Since 2007, Avedia Energy of Cape Town, South Africa, has been involved in the supplying of the country with liquefied petroleum gas (LPG). To date, the supply and distribution to South Africa have been unstable and irregular. Avedia has pledged to put an end to this trend. They recently reported a plan to commit their company to achieving this goal.
Avedia’s plan is to build and manage a local LPG import terminal and handling facility. This is the first LPG storage unit in the Western Cape and the largest one in South Africa. The proposed import facility, capable of housing 8000 metric tons (MT), will be the largest in the country. This will increase the country’ overall storage capabilities by a minimum of 80%.
This measure will allow South Africa to avoid any issues of a decrease in Africa’s ability to supply the necessary amounts of fuel. It will also allow the growth of LPG within the country. Currently, the country uses approximately350,000 MTs of LPG annually. Some 30% of all usage is consumed by the industrial sector. Avedia Energy believes that their plan will ensure the use of LPG in South Africa will climb to 50% over the next five years.
In July 2013, construction will begin at the Port of Saldanha on the South African West Coast. Over the next three years, the investments for infrastructure will be R300-million. The managing director of Avedia Energy, Atose Aguele, remarked that the local LPG infrastructure would also require around R5-billion in investments if the country intends to support a viable LPG industry.
Aguele strongly believes the company is making the right decision. LPG is a safe, clean and very viable fuel source currently underutilized in South Africa. He sees one reason for this is the lack of a reliable supply and delivery system. His company will address these issues making LPG a dependable and sustainable means of providing an environmentally friendly and sustainable fuel for South Africa.
Author: Zachary Taylor