Company Report: EnergyNorth (a division of Heritage Propane)

Keeping it cozy

How the EnergyNorth Division of Heritage Propane stays on the hot list of New Hampshire's energy firms
EnergyNorth (a division of Heritage Propane) logo
Keeping it cozy
A bobtail reloading at the Derry, NH, plant
Keeping it cozy
Driver Training and Roadeo Competition
Statistics
  • Name: EnergyNorth (a division of Heritage Propane)
  • Country: United States
  • Employees: 75
  • Revenue: US$30 million+
Management
  • Vice President: Bob Young
Over the last two decades, cities and towns in central and southern New Hampshire have experienced record growth. As a result, local builders and residents have been at the forefront of choosing clean, reliable and affordable energy sources - and more of them are choosing propane than ever before. That's great news for EnergyNorth, a division of Heritage Propane.

A trusted supplier in the region since 1987, the three companies that came to form EnergyNorth were in business for more than 50 years. EnergyNorth has a thorough understanding of New Hampshire's hilly terrain and the people who live and work in its service area. As 11-year company veteran Bob Young tells it, EnergyNorth sought out Heritage Propane as a potential parent company before sealing the deal in 2001.

"I've been in the business for 20 years. I knew Heritage had a good reputation," explains Young, the firm's VP and Regional Manager whose territory includes locations in Vermont, Maine and Massachusetts. "When they buy a company they don't just come in and get rid of the local employees. We had over 60 employees at the time, and I knew they would treat our employees the best."

By combining local community connections with the strength and reach of a national energy supplier, EnergyNorth delivers great service and a great product - without sacrificing the established identity and local workforce that has been responsible for the company's success.

THE POWER OF REACH
Heritage Propane's national retail distribution network reaches more than 1,300,000 customers. With close to 450 customer service locations in 41 states, the firm delivers energy from coast to coast. That comprehensive coverage enables EnergyNorth to serve customers in both urban and extremely rural settings.

"We get propane from a variety of sources," Young notes. From seaborne propane cargo deliveries at terminals in Portsmouth, to truck deliveries from the pipeline in New York and rail cars from Canada, EnergyNorth has ready access to propane supply. Young is quick to point out that suppliers play a part in the company's overall success as business partners.

"We use a variety of sources, which is one of our strengths as a company. We're nationwide, so in the event of service disruptions we can ship products. It's one of the advantages of our nationwide supply department." EnergyNorth operates six plants with more than 700,000 gallons of total storage. Their 3,000-gallon "bobtail" LP gas delivery trucks move the product throughout New Hampshire.

EnergyNorth's fleet of 45 delivery and service vehicles are equipped with onboard computer systems that automate information processing. Mobile Computing Corporation's Propane Delivery System facilitates the accurate transfer of information between the front office and each of the trucks. The fully integrated wireless system allows drivers to produce detailed, legible and accurate invoices on the road; in addition to increasing customer satisfaction, the onboard systems have cut overhead and greatly improved operational efficiency. The system integrates seamlessly with the back office Fuel Data Software which runs the day-to-day operation.

"It enables us to offer better customer service, our drivers are more productive, and our billing is more timely," he says. "We are constantly looking at new technologies, whether it's handheld computers, a flat rate billing system - which is big in the HVAC industry - and training," Young affirms. EnergyNorth offers comprehensive training programs for their technicians with both certified in-house instructors, supplier trainers and trainers from the Propane Gas Association of New England.

Another key advantage of powerful parent company support comes in the form of safety principles. To keep with the Heritage company mission to "be the safest, most customer-focused and successful propane company in America," the firm created a stringent set of safety standards that eclipse industry regulations.

"Heritage has a solid focus on safety," Young adds. "If we buy a company that's only up to industry codes, we up them to Heritage codes, which tend to be stricter than industry standards."

SKILLED HANDS, WARM HEARTS
Between seasonal and year-round crews EnergyNorth employs about 75 people across the district. District Manager Kevin Bayley oversees the day-to-day operations of EnergyNorth's operations. "Kevin's a great leader. He's got an experienced crew and very small turnover in all departments," Young asserts. "Kevin keeps it all running."

Low turnover aside, when there is an available slot, EnergyNorth attracts new hires with an impressive benefits package that includes a company-matched 401K, competitive salary, health care, dental and a bonus pool based on profitability. "We treat our seasonal drivers like our full timers - we have employee bonus programs and if the branch meets its goals we include the seasonal employees in that as well."

HOT NEW IDEAS
As customers look for cleaner, more affordable energy sources, EnergyNorth is geared up to offer trendsetting alternatives to electric heating systems, such as extremely efficient on-demand water heaters fueled by propane. "Unlike traditional gas or electric water heaters, an on-demand water heater doesn't require a tank. It heats up water as you need it," Young says. "A typical family of four will burn 290 gallons a year on a standard water heater; an instantaneous water heater will cut it down by about 25 percent, down to about 200 gallons."

EnergyNorth specializes in installing underground propane tanks, which is a preference of local builders. "Underground tanks are ideal for people who are converting their houses from oil or electric power," Young states. Underground tanks conceal the propane unit safely.

Propane is gaining popularity as an environmentally-friendly choice for home heating because it can help lower greenhouse emissions and save energy. "We're looking at new product lines," Young continues. "There's a new product line called Freewatt; it's a heating system that will actually create electricity by using propane."

The Massachusetts-based manufacturer, ECR International, created the innovative systems, which are designed to lower the environmental impact of heating and cooling. "Freewatt enables you to create your own electricity and cut down your demand from the grid. That's another way of greening America," Young says. "Propane reduces harmful emissions that come from coal and wood. In fact, the American Lung Association has recommended that if anybody has lung issues such as asthma or COPD, instead of using a wood-burning fireplace, stove or even a pellet-burning stove, they should use a clean burning gas fireplace."

The EnergyNorth showroom in Concord offers a range of fireplaces, heating equipment and other clean-energy products.