South Africa’s Saldanha Bay LPG facility officially opens for business

The Sunrise Energy developed open-access LPG import and storage terminal in Saldanha Bay, South Africa, has officially opened.

The R1.02bn facility is a public–private partnership between Mining, Oil and Gas Services (Mogs) and the Industrial Development Corporation (IDC).

The facility is intended to boost regional energy security and increasing downstream competition, strengthening the country’s oil and gas sector.

Mmamoloko Kubayi, South African energy minister, said:  “The sustainability of the country’s energy supply includes a diversified energy mix. For cooking and space heating, the efficiency of LPG is unrivalled.

“Access to energy is critical to markets for economic growth. Having realised the benefits of LPG, it should be promoted on the same level as other energy sources.”

Pieter Coetzee, Sunrise Energy’s chief executive, said LPG had the potential to displace 1.2GW of electricity during peak hours: “LPG could help transform South Africa’s energy space into a more favourable mix. LPG is between 20 per cent and 50 per cent more cost effective than electricity for light commercial and domestic thermal applications.”