- Rail transport provides a flexible and cleaner alternative to gas pipelines.
- LNG distribution could significantly reduce deforestation and indoor air pollution.
Ethiopia and Nigeria have launched a Rail-based LNG Corridor to transform energy access across Africa.
This initiative focuses on cleaner fuel delivery, industrial growth, and environmental protection.
Notably, the Rail-based LNG Corridor appears as a practical alternative to cross-border gas pipelines.
The Gas-by-Rail Economic Corridor Initiative was unveiled in Addis Ababa on December 8. It proposes a continent-wide freight rail system for liquefied natural gas distribution. As a result, it seeks to reduce Africa’s heavy dependence on firewood and charcoal.
The proposed network would span about 73,500 kilometres across 40 Sub-Saharan African countries. Instead of pipelines, LNG would move by rail in specialised tank wagons. Therefore, the project circumvents political, security, and engineering barriers associated with pipelines.
Africa still faces a severe energy access gap today. Currently, about 90 per cent of households rely on biomass for cooking and heating. Consequently, forests continue to disappear faster than they can regenerate. In addition, indoor air pollution can lead to severe respiratory illnesses.
Figures presented at the launch show alarming trends. For instance, woodfuel use exceeds sustainable supply by 75 per cent in northern Nigeria. Similarly, Ethiopia exceeds sustainable levels by around 150 per cent. Hence, project sponsors believe gas adoption could cut woodfuel use by up to 75 per cent.
Beyond households, the corridor aims to facilitate industrial expansion. Reliable energy and transport can unlock manufacturing, mining, and logistics growth. Over time, economic activity linked to the corridor could reach $29 trillion. However, supporters stress this reflects long-term potential rather than immediate spending.
Ethiopia would serve as a central hub through an “Ethio-Cluster” model. Plans include the production of green hydrogen and green iron processing facilities. Additionally, Ethiopia aims to produce five million tonnes of green steel annually by 2030.
A partnership with Germany’s SMS Group would support local rail component manufacturing. This approach reduces import dependence and supports the expansion of the rail network. Meanwhile, Siemens Mobility would provide digital signalling and network optimisation systems.
The project demands significant resources and coordination. It requires over 5,100 locomotives and more than 80,000 LNG tank units; furthermore, the estimated cost ranges between $500 billion and $1 trillion. Nigeria’s role is reflected in its vast natural gas reserves. Gas from Nigeria would reach inland markets beyond the reach of pipeline access. Therefore, landlocked and insecure regions could adopt gas faster.
The initiative also supports the African Continental Free Trade Area goals. Lower transport and energy costs would strengthen regional value chains. By 2050, the corridor could generate over 70 million jobs across Africa.
Overall, the Rail-based LNG Corridor presents a bold response to Africa’s energy challenge. While risks remain, integrated solutions may deliver lasting development benefits.