War and Post-war Britain
The post-war house building programme put gas at a disadvantage. Whereas electricity had long developed a national distribution grid, which enabled supplies to reach even small new housing developments, gas was still distributed only locally. Many new housing estates were beyond the reach of the gas main and the stringent Treasury rules about return on investment made extension of mains uneconomic. Electricity made inroads into the home heating market with underfloor heating and night storage heaters using cheap off-peak electricity supplies.
By the 1960s, manufactured gas, compared with its main rival in the energy market, electricity, was considered "nasty, smelly, dirty and dangerous" (to quote market research of the time) and seemed doomed to lose market share still further, except for cooking where its controllability gave it marked advantages over both electricity and solid fuel. The development of more efficient gas fires assisted gas to resist competition in the market for room heating. Concurrently a new market for whole house central heating by hot water was being developed by the oil industry and the gas industry followed suit. Gas warm air heating found a market niche in new local authority housing where low installation costs gave it an advantage. These developments, the realignment of managerial thinking away from commercial management (selling what the industry produced) to marketing management (meeting the needs and desires of customers) and the lifting of an early moratorium preventing nationalised industries from using television advertising, saved the gas industry for long enough to provide a viable market for what was to come.
Read more about this topic: Coal Gas
Famous quotes containing the words war, post-war and/or britain:
“The War was decided in the first twenty days of fighting, and all that happened afterwards consisted in battles which, however formidable and devastating, were but desperate and vain appeals against the decision of Fate.”
—Winston Churchill (1874–1965)
“Much of what Mr. Wallace calls his global thinking is, no matter how you slice it, still “globaloney.” Mr. Wallace’s warp of sense and his woof of nonsense is very tricky cloth out of which to cut the pattern of a post-war world.”
—Clare Boothe Luce (1903–1987)
“I’ th’ world’s volume
Our Britain seems as of it, but not in’ t;
In a great pool a swan’s nest.”
—William Shakespeare (1564–1616)