LPG Supply and Demand

• LPG Demand
• LPG Supply

LPG, first introduced to Korea in the 1960s, is one of the most important energy sources, which accounts for 4% of Korea’s primary energy supply (as of 2021). The demand for propane began to increase especially for cooking and heating in the 1970s. The demand for petrochemical products is leading the growth of the propane market, with the expansion of PDH facilities for propylene production in 2016.
Meanwhile, the demand for butane began to increase, when LPG was allowed for a taxi fuel in the 1980s. After the launch of 7-seater LPG SUVs in the early 2000s, the number of registered LPG vehicles increased from 160,000 in 1990 to 2,450,000 in 2010 backed by the outstanding fuel economy. The number of LPG vehicles decreased with the distribution of diesel vehicles. The decrease trend slowed down after the regulation on the use of LPG vehicles was abolished in line with the particulate matter reduction policy that took effect in March 2019.
As of the end of 2022, 3.69 million households are using LPG for heating and 1.92 million LPG vehicles are on public roads.

(Unit: Thousand tons)