PremiumMUMBAI: In line with the Government of India's flagship door-to-door delivery (DDD) of fuel initiative, mobile fueling platform TankUp will guide 1,000 new entrepreneurs in setting up and running a business in DDD of diesel.
The business can be started with an initial investment of ₹25 lakh, the company said. DDD is intended to build a strong ecosystem for entrepreneurs in the mobile fueling sector.
The ministry of petroleum and natural gas, along with oil marketing companies (OMCs), has been actively working to promote the initiative inviting start-ups through an Expression of Interest for DDD of diesel.
The DDD market currently is 0.3 million KL and has the potential to grow to about 10 million KL of diesel annually in next five years, creating a ₹80,000 crore market.
India uses more than 87 million kiloliters (KL) of diesel annually, out of which 82% is used by the B2B segment (for commercial transportation and industrial use). The DDD opportunity is focused on the delivery of diesel for industrial use only. Approximately 26 million KL of the market is currently serviced through the barrel and jerry can procurement system that results in pilferage and handling losses.
"This is precisely the problem that TankUp aims to solve by empowering fuel entrepreneurs to participate in the organized delivery of diesel for industrial and other commercial uses," said Gaurav Lath, Founder, TankUp.
"TankUp’s mobile fueling solutions have enabled fuel entrepreneurs to deliver more than 1 crore litres of diesel to their industrial and stationed clients. The company is now extending its expertise and solutions to expertise and solutions to guide 1,000 new FuelEnts (fuel entrepreneurs) in setting up and running a successful DDD business," the company said in a statement.
TankUp fabricates mobile dispensers (bowsers) at its manufacturing facilities in three locations across India. The facilities follow certified quality and management systems for the fabrication of Petroleum and Explosives Safety Organization (PESO)-approved browsers or tankers.
The bowsers are custom-built for long-term usage and fitted with a smart Internet of Things (IoT) device which automates the fuel dispensing process. The device simplifies the monitoring and operating process and makes it efficient for the fuel entrepreneur.
The fueling system secured by its proprietary TankLock device, an anti-pilferage, and an anti-theft mechanism that can save diesel worth upto ₹3 lakh annually.
