LPG: Modern Energy For East Africa Development
Wanjiku Manyara
Petroleum Institute of East Africa
26th September 2011
September 2011 1
Overview of EAC Market Today
Supply Infrastructure
Challenges
Governments’ Policy
Promoting LPG Consumption for
Development
September 2011 2
Market Size
◦ 5 independent countries (Burundi, Kenya, Rwanda, Tanzania
and Uganda)
◦ Only Tanzania & Kenya have access to sea : Burundi,
Rwanda & Uganda are land locked.
◦ Population 127 million
Consumption
o 48000 MT in 2005 to 103,889MT in 2010(KE)
o 4400 MT IN 2005 to 7800MT in 2010(UG)
o 5,500MT in 2005 to 24,000MT in 2010 (TZ)
o 935MT in 2005 to 1500MT in 2010 (RW)
o Approximately 600MT (BU)
o Retail is 60% and Commercial is 40%
September 2011 3
September 2011 4
Region is supplied through imports via port of Mombasa
and Port of Daresalaam
Supply also from the Refinery in Kenya
New Refinery planned in Uganda
Depots and filling plants across the region mainly owned
by larger OMCs who have integrated market presence
Current import and storage facilities cannot cater for
market potential
Distribution is by road and rail though rail network
systems are run down
Investment in Import & Storage Facilities of 14,000 M.T.
in Mombasa on-going through public private partnership
September 2011 5
Insufficient infrastructure
Unreliable supply
Logistical challenges
High costs of product and accessories
Malpractices
Ineffective enforcement and compliance
Inadequate consumer
education/sensitisation
September 2011 6
Conservation of forests/reaforestation by
discouraging use of biomass( wood and charcoal )
Decrease health budget spending on indoor pollution
Deliver modern energy for Cooking, Heating &
Lighting to urban and rural locations
Make alternative to biomass affordable and accessible
Make alternative to biomass available
Promote development & implementation of
Legislation and standards
Encourage investors and competition
Promote wider adoption & Use
September 2011 7
Standardization of domestic cylinders
Cycle of Light Project
LPG Vehicle Project
EA WLPGA Summit outcome
September 2011 8
ASANTE
September 2011 9