Benefits of LPG Reticulation (distribution of gas with pipes) for Restaurants, Canteens and Hotels

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  • Author: Muyiwa Ige(LPG Stakeholder and Consultant)

Any ambitious Eatery, Fast Food Service, Restaurant, Canteen and Hotels (with standard kitchens), that wants to continue to thrive and have competitive advantage in the Nigeria of today, must take proactive steps to reduce its operating costs and improve on its operational efficiency.

One of the best ways to achieve this is for the restaurant/kitchen to switch to LPG Reticulation - which is the piping of cooking gas vapor from an aboveground or underground LPG tank, to the kitchen/cooking area.

The stress of hauling an LPG(Cooking Gas) cylinder to a gas station for refill on a frequent basis, cost of transporting the cylinder to and from the gas station, the comparatively higher cost of the gas procured from the gas station and the downtime that may occur when there are challenges in bringing in gas from the gas station in a timely manner, are just some of the reasons LPG Reticulation(Cooking Gas Piping) makes perfect business and economic sense for an Eatery, Restaurant, Big Canteen and an Hotel, that has a standard kitchen.

Cost Benefits of Piping Gas to your Kitchen from a Gas Tank(LPG Reticulation) in Nigeria

Using Lagos as the city where your restaurant is located, the average price of a kg of gas in an LPG Station is N570 (as at 16/06/2023).

P.S For LPG Reticulation, a gas truck will bring in the supply to fill the LPG tank installed on the premises.

With LPG Reticulation, the landing cost of a kg of gas is N515

For an average restaurant that consumes 25 kg of gas on a daily basis:

-           Refilling a single 25kg gas cylinder or two 12.5kg gas cylinders at the gas station: 25kg x N570 = N14,250

-           Average cost of transporting the gas cylinder(s) to and from the gas station: N400

-           Landing cost of 25kg of gas using a 25kgcylinder or two 12.5kg cylinders: N14,250+N400 = N14,650

-           Recall that the landing cost of a kg of gas supplied by an LPG Tanker is: N515

-           Therefore, the landing cost of 25kg of gas for an LPG Reticulation System supplied by an LPG Tanker is: N515 x 25kg = N12,875

-           With a daily consumption of 25kg of Gas

-           Daily savings using LPG Reticulation is: N14,250 – N12,875 = N1,375

-           Monthly Savings( 30 Days) using LPG Reticulation: N1375 x 30 = N41,250

-           Yearly Savings using LPG Reticulation: N41,250 x 12 = N495,000

-           For a restaurant or canteen that consumes 50kg of gas in a day, the figures will be doubled.

Other advantages of LPG Reticulation for a Restaurant/Canteen

•           The quantity of gas in the tank can be monitored via the liquid level gauge on the tank. This means your gas will not get exhausted suddenly without your knowledge; which is something that usually occurs with gas cylinders.

•           The logistics and associated challenges of moving your gas cylinder to the gas station for refill will be eliminated.

•           There will be constant availability of gas for your cooking needs, as long as you check your tank’s gauge often, and place orders for restocking the gas at optimal intervals.

•           A well installed LPG Reticulation system is generally safer than the gas cylinder usage option.

•           It helps you to better manage space in your premises by freeing up the area otherwise reserved for gas cylinder storage.

LPG Reticulation Installation

An LPG (Cooking Gas) tank of 1.5 Metric Tons, 2.5 Metric Tons or 5 Tons, with all the necessary fittings, such as a Liquid Level LPG Gauge, Pressure Gauge, Tank Filler Valve, Vapor Vent Valve and Pressure Relief Valve, is installed aboveground or underground, and connected with steel pipes to the kitchen/cooking area. All requisite controls such as gas valve and regulators, are professionally installed in the pipe network.

Safety of the LPG Reticulation System

A professionally installed LPG tank and piping works guarantees a high level of safety. A well trained operator of the Gas Reticulation system also gives a strong assurance of safety.

Fire extinguishers, CO2, smoke detectors and gas leak detectors, made available at the facility, provide safety assurance for the LPG Reticulation System.

LPG Reticulation System Regulatory Agency

The Nigerian Midstream and Downstream Regulatory Authority is the government agency tasked with the responsibility of granting approval for LPG Reticulation Systems.

LPG Reticulation System Installer

Contact Niglpgas.com for the best LPG Reticulation (Cooking Gas Piping) installation companies in Nigeria.