Africa's burgeoning economies and growing populations are driving increased demand for liquid fuels, yet the continent faces a significant challenge in the form of inadequate storage infrastructure. According to a recent report by CITAC, the shortage of liquid fuels storage facilities is impeding the efficient distribution and utilisation of essential energy resources, ultimately affecting economic growth and energy security across the region.

The report highlights that many African countries suffer from a lack of modern, well-maintained storage facilities for liquid fuels. This shortfall stems from several factors, including underinvestment in infrastructure and a limited capacity for strategic planning. As a result, many regions experience frequent fuel shortages and supply disruptions, which can have severe consequences for industries, transportation networks, and everyday consumers. Without adequate storage, the ability to manage and distribute fuel efficiently is severely compromised, leading to inefficiencies and increased costs. Ultimately, such inefficiencies are felt by consumers at the pump, with higher fuel prices that would be expected elsewhere.

Moreover, the absence of sufficient storage capacity also affects the continent's ability to stabilise fuel prices and ensure a steady supply. In many cases, countries rely on ad hoc and temporary solutions to address supply gaps, which are often less reliable and more expensive.

Addressing the liquid fuels storage shortage requires a concerted effort from both public and private sectors. As much as mobilising private capital is required, robust regulatory frameworks are also fundamental.

The CITAC report that clean product demand will 56% from 2022 levels to 142mn/MT by 2040 – fuelled by population growth that will register another 600mn people. By developing (clean) fuel or low carbon road surfacing facilities in ports such as Durban, we hope to play a supporting role in energy security and supply chain security to those who experience ‘load shedding’ on a daily basis.