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Feb 29, 2016

Saving $15, 548 Per Year In Propane Expense!

MLD Keeps E-Commerce Business from Wasting Propane
Saving $15, 548 Per Year In Propane Expense!

The Company: Mid-Sized E-commerce Company
A mid-sized e-commerce company has 15 forklifts working each shift. Standard practice is to exchange the cylinder on each propane forklift at the end of a shift. 3 shifts per day are run year-round. In seasons of peak demand, it runs up to 20 forklifts.

The Problem: Exchanging Bottles with a Significant Amount of Propane Remaining
The warehouse manager had assumed that a propane cylinder would last up to 10 hours. However, he found that many times, with variations in speed and distance covered, forklifts could run out of gas sooner – or much later. So using 10 hours as a gauge was not effective. The decision was made to change the cylinder after an 8 hour shift in all cases. This meant returning many cylinders with a significant amount of propane remaining.

The Solution: Installing the MLD Low Propane Fuel Gauge
The company used the MLD savings calculator to determine exactly how much money could be saved by exchanging cylinders only when they are nearly empty. Realizing that a conservative estimate showed $15,548 in annual savings, the company decided that it was cost-effective to install the MLD low propane fuel gauge on all forklifts.

The Result: Significant Cost Savings and Reliable Performance
The company actually realized a 20% reduction in propane expense month-over-month, which projects to more than $18,000 in annual savings. Previously, another propane fuel gauge solution had been tried and was discarded when it proved to be unreliable. During many months of operation, MLD has performed reliably and effectively.

Paul Delecourt
Paul Delecourt
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