The government aims to reach 4.5 million low income households with LPG cylinders across the country in the short-term, Energy and Petroleum CS Davis Chirchir has said.
Speaking during a workshop on the National LPG Growth Strategy, at the Kenya School of Government, Nairobi, the CS said the government aims to increase LPG consumption from 7.5kg to 15kg per capita, per year.
This will also see enhanced penetration from 24 per cent to 70 per cent by 2028, in line with the government’s BETA (Bottom Up Economic Transformation Agenda), of improving the quality of lives of Kenyans.
The Clean Cooking Gas (CCG) project, he said, will also promote the use of LPG as a clean cooking solution in public learning institutions.
To begin with, the project targets 5,000 public boarding schools and learning institutions.
The Ministry of Energy and Petroleum is leading an inter-agency team in developing an LPG policy to guide the LPG sub-sector in the country, in order to establish an adequate policy and legal framework.
According to CS Chirchir, the policy will inform the development of requisite legislative and regulatory instruments required to promote LPG use and to regulate the sub-sector.
This framework, he said, will also facilitate the implementation of the other three LPG initiatives.
"The Clean Cooking Gas Project promotes the use of LPG as a clean cooking solution in public learning institutions. Reticulation in the Affordable Housing Project and institutions such as public hospitals, the National Youth Service colleges, correctional institutions, among others will then be targeted", Chirchir said.
The ministry has developed several initiatives which are being implemented in partnership with the private sector and entail an LPG Policy and Legal Framework.
The theme of the workshop was " Enhancing LPG Growth as a Clean Energy Solution while emphasising on Surveillance and Enforcement".
The government is keen to transition low income households from traditional fuels (biomass) to LPG.
The CS said the ministry has put in place mechanisms to ensure that importation and distribution of LPG is efficient and cost effective.
"On the subsidized LPG cylinders project, we aim to assist the 4.4 million households using kerosene and charcoal transition to LPG. Some of the barriers inhibiting this transition include high upfront costs and inadequate distribution infrastructure," the CS noted.
To overcome these barriers, the project provides a subsidised 6kg cylinder, grill, burner and Cylinder Smart Meter which enables small scale LPG purchases based on disposable incomes to low-income households, Chirchir noted.
The government through the National Oil Corporation of Kenya plans to distribute 1.3 million cylinders, while the private sector distributes 3.1 million cylinders through their established distribution networks.
With respect to key LPG infrastructure development, the government through Kenya Pipeline will ensure efficient and effective importation, storage and distribution of LPG in the country, the CS affirmed.
The initiation phase of the project will involve the construction of 30, 000 metric tonnes storage and handling facility in Mombasa.
KPC will further construct a 10,000 metric tonnes inland LPG storage to facilitate distribution in the hinterland.
"Being a common user bulk storage facility, it will facilitate the private sector in the last mile distribution and penetration to public learning institutions and low-income households,"Chirchir said.
These initiatives, the CS said, present a valuable opportunity for the private sector players including financial institutions, LPG importers, cylinder manufacturers, oil marketing companies, and all other stakeholders to collaborate with the government, to increase the use of LPG for the benefit of all Kenyans.
