UKLPG comments
Posted: Sat Jan 26, 2013 6:27 pm
Had an interesting and polite conversation with a very nice bloke who is the manager of a well known system importer/supplier the other day and most of the points discussed were regarding UKLPG. I'm not going to mention people or company names etc, so for the purpose of this thread I'll call both the supplier and brand X because they effectively mean the same thing to most people in the UK. I've bought various components from supplier X and brand X over the years, injectors, reducers, etc, to replace like with like when repairing installations and tanks when other suppliers haven't had the size in stock that I've needed, but I'm hardly a regular customer of theirs. The transcript below is what I can remember of the chat and the gist of what was said but there will be points I left out and things forgotten, and actual words said will be different because I'm working from memory.
Recently, I had an enquiry from a potential customer regarding converting his Jap car and quoted for the conversion. The customer was happy with the quote but said he'd like system X instead. I told the customer I estimated system X would be a little more expensive than the system I'd already quoted for and that I'd call him back to confirm the price. I phoned supplier X and asked for the latest prices and was told "Yes we can see we have you on our computer system but I'll need to have a word with the boss before saying we can supply you because we have a three star tier system for installers and I don't know where you'll be on our tier. The boss isn't here right now but I will ask him to call you when he gets back in". I said "OK please ask him to call me ASAP because I'll need to quote the customer". In the meantime I re-checked prices from other European suppliers of brand X (we don't need to buy from supplier X in the UK to buy brand X, anyone can buy brand X from suppliers in Europe and this is allowed by UKLPG).
I received the return phone call from the boss of supplier X a day or so later... He told me "Yes I can see we've supplied you with so and so in 2012, so and so in 2011, etc (going back over the years) but according to our star tier rating you're not a very regular buyer or a member of UKLPG and UKLPG won't let us sell a system to you without having us come out to you first to show you how to 'set up' the system and for that we'll charge £1000 but you'll get that back over your next ten installs of brand X... Our prices are (price) for a 4 cylinder system, (price) for an 8 cylinder system etc". Unpleasantly surprised but smiling (and with my girlfriend beside me trying not to laugh), I replied with "Well I'd like to buy from like I have before, even though your prices are £50 more than I can buy brand X from other European suppliers, but I don't think I will buy from you because you're asking me to pay £1000 up front when I can easily buy the exact same components cheaper from other suppliers in Europe who don't ask me to pay £1000 up front and I don't need you to come out to me because, as you are well aware, I'm already very familiar with installing systems, including the system you supply, and £1000 seems a bit excessive to charge for a visit". X: "Yes I know it's a bit silly and there's nothing I could teach you but you would get that £1000 back over your next ten systems from us and we have to charge it because UKLPG tell us we have to". Me: "Why do you let UKLPG dictate to you, you must lose a lot of business?" X: "We probably do and every year we leave it until the last minute before renewing our membership, this year we may even not renew membership, but there is an advantage to being a member of UKLPG, UKLPG member installers seem to prefer to buy from us because we are also members and UKLPG tell us we have a third of the market share in the UK due to this". Me: "You may have a third of the share of all systems that end up being registered by UKLPG but to me this just shows how few installations are actually registered with UKLPG. Only a fraction of all converted vehicles are registered with UKLPG (which also implies that UKLPG don't have much of a foothold). I believe at one time UKLPG's own rules said that for an installation to be registered with them, the whole supply chain had to be members not just the installer, so I can understand why you wanted to be a member of UKLPG back then, but now UKLPG allow any E67 system to go on their register as long as it is checked by one of their member installers I don't see why you would continue to pay for membership, particularly as most other big name suppliers now do not. I would've thought installers would continue to buy from you regardless of whether you're a member of UKLPG or not, given that brand X is a well known and respected name. Other big suppliers (that used to be members but are no longer members) don't seem to be affected, it is UKLPG that has been affected because, due to so many suppliers now not renewing memberships, they have changed their own rules in order to stay in business - After all, if they hadn't changed their own rules to allow systems supplied by none member suppliers to go on their register then that would mean they wouldn't be making membership money from the installers of systems that come from those suppliers (there would be no point an installer being a member if when they'd converted a vehicle it couldn't be registered with UKLPG because the system wasn't supplied by a UKLPG member). UKLPG are a business and change the 'rules' to maximise profit rather than standing by their own rules". X:"Yes I agree and that's something we brought up with UKLPG and like I said we might not renew membership this year. When UKLPG changed their rules to allow systems from any supplier (irrespective of whether the supplier is a member of UKLPG or not), to go on a vehicle and to allow that vehicle to then go on the UKLPG register, we made a bit of a fuss... So UKLPG made a concession to us that if anyone checks out their website looking for an installer, those installers that install our system are highlighted on the website as prefered installers but UKLPG don't go as far as not letting systems supplied by none member suppliers go on their register". Me:"That doesn't seem much of a concession to you considering you're now having to charge any none UKLPG member installers who want to buy a system from you £1000 up front and those/any installers can simply bypass you and buy the exact same parts from Europe. It also doesn't seem very fair to you that you've continued to pay for your membership of UKLPG whilst other suppliers have cancelled membership, yet those other suppliers equipment can now be installed on vehicles and the resulting converted vehicle can go on the UKLPG database. I suppose, considering most suppliers are not now members of UKLPG, that if UKLPG had stuck to their original rules regarding the whole supply chain needing to be members, that they would now be out of business. I don't think this is how an 'association' that claims to vet installations, installers and suppliers should act and this is one of the reasons why I won't apply for membership - You would think an organisation that believes they carry any weight in the business would set rules and stand by them, not change their own rules as suits to maximise their own profits". X:"Yes you're right and like I say we might cancel membership this year". Me:"At the moment it would seem you're leaving yourself wide open to being pushed aside by other suppliers in Europe because if you won't sell to none UKLPG members there are plenty that will and they can also beat your prices". X:"Yes we know it's a point of discussion in our meetings, brand X sell the exact same equipment cheaper in Europe in order to sell in Europe with those countries being poorer, but this allows others in Europe to sell cheaper than us in the UK, however people in the UK might have to wait for systems arriving due to shipping if they buy from Europe and brand X in Italy are trying to stamp out European sellers selling our system to the UK". Me: "There's nothing to stop installers keep a few brand X systems on the shelf, they can keep several systems on the shelf for the price you're charging for your visit, if they find shipping times too long they might keep some on the shelf if they continue to fit system X. I can't see how they can stamp out systems coming over from Europe, all these European installers have to do is say they're installing a system but instead sell it to the UK. Besides, brand X is owned by an American company and anyone can just buy brand X from America even if the Italian brand X do manage to stamp it out in Europe". X:"Well yes that would get around any delays in getting brand X from Europe and it's true it will be difficult to stamp it out but brand X assure us they're putting systems in place to prevent it". Me: "In the meantime you have a market share that UKLPG says is one third of all installs done on their register, but only a fraction of installs go on this register because only a fraction of installers are members of UKLPG... If every installer in the UK asked to buy a system from you, how many of those would you already have accounts with so wouldn't be new business, how many would be members of UKLPG that didn't have an account with you (probably few), and how many wouldn't be UKLPG members (so you wouldn't sell to them without asking for £1000 first)?"
My opinion on UKLPG: The safety message that UKLPG send out is all well and good even though a little contradictory (because they spread the word that LPG is safer than petrol, yet any mechanic can work on a petrol system or brakes and there's no fuss about that). There are several reasons why I don't see myself paying to become a member: UKLPG are self appointed red tape generators and don't have the support of law. They cease every opportunity to spread the message 'you will probably not be able to insure a converted vehicle unless it has been checked / installed by one of our members', which is mis-information to the public because most insurers don't care if an install is on their private (not government) database or not - I don't like the self promoting lies. The law states a conversion should be checked by competent persons, it doesn't mention UKLPG. I don't like the 'we are the authority even though the government doesn't say so and hasn't given us any powers' attitude and I don't like red tape in business, there is enough of that already. The standards UKLPG endorse are thoroughly common sense (or should be to anyone who works on vehicles) and are based on European standards anyway (I'm not big on Europe but what was the point of UKLPG reinventing them?). Who would install a gas pipe next to an exhaust or not thoroughly secure a tank? Yes it is done, but somewhere there will also be someone who works at a garage who thinks spark plugs should be installed in the petrol tank... Despite the safety message they are unavoidably a profit making organisation and this seems to mean profit comes first. I think we've already had an obvious example of this (the supplier membership / whole supply chain example). All Britain's old BS standards are being changed to bring us in line with European standards - the systems we fit need to meet European standards, not British or UKLPG standards.
In a different chat (around a month ago) with another well known supplier (whos name I won't say here but is mentioned all over this forum) we got around to discussing the same subject. He told me his thoughts were like this: UKLPG need installers and suppliers regardless of membership of UKLPG or not, suppliers and installers can continue business without UKLPG but UKLPG cannot continue business without suppliers and installers. They realised that instead of being worried about UKLPG's rules and membership, they held more standing in the industry than UKLPG so cancelled their membership years ago and knew UKLPG would bend their 'regulations' to suit when others did the same - and they were correct. They know that by far the majority of conversions done in the UK and all done abroad are not registered with UKLPG yet still get insurance. The last point makes a mockery of the 'you won't get insurance unless your conversion is checked by our members' because all those none UKLPG registered conversions are insured. They know that many conversions that are registered on the UKLPG database have not actually been installed or checked by UKLPG member installers - because there are now groups of installers (mostly foreign) who put their money together to buy membership for one company, then all installers in this group register their installs with UKLPG through that one company without that company even seeing the conversions they put on the UKLPG database. This supplier echoed my thoughts that if UKLPG were more serious about safety and less so about profit, that one way of stamping out the 'clubbing together to pay for membership' would be to stop allowing members to register their own conversions on the database and instead to have premises up and down the country where installations on vehicles could be impartially but compulsorily checked before being declared safe. The DOT already has the MOT system, they could charge MOT testers for further training that allows them to do the checks, or UKLPG could set up separate test centres.... but being a private profit making company, who ensures UKLPG standards make sense?
What do you think?
Recently, I had an enquiry from a potential customer regarding converting his Jap car and quoted for the conversion. The customer was happy with the quote but said he'd like system X instead. I told the customer I estimated system X would be a little more expensive than the system I'd already quoted for and that I'd call him back to confirm the price. I phoned supplier X and asked for the latest prices and was told "Yes we can see we have you on our computer system but I'll need to have a word with the boss before saying we can supply you because we have a three star tier system for installers and I don't know where you'll be on our tier. The boss isn't here right now but I will ask him to call you when he gets back in". I said "OK please ask him to call me ASAP because I'll need to quote the customer". In the meantime I re-checked prices from other European suppliers of brand X (we don't need to buy from supplier X in the UK to buy brand X, anyone can buy brand X from suppliers in Europe and this is allowed by UKLPG).
I received the return phone call from the boss of supplier X a day or so later... He told me "Yes I can see we've supplied you with so and so in 2012, so and so in 2011, etc (going back over the years) but according to our star tier rating you're not a very regular buyer or a member of UKLPG and UKLPG won't let us sell a system to you without having us come out to you first to show you how to 'set up' the system and for that we'll charge £1000 but you'll get that back over your next ten installs of brand X... Our prices are (price) for a 4 cylinder system, (price) for an 8 cylinder system etc". Unpleasantly surprised but smiling (and with my girlfriend beside me trying not to laugh), I replied with "Well I'd like to buy from like I have before, even though your prices are £50 more than I can buy brand X from other European suppliers, but I don't think I will buy from you because you're asking me to pay £1000 up front when I can easily buy the exact same components cheaper from other suppliers in Europe who don't ask me to pay £1000 up front and I don't need you to come out to me because, as you are well aware, I'm already very familiar with installing systems, including the system you supply, and £1000 seems a bit excessive to charge for a visit". X: "Yes I know it's a bit silly and there's nothing I could teach you but you would get that £1000 back over your next ten systems from us and we have to charge it because UKLPG tell us we have to". Me: "Why do you let UKLPG dictate to you, you must lose a lot of business?" X: "We probably do and every year we leave it until the last minute before renewing our membership, this year we may even not renew membership, but there is an advantage to being a member of UKLPG, UKLPG member installers seem to prefer to buy from us because we are also members and UKLPG tell us we have a third of the market share in the UK due to this". Me: "You may have a third of the share of all systems that end up being registered by UKLPG but to me this just shows how few installations are actually registered with UKLPG. Only a fraction of all converted vehicles are registered with UKLPG (which also implies that UKLPG don't have much of a foothold). I believe at one time UKLPG's own rules said that for an installation to be registered with them, the whole supply chain had to be members not just the installer, so I can understand why you wanted to be a member of UKLPG back then, but now UKLPG allow any E67 system to go on their register as long as it is checked by one of their member installers I don't see why you would continue to pay for membership, particularly as most other big name suppliers now do not. I would've thought installers would continue to buy from you regardless of whether you're a member of UKLPG or not, given that brand X is a well known and respected name. Other big suppliers (that used to be members but are no longer members) don't seem to be affected, it is UKLPG that has been affected because, due to so many suppliers now not renewing memberships, they have changed their own rules in order to stay in business - After all, if they hadn't changed their own rules to allow systems supplied by none member suppliers to go on their register then that would mean they wouldn't be making membership money from the installers of systems that come from those suppliers (there would be no point an installer being a member if when they'd converted a vehicle it couldn't be registered with UKLPG because the system wasn't supplied by a UKLPG member). UKLPG are a business and change the 'rules' to maximise profit rather than standing by their own rules". X:"Yes I agree and that's something we brought up with UKLPG and like I said we might not renew membership this year. When UKLPG changed their rules to allow systems from any supplier (irrespective of whether the supplier is a member of UKLPG or not), to go on a vehicle and to allow that vehicle to then go on the UKLPG register, we made a bit of a fuss... So UKLPG made a concession to us that if anyone checks out their website looking for an installer, those installers that install our system are highlighted on the website as prefered installers but UKLPG don't go as far as not letting systems supplied by none member suppliers go on their register". Me:"That doesn't seem much of a concession to you considering you're now having to charge any none UKLPG member installers who want to buy a system from you £1000 up front and those/any installers can simply bypass you and buy the exact same parts from Europe. It also doesn't seem very fair to you that you've continued to pay for your membership of UKLPG whilst other suppliers have cancelled membership, yet those other suppliers equipment can now be installed on vehicles and the resulting converted vehicle can go on the UKLPG database. I suppose, considering most suppliers are not now members of UKLPG, that if UKLPG had stuck to their original rules regarding the whole supply chain needing to be members, that they would now be out of business. I don't think this is how an 'association' that claims to vet installations, installers and suppliers should act and this is one of the reasons why I won't apply for membership - You would think an organisation that believes they carry any weight in the business would set rules and stand by them, not change their own rules as suits to maximise their own profits". X:"Yes you're right and like I say we might cancel membership this year". Me:"At the moment it would seem you're leaving yourself wide open to being pushed aside by other suppliers in Europe because if you won't sell to none UKLPG members there are plenty that will and they can also beat your prices". X:"Yes we know it's a point of discussion in our meetings, brand X sell the exact same equipment cheaper in Europe in order to sell in Europe with those countries being poorer, but this allows others in Europe to sell cheaper than us in the UK, however people in the UK might have to wait for systems arriving due to shipping if they buy from Europe and brand X in Italy are trying to stamp out European sellers selling our system to the UK". Me: "There's nothing to stop installers keep a few brand X systems on the shelf, they can keep several systems on the shelf for the price you're charging for your visit, if they find shipping times too long they might keep some on the shelf if they continue to fit system X. I can't see how they can stamp out systems coming over from Europe, all these European installers have to do is say they're installing a system but instead sell it to the UK. Besides, brand X is owned by an American company and anyone can just buy brand X from America even if the Italian brand X do manage to stamp it out in Europe". X:"Well yes that would get around any delays in getting brand X from Europe and it's true it will be difficult to stamp it out but brand X assure us they're putting systems in place to prevent it". Me: "In the meantime you have a market share that UKLPG says is one third of all installs done on their register, but only a fraction of installs go on this register because only a fraction of installers are members of UKLPG... If every installer in the UK asked to buy a system from you, how many of those would you already have accounts with so wouldn't be new business, how many would be members of UKLPG that didn't have an account with you (probably few), and how many wouldn't be UKLPG members (so you wouldn't sell to them without asking for £1000 first)?"
My opinion on UKLPG: The safety message that UKLPG send out is all well and good even though a little contradictory (because they spread the word that LPG is safer than petrol, yet any mechanic can work on a petrol system or brakes and there's no fuss about that). There are several reasons why I don't see myself paying to become a member: UKLPG are self appointed red tape generators and don't have the support of law. They cease every opportunity to spread the message 'you will probably not be able to insure a converted vehicle unless it has been checked / installed by one of our members', which is mis-information to the public because most insurers don't care if an install is on their private (not government) database or not - I don't like the self promoting lies. The law states a conversion should be checked by competent persons, it doesn't mention UKLPG. I don't like the 'we are the authority even though the government doesn't say so and hasn't given us any powers' attitude and I don't like red tape in business, there is enough of that already. The standards UKLPG endorse are thoroughly common sense (or should be to anyone who works on vehicles) and are based on European standards anyway (I'm not big on Europe but what was the point of UKLPG reinventing them?). Who would install a gas pipe next to an exhaust or not thoroughly secure a tank? Yes it is done, but somewhere there will also be someone who works at a garage who thinks spark plugs should be installed in the petrol tank... Despite the safety message they are unavoidably a profit making organisation and this seems to mean profit comes first. I think we've already had an obvious example of this (the supplier membership / whole supply chain example). All Britain's old BS standards are being changed to bring us in line with European standards - the systems we fit need to meet European standards, not British or UKLPG standards.
In a different chat (around a month ago) with another well known supplier (whos name I won't say here but is mentioned all over this forum) we got around to discussing the same subject. He told me his thoughts were like this: UKLPG need installers and suppliers regardless of membership of UKLPG or not, suppliers and installers can continue business without UKLPG but UKLPG cannot continue business without suppliers and installers. They realised that instead of being worried about UKLPG's rules and membership, they held more standing in the industry than UKLPG so cancelled their membership years ago and knew UKLPG would bend their 'regulations' to suit when others did the same - and they were correct. They know that by far the majority of conversions done in the UK and all done abroad are not registered with UKLPG yet still get insurance. The last point makes a mockery of the 'you won't get insurance unless your conversion is checked by our members' because all those none UKLPG registered conversions are insured. They know that many conversions that are registered on the UKLPG database have not actually been installed or checked by UKLPG member installers - because there are now groups of installers (mostly foreign) who put their money together to buy membership for one company, then all installers in this group register their installs with UKLPG through that one company without that company even seeing the conversions they put on the UKLPG database. This supplier echoed my thoughts that if UKLPG were more serious about safety and less so about profit, that one way of stamping out the 'clubbing together to pay for membership' would be to stop allowing members to register their own conversions on the database and instead to have premises up and down the country where installations on vehicles could be impartially but compulsorily checked before being declared safe. The DOT already has the MOT system, they could charge MOT testers for further training that allows them to do the checks, or UKLPG could set up separate test centres.... but being a private profit making company, who ensures UKLPG standards make sense?
What do you think?