WELCOME REMARKS
BY THE CHAIRMAN OF THE NATIONAL ORGANISING COMMITTEE

As chairman of the National Organising Committee and on behalf of our Liquefied Petroleum Gas Safety Association of Southern Africa it is an honour for me to invite you to our beautiful shores of Cape Town, the mother city of South Africa.

The combination of South Africa’s landscape, people, history and culture makes it one of the most enchanting countries in the world. Aptly named the Rainbow Nation, because of its cultural diversity, South Africa has a population of forty seven million in nine provinces composed of four major national groups: African, Coloured, Indian/Asian and White with eleven official languages of which English is the one most widely used.

A constitutional democracy since 1994, South Africa is a beacon of stability on the continent and with growth rates in excess of 5% it is indeed the economic powerhouse of Africa with a world class infrastructure.

The total annual production capacity of LP Gas in South Africa is 400,000 tons, from one inland and six coastal refineries. LP Gas commands relatively high margins in the country and market growth is evidenced by the fact that for the first time, in 2006, demand exceeded supply. The market straddles the Southern African Development Community (SADC) region hence the name of our Association.

The market potential for LP Gas is high in Southern Africa with a lot of opportunity for further development:

  • Low income household programme roll out to 3.3 million households by 2010, market testing completed
  • Government goal of universal household access to modern energy by 2014
  • Cylinder manufacturing, with support from local steel industry available
  • Refining and import terminals to meet local demand

All of the above, together with the projected growth in the domestic LP Gas market and the growing economy outstripping the capacity of the energy industry, point to a need for investment in the Southern African region which can lead to benefits for consumers and suppliers alike.

This is the exciting and challenging future that awaits the LP Gas industry in Southern Africa. Therefore, it could not have been more appropriate for the World LP Gas Association to hold the world’s largest LP Gas conference & exhibition in this region of Africa in 2007.

Mpumi Gaba
Managing Director, Liquefied Petroleum Gas Safety Association of Southern Africa