Why South Africa’s R12-per-Litre Fuel Alternative Is Still Out of Reach for Many

As fuel prices in South Africa continue to hover around the R20 mark, an alternative option priced at just R12 per litre is gaining attention — LPG autogas. But despite growing demand, experts say a lack of infrastructure and limited vehicle compatibility are holding back broader adoption.

Kyle Hartley, Managing Director at Isinkwe Energies, says interest in LPG autogas is rising sharply. His company is one of the leading advocates for the fuel, which is significantly cheaper than traditional petrol. As of April 2025, inland fuel prices stand at R21.51 for petrol and R19.32 for diesel, while LPG autogas sells for about R12 per litre inland, and roughly R14.15 on the coast.

That’s a 40% saving for everyday drivers — and potentially more for commercial fleet operators and VAT-registered businesses. “For those companies, the effective cost per kilometre can drop to around 65 cents,” Hartley noted.

Why Isn’t Everyone Switching?

Despite the savings, the shift to LPG autogas hasn’t taken off as quickly as expected. The main issue: lack of infrastructure.

Currently, only a handful of fuel stations offer LPG autogas in South Africa. Gauteng has a few, including Sasol locations in Kempton Park and Centurion. Isinkwe plans to launch its first dedicated autogas station in Midrand by July 2025, with a second planned for Pinetown or Isipingo in KwaZulu-Natal by September. In the Western Cape, Easyway filling stations offer autogas at Cape Town International Airport, Salt River, and soon in Strand.

Hartley stressed that while refuelling infrastructure is expanding, progress is slow. “Infrastructure is our biggest challenge. The demand is there, but the network isn’t growing fast enough to support it,” he said.

Vehicle Compatibility and Warranties

Another hurdle is original equipment manufacturer (OEM) approval. Although conversion kits for running vehicles on LPG cost around R26,000 (excl. VAT), most car manufacturers in South Africa do not yet approve the systems under their warranties.

Hartley said five brands currently support the conversions his company offers, but more work is needed to bring major OEMs on board. “We’re actively working with partners to get more manufacturers to approve these systems under warranty,” he added.

A Promising But Delayed Revolution

LPG autogas is derived from refining processes and consists mainly of propane and butane, stored as a liquid at low pressure. It’s long been used in other countries as a cleaner and cheaper alternative to petrol. In South Africa, it could reduce fuel expenses for individuals, logistics firms, and even government fleets.

The potential was on display at the Automechanika and Futuroad Expo held in Johannesburg in late 2024, where stakeholders across the automotive and transport sectors showed keen interest in LPG technology.

Still, until refuelling infrastructure catches up and more manufacturers provide warranty support, South Africa’s R12 fuel dream remains out of reach for most drivers.

{Source: BusinessTech}

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