LPG consumption up seven percent
Liquefied Petroleum Gas (LPG) consumption in Zimbabwe increased by seven percent to 44,29 million kg in the first eight months of 2023 compared to 41,29 million kgs in the comparative period, latest statistics have shown.
The success of the LPG initiative is an indication that the Government and stakeholders are making progress in mitigating the effects of environmental degradation while offering affordable alternative energy to Zimbabweans.
Official figures from the Zimbabwe Energy Regulatory Authority (Zera) show that in August, LPG consumption shot up 73 percent to 9,55 million kg from 5,52 million kg in the same month last year. This is the highest LPG consumption in the last nine years, followed by 6,64 million kg recorded in March 2023.
The increase in LPG usage can be attributed to the resurgent power shortages, which industrialists have warned will negatively weigh on the productive sector’s potential.
As the country battled relentless electricity cuts, domestic power consumers chose to increase their usage of LPG gas as a substitute source of heating energy. The country was not yet self-sufficient in terms of electricity supply hence consumers were increasingly turning to LPG for energy.
“LP gas consumption has improved significantly in the last five years reaching 50 million kg, which pushed us to start regulating the sector,” Eng Theodore Makamba said.
“Zimbabwe is meeting the deficit power through imports and frequent load shedding, while various independent power projects are at different stages of implementation aimed at improving the power supply.”
Zera said; “Increased industrial use of gas and hospital use is also a factor to consider when looking at the increase in use of LPG in the country and we expect it to increase further due to new housing suburbs with no electricity.”
At 9,55 million kg, August LPG consumption was 96 percent higher than 4,86 million kg in July 2023, as monthly average LPG consumption has been 5,53 million kg.
Since 2013, Zera has taken a deliberate approach to encourage the use of LPG as a source of energy for heating and cooking. This saw a growth in the uptake of LPG from 5 million kg in 2013 to the current 60 million kg.
Zera expects a five percent annual increase in LPG usage as the country’s LPG consumption increased by 500 percent to 60 million kg between 2012 and 2022.
In 2022, LPG consumption stood at 59,89 million kg, representing a 5,47 percent rise from 56,78 million kg in 2021.
Last year’s LPG consumption was the highest over the past eight years, and experts, however, say the country should promote local production of green fuel to cut its import bill. LPG importers require at least US$3 million of foreign currency a month to fully service the market.
The Government is also currently engaging investors to come on board as independent power producers.— BUSINESS WEEKLY
