeting energy needs of rural homes and vehicles.

Lisa can be contacted by email at lisa.thomson@uklpg.org