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Liquefied Petroleum Gas Storage Market Size
Liquefied Petroleum Gas Storage Market was valued USD 81.25 billion in 2022 and is anticipated to excel at a CAGR of 1.2% by 2032. LPG, is a combustible blend of hydrocarbon gases, mainly composed of propane (C3H8) and butane (C4H10). It originates from the refining of crude oil and the processing of natural gas. LPG is stored and moved in liquid state with moderate pressure, enabling its efficient storage, high energy content, and convenient manipulation. Increasing energy demand in line with rapid population growth in emerging economies will drive the adoption of LPG as a clean fuel source.
The government and respective authorities across the globe are continuously implementing initiatives to provide LPG access to its customer, which has contributed to market trends. The industry is poised to grow on account of its utilization across various industrial processes including refining, manufacturing, and petrochemical production. This fuel is also used in automotive fuel, either in its pure form or as a component of compressed natural gas blends, which will contribute the market dynamics. Increasing urbanization growth along with the need for clean and efficient fuel source to limit the environment impact, which in turn will influence the industry size. Introduction of various subsidies or incentives programs to promote the adoption of LPG gas, particularly in the geographies where biomass is still use for cooking, thereby boost the business outlook.
| Report Attributes | Details |
|---|---|
| Base Year: | 2022 |
| Market Size in 2022: | USD 81.25 Billion |
| Forecast Period: | 2023 to 2032 |
| Forecast Period 2023 to 2032 CAGR: | 1.2% |
| 2032 Value Projection: | USD 92.04 Billion |
| Historical Data for: | 2019 to 2022 |
| No. of Pages: | 234 |
| Tables, Charts & Figures: | 316 |
| Segments covered: | Storage Type |
| Growth Drivers: |
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| Pitfalls & Challenges: |
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COVID-19 Impact
The pandemic led to disruptions in supply chains across the globe due to lockdowns, restrictions on movement, and reduced industrial activities. This affected the transportation and distribution of LPG, potentially causing delays in deliveries and affecting storage levels. The lockdowns and restrictions on travel and business activities affected the demand for LPG. While there was a surge in residential usage as more people stayed at home, the industrial and commercial sectors experienced decreased demand due to closures and reduced operations. Furthermore, economic uncertainty coupled with changes in supply and demand dynamics have led to price volatility. Imposed restrictions also affected regulatory processes and inspections, which could have impacted the operation and maintenance of LPG storage facilities.
LPG Storage Market Trends
The market is experiencing significant growth owing to stringent regulation and safety standards. Continuous investments by the public and private players in advanced storage technologies including emergency response protocols and leak detection system to ensure safe storage and transportation will complement the business scenario. Increasing LPG consumption in line with expansion of storage infrastructure development will proliferate the industry dynamics. Growing demand for larger tank and underground storage in conjunction with advanced material, monitoring systems, and digitalization technology systems will augment the industry outlook.
Liquefied Petroleum Gas Storage Market Analysis
LPG storage market from pressurized tanks segment is projected to surpass over USD 80 billion by 2032. These tanks play a crucial role on account of safe storage, high efficiency. Durability, and distribution of LPG. These tanks are designed to maintain LPG in its liquid state under pressure, enabling its high energy density and ease of transportation. These tanks can store significant amount of LPG in compact space, making it suitable for various applications from residential use to industrial processes. Ongoing technological advancements and integration of insulation, corrosion-resistant materials, and monitoring system will drive the penetration of these tanks.
The refrigerated tanks segment is set to grow at a CAGR of over 2.2% by 2032. The refrigerated tanks are a critical component within the LPG storage, providing a specialized approach to handle LPG at extremely low temperature. These tanks are designed to store LPG in its liquefied state by maintaining sub-zero temperatures, enabling efficient storage, transportation, and distribution. Ongoing advancements in cryogenic technology systems for better efficiency, insulation material, and enhanced temperature control systems will boost the deployment of these refrigerated tanks across the key emerging economies.
North America liquefied petroleum gas storage market will account for over USD 45 billion in 2032. The region has experienced significant growth owing to abundant availability of shale gas and increased LPG production. Growing energy transition to cleaner energy source in line with utilization LPG across residential heating, cooking, and industrial application will influence the business scenario. In addition, ongoing innovation in technology landscape comprising of automation and smart monitoring systems will energize the storage and distribution facilities across the region. Supportive government mandates coupled with government incentives and policies toward adoption of cleaner energy sources and reduction of greenhouse gas emissions will foster the industry size.
Liquefied Petroleum Gas Storage Market Share
The key industry players operating in liquefied petroleum gas storage market are
- NGL Energy Partners LP
- Enterprise Products Partners L.P
- Vitol, Royal Vopak
- China Petroleum & Chemical Corporation
- Phillips 66 Company
- TotalEnergies
- SHV Energy
- Suburban Propane
- AmeriGas Propane, Inc.
- Flogas
- Petredec Pte Limited
- PT Pertamina (Persero)
- Emirates Gas
- Energy Transfer LP
- McDermott
- TransTech Energy, LLC
- VTTI
- OMERA LPG
- Oiltanking GmbH
Liquefied petroleum gas storage market market news
- In May 2022, Royal Voapk & Aegis completed the partnership to form Aegis Vopak Terminals Ltd. It includes additional three terminals with a capacity of 3,082,007 barrels making a total of 11 terminals in India with an overall capacity of 9,120,225 barrels. The company strengthened its position and stimulated significant growth across the industry.
- In March 2022, SHV Energy’s subsidiary Supergasbras signed an agreement with Porto do Pecém to investigate the future construction of LPG storage terminal in Brazil. The investment of around USD 191 million will considerably improve the supply infrastructure while also increasing the LPG capacity in the region. Therefore, this initiative will enhance the company’s customer base across the industry and strengthen its supply chain capabilities.
Liquefied petroleum gas storage market research report includes in-depth coverage of the industry with estimates & forecast in terms of “Million Barrels” & “USD Billion” from 2019 to 2032, for the following segments: Click here to Buy Section of this Report
By Storage Type, 2019 – 2032
- Pressurized Tanks
- Refrigerated Tanks
The above information has been provided for the following regions and countries:
- North America
- U.S.
- Canada
- Europe
- Spain
- Russia
- UK
- Italy
- France
- Germany
- Asia Pacific
- China
- Japan
- South Korea
- India
- Australia
- Middle East & Africa
- UAE
- Saudi Arabia
- Tunisia
- Turkey
- Morocco
- South Africa
- Latin America
- Brazil
- Argentina
- Chile
- Mexico
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