The Kenya Pipeline Company will build a Kes17.7 billion liquefied petroleum gas (LPG) storage and handling facility at Changamwe in Mombasa County.
KPC will install a 30,000-metric tonnes facility to get LPG from the Kipevu Oil Terminal Jetty through this.
R&E Modern Technologies and Petrochem Engineering Services from Pakistan will serve as consultants for the project.
In a report to the National Environment Management Authority (NEMA), KPA says the proponent has undertaken a preliminary estimate of the total project cost using experienced consultants.
“The project is estimated to cost the proponent Kshs. 17,731,000,000 (Seventeen Billion Seven Hundred and Thirty-One Million) to implement,” read the report.
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The new facility comes when President William Ruto seeks to lower the high cost of cooking gas, which has increased by about 30 per cent in the last few years, blamed on the depreciating local shilling and the Ukraine-Russia war.
However, prices could drop as more firms invest in LPG plants in the coastal towns.
In February 2023, petrochemical company Eleven Energy sought approval from the National Environment Management Authority (NEMA) to set up a gas storage facility in Mombasa.
It will sit on Plot No. L.R. No. 4791 and 4792/VI/Mainland North, Kipevu area.
“Following the rise in demand of LPG within the country, the project Proponent Eleven Energy Limited, a company that specializes in sales of LPG in Kenya proposes to construct and operate a bulk LPG Import and Storage facility to be located off newly developed and finished Makupa causeway in Kipevu area, Changamwe Sub –County within Mombasa County.”
