Global liquefied petroleum gas (LPG) value chain company Petredec and South Africa’s State-owned logistics company Transnet announced a “ground-breaking” rail freight solution last month that is set to “transform LPG distribution in South Africa”.

This landmark project, featuring a dedicated train system and modern LPG intermodal hub and storage facility at Sentrarand in Gauteng, marks a significant milestone and investment in the country’s energy infrastructure, which is needed to meet the growing demand for LPG over the coming decades.

The new LPG hub at Sentrarand, in Benoni, will serve as a much-needed staging post for South Africa’s economic heartland and the broader Southern African Development Community region.

The hub will receive bulk LPG by rail from the initial load point at the Richards Bay LPG terminal in KwaZulu-Natal, which was developed in partnership with Bidvest Tank Terminals in 2020.

Through the project, Petredec will introduce South Africa’s first scheduled LPG train system, with each 75-wagon trainset capable of transporting over 2 500 t of LPG.

Initially operating up to three times a week, this enhanced logistics system will further improve the efficiency, cost-effectiveness and environmental friendliness of LPG distribution in the country.

“The strategic partnership between Petredec and Transnet Freight Rail marks a significant step in improving LPG accessibility in South Africa,” says Petredec CEO Jonathan Fancher.

He adds this investment reflects its commitment to developing key LPG infrastructure and implementing more efficient, optimised logistical solutions – ultimately making LPG more affordable to end-users.

Transnet Group chief executive Michelle Phillips says this landmark project marks a major advancement in the supply of LPG across the country, enabling bulk distribution of LPG on a scale yet to be achieved in Africa.

“The Sentrarand LPG hub and rail freight solution is critical infrastructure that will support South Africa’s long-term energy security and developmental ambitions,” she adds.

The LPG intermodal hub represents the latest investment by Petredec, reinforcing the company’s dedication to bringing cleaner energy to those that need it most.

This initiative is particularly crucial in the context of sub-Saharan Africa, where, according to Paris-based autonomous intergovernmental organisation International Energy Agency, one-billion people still rely on solid biomass and kerosene for cooking, disproportionately negatively impacting on women and girls.

Project engineering and construction will be undertaken by long-standing technical partner Lloyd Jones Construction with the intended commissioning of the Sentrarand facility and the operation of the first trains starting in the first half of 2028.