In Conversation
In Conversation
Growing the business
IT WAS 2012 WHEN FUEL OIL NEWS FIRST WENT OVER THE PENNINES TO SPEAK WITH CHRIS BINGHAM ; A VISIT THAT TOOK PLACE LESS THAN A YEAR AFTER CRAGGS ENERGY WAS FORMED . ON A WINTRY DAY IN LATE JANUARY FUEL OIL NEWS PAID A RETURN VISIT TO CATCH UP WITH THIS ENTERPRISING YORKSHIRE DISTRIBUTOR ’ S MORE RECENT VENTURES
Craggs Environmental was set up just three years ago as a spin off from the energy business . Now with a team of 12 , this business has a big blue-chip customer list among which are the MoD , NHS , schools and large high street retailers .
Helping to minimise risks where large volumes of fuels are used and stored , the business provides commercial and publicsector customers with a range of fuel management services .
Working with strategic and specialist partners , Craggs Environmental can sample , clean and uplift fuel as well as install , monitor and decommission tank infrastructure . The company is also an Environment Agency registered waste carrier with its own laboratory for testing fuel samples .
Origins of the new business The move into this sector was prompted by fuel delivery work which Craggs Energy started to do on behalf of The Crown Commercial Service ( CCS ) around four years ago .
“ A lot of our services developed as a result of this CCS work ,” explained Chris who is now CEO of the Craggs Energy Group which includes fuel distribution , a fuel cards division and the new environmental business .
“ We were not prepared to service such big sites unless the tank ’ s existing fuel had been tested . It being both prudent and common sense to take a fuel sample to learn exactly what ’ s in the tank before making a delivery . Then , if there ’ s an issue , the results can be taken back to the customer and the problem resolved .”
Craggs Environmental found that 54 % of customers who had their stored fuel sampled , discovered their fuel was out of specification .
“ When stand-by generators are used for critical applications it ’ s vital that fuel is checked as it can sit there for years ,” said Chris .
Over a period of 12 months significant investment was made into Craggs Environmental which , having worked from the Highlands to Northern Ireland , Jersey and the Isle of Wight , is now a business that operates nationwide , and is even looking at the possibility of working in the EU .
14 Fuel Oil News | April 2018
Taking risks and a big leap The transition from delivering fuel to providing environmental services has been quite a leap .
“ When delivering fuel you know exactly what you ’ re doing , but the environmental side is very much bespoke work ,” said Chris .
“ Managing this risk is very different , particularly in decommissioning , as you ’ ve no idea what you ’ ll find . Each job , several of which can involve operating in dangerous and challenging environments , requires a lot of survey work and may involve heavy lifting gear and , with many heavy fuel oil tanks abandoned and falling apart , decommissioning is big business .
Craggs Energy ’ s new app , which ‘ brings a whole new level of automation to messaging ’ was developed inhouse
“ We manage the process ; finding relevant specialists with possibly three or four needed for a project to degas , cut up the tank , remove the tank and make good the site .”
As part of its big investment three years ago , Craggs bought its own filtration kit from Filtertechnik to use inhouse . Fuel polishing can also be done from a transit van equipped with a small filtration kit , with some Craggs drivers now enjoying working on both deliveries and environmental matters .
“ Dealing directly with customers , two customer facing teams manage the whole package from fuel supply to testing and cleaning . From a service point of view , we feel this is where the industry is going .
Seeing the benefits “ It was a tough year when we set up initially but we started to see the benefit when the environmental business started booming a year ago ,” said Chris .
Craggs Environmental , which now has 200 customers using its services , is going from strength to strength with the company looking for more partners – commercial grade engineers , decommissioners , OFTEC registered plumbers and installers – to work as part of the team .
A new appointment , product and installer evenings “ A bespoke risk-based service requires a different mindset . It ’ s an interesting business that ’ s very different from fuels ,” said Chris .
With such risk assessments not being the norm for a fuel oil distributor , in November 2017 Craggs appointed Richard Wallace , a former Lieutenant Colonel in the Royal Marines , as managing director to revise its operation and ensure all was fit for purpose .
“ We needed a more robust structure ,” Chris explained . “ One with more skills to fit our business , the right training and insurance with additional people appointed on the operations side .”
Craggs ’ apprentices were responsible for the development of the Tank Sponge Indicator , a small water absorbent device which when lowered into a fuel tank can identify the presence of water or tank sludge .
“ Whilst this started as just a small idea , it now justifies its own business .”
Craggs Energy , which employs a fulltime OFTEC registered engineer , also has four supporting tank installers working across Yorkshire and Lancashire .
Installer evenings were recently held at both the Cragg Vale and Padiham depots with Fast Exocet ’ s Julia Mansfield and Charles Southan , who took part in the events , very complimentary .
“ It was a great idea of Chris Bingham ’ s to bring the heating oil industry together with a pie & pint night . Fuel distributor , equipment manufacturers and heating engineers had a chance to understand our oily lives from all angles , enabling us to work together and ask each other for help , advice and support in the future .
FAST talked about home heating oil