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Is LPG as bad for the environment as we think?

March 20, 2025

This article was originally published on Energy Today and Australian Mining

When discussing eco-friendly energy solutions, LPG (liquefied petroleum gas) often doesn’t get the attention it deserves. While it may not be as headline-grabbing as solar or wind energy, LPG offers significant environmental benefits that make it a compelling choice for households and businesses.

LPG burns cleaner than many traditional fuels, producing up to 35 per cent less carbon dioxide than coal and 15 per cent less than oil. This lower emissions profile makes it an important transitional energy source as Australia works towards its ambitious net-zero targets.

While the carbon intensity of LPG is marginally higher than that of natural gas, it is lower than that of other major oil products and significantly lower than coal. However, the efficiency of energy conversion – measured by the amount of fuel required to produce a comparable amount of useful output – is also an important factor. Since LPG is a relatively clean-burning fuel, it often achieves higher efficiency compared to most other fossil fuels.

The advantages extend beyond combustion. The versatility of LPG enables it to power a wide range of applications, from residential heating and cooking to industrial operations, reducing reliance on less sustainable options. In particular, rural and off-grid areas can depend on LPG as a portable and accessible solution where renewable energy infrastructure may take years from deployment.

As Australian states and territories, including Victoria and the ACT, phase out natural gas in new developments, LPG – and renewable LPG – is emerging as a practical and sustainable alternative. It provides a reliable bridge as homes and businesses transition to cleaner technologies while maintaining energy independence and affordability.


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