$130.5 Million LPG Facility Starts Construction in Mombasa, Kenya

Posted on : Thursday , 23rd March 2023

Construction has begun on a $130.5 million re-filling plant for liquefied petroleum gas (LPG) and 30,000-ton storage facility at the Dongo Kundu Special Economic Zone in Kenya.

 

Construction started on 24th February by Tanzania-based LPG distributor, Taifa Gas, and will service both Tanzania and Kenya in a bid to make clean cooking gas more affordable and accessible for both East African countries.

 

“We are investing in infrastructure as an incentive to promote the use of cooking gas,” stated Kenyan Cabinet Secretary for Energy and Petroleum, Davis Chirchir, adding that the East African country’s commission responsible for technical and economic regulation of electricity, the Energy and Petroleum Regulatory Authority, has issued several licenses to private investors to construct bulk LPG facilities.

 

The entry of Taifa Gas into Kenya’s gas market is a result of the East African country’s bid to form bilateral trade agreements with Tanzania.

 

Construction of the LPG plant comes amidst Kenya’s bid to achieve universal access to clean coking energy by 2030, with the Government having implemented plans to invest more than $200 million in addition to $400 million in investments and tax relief – into the development of facilities designed to store and manage LPG.