Zimbabwe records surge in LPG consumption

Zimbabwe is experiencing a significant surge in Liquefied Petroleum Gas (LPG) consumption, signalling a growing shift among households and small businesses towards cleaner and more affordable energy alternatives in the face of persistent electricity outages.

The Zimbabwe Energy Regulatory Authority (ZERA) revealed the trend in its 2024 energy sector report, which highlights increased demand across both fossil fuels and alternative energy sources. According to ZERA, LPG uptake soared to 77.44 million kilograms in 2024, marking a 17% increase from the 66.11 million kilograms recorded the previous year. The growth is largely attributed to rising urban demand and the regulator's continued promotion of clean energy options.

"The use of LPG gas is growing fast, with 2024 imports up significantly compared to 2023," ZERA noted in the report.

However, the authority warned of a worrying rise in illegal LPG distribution networks, with recent enforcement actions leading to the confiscation and destruction of over 200 unlicensed gas cylinders.

ZERA's latest report is expected to influence Government policy decisions on energy pricing, infrastructure development, and private sector participation within the broader energy value chain.

The energy sector report also highlighted broader trends, including a notable rise in diesel consumption, which reflects the growth of fuel retailers and increased activity in the sector. The number of licensed fuel retail companies has jumped from 229 in 2012 to 996 last year, with the regulator inspecting 1 024 fuel sites in 2024. Of these, 38 sites were closed for selling contaminated fuel.

Zimbabwe imported 1.794 billion litres of fuel in 2024, up from 1.73 billion litres the previous year, with ZERA noting that this reflected rising industrial activity, increased vehicle ownership, and higher transportation demand.

The report further pointed to improvements in electricity generation, with total supply reaching 11 082 gigawatt-hours. This increase came despite ongoing challenges at Kariba hydroelectric station and persistent inefficiencies at thermal power stations. Notably, power imports dropped from 1 982GWh in 2023 to 1 252GWh in 2024, largely due to the commissioning of Hwange Units 7 and 8 late last year. Despite these gains, electricity supply still falls short of the estimated 1 700MW national demand, averaging just 1 300MW.

ZERA said it is actively onboarding more Independent Power Producers (IPPs) to complement the output from state-owned power utilities. In 2024 alone, the regulator issued 20 electricity generation licences, primarily for solar projects, with a combined potential capacity of 786MW. While some IPPs continue to face hurdles reaching financial closure, others have advanced, including the recently commissioned 25MW Centragrid solar plant in Nyabira, Mashonaland West.

"The report highlights key metrics that underscore the growth, diversification, and evolving consumption patterns within Zimbabwe's energy sector," ZERA said.

The energy regulator reaffirmed its strategic focus on expanding energy access, supporting investment in renewable energy, and enforcing regulatory compliance to build a secure and sustainable energy future for Zimbabwe.