PayGas Africa

What PayGas Africa does

PayGas Africa is a South Africa-headquartered clean cooking energy company that has built a pay-as-you-go LPG distribution model targeting low-income households in emerging markets. The company's core proposition is the elimination of the upfront cost barrier to LPG adoption — traditional cylinders require $20-$30 plus a deposit — by enabling micro-purchases starting at $0.50 (R10) at networked stations. It serves predominantly LSM 1-4 households who previously relied on charcoal, wood, or electricity for cooking, with secondary exposure to households seeking predictable energy costs and improved indoor air quality.

The underlying technology combines proprietary patented smart metering hardware (±0.5% dispensing accuracy, digital calibration resistant to manipulation) with cloud-connected station software for remote monitoring, payment integration (voucher, mobile money, card, cash), and transaction data capture. Stations are deployed primarily through strategic retail partnerships — co-located within Shoprite stores (which serves 32 million customers across 10 African countries) and Pick n Pay locations (2,000+ stores across 7 Southern African countries) — supplemented by directly operated stations in community locations and an emerging license-partner network for entrepreneur-operated sites. The company has a development-stage mobile app for station discovery.

Revenue is generated through three streams: per-kilogram margin on LPG micro-transactions (usage-based), license fees and revenue share from partner-operated stations, and supplier partnership arrangements where LPG wholesalers pay for access to PayGas's distribution network. The unit economics are characterized by low transaction values ($0.50-$2.65), high station throughput (3-5 minute refills), and strong customer retention (85% long-term). Beyond South Africa, the company is expanding into Nigeria (via a June 2024 strategic partnership with NNPC) and Brazil (regional office in Rio de Janeiro), with Zambia targeted for 2026. As of September 2024, PayGas had served 50,000+ households and 300,000+ transactions; cumulative figures on the company website cite 64,999+ households and 599,999+ transactions with 1,799+ tons of gas distributed.

Name

PayGas Africa

Legal name

PayGas

Website

https://paygas.africa

Company type

Private

Founded year

2019

Operating status

Operating

Headcount range

11–50 employees

Short description

PayGas Africa provides affordable clean cooking LPG to low-income households in emerging markets via proprietary pay-as-you-go metering technology, enabling $0.50 micro-purchases at retail-partner-hosted stations across South Africa, Nigeria, and Brazil.

Ownership category

akta.pro rank

Product category

Clean Cooking LPG Distribution Services

NAICS

Natural Gas Distribution (22121), Fuel Dealers (457210), Measuring, Dispensing, and Other Pumping Equipment Manufacturing (333914)

SIC

Natural Gas Distribution (4924), Oil & Gas Field Machinery & Equipment (3533)

akta.pro primary industry

Natural Gas Retail Supply (Residential & SMB) (EUAGAGAD)

akta.pro secondary industry

Competitive Retail Natural Gas Supply (Residential & SMB) (EUAGABAC)

Keywords

• Pay-as-you-go LPG
• Clean cooking energy
• Smart gas metering
• LPG refilling stations
• Micro-transaction dispensing

Headquarters

HQ city

Cape Town

HQ country

South Africa

HQ region

Africa

Offices2 records

Markets served

GTM type

B2C

Offering type

Services

Cost components

Operations, Supply Chain, Personnel, Technology or R&D, Infrastructure, Marketing or Sales

Revenue model

1. LPG Gas Sales (Micro-transactions): Revenue generated from micro-purchases of LPG gas through pay-as-you-go model. Customers purchase exact amounts starting from $0.50, paying only for gas consumed. Operators handle refilling process.
2. License Partnerships: Licensing partnerships with entrepreneurs who operate PayGas stations. Partners receive technology, support, and operational framework in exchange for licensing fees and revenue sharing.
3. Gas Supplier Partnerships: Partnerships with LPG suppliers who gain access to untapped market segments through PayGas distribution network, creating new revenue streams from previously inaccessible customers

Pricing tiers

Go-to-market motion2 records

Distribution channels5 records

Marketing channels6 records

Core offering

PayGas Africa operates a network of clean cooking LPG dispensing stations that use proprietary Pay-As-You-Gas™ smart metering technology to sell micro-quantities of LPG gas starting from $0.50. Customers pay for exactly the amount of gas they need via voucher, mobile money, card, or cash, with operator-assisted refilling ensuring safety and accuracy. Stations are primarily hosted within major retail partner locations such as Shoprite and Pick n Pay, with additional direct and licensed stations, targeting low-income households in emerging African markets.

Product overview

PayGas Africa offers a unified pay-as-you-go clean cooking gas solution through its Pay-As-You-Gas™ technology platform. The core offering combines proprietary Smart Metering Technology (enabling precise micro-dispensing of LPG accurate to ±0.5%) with a growing Station Network of physical retail locations across South Africa. A Mobile App (coming soon) will complement the offering by enabling station location via mobile devices. Together, these components allow households to purchase exactly the amount of gas they need starting from $0.50, eliminating the need to pay for full cylinders.

Differentiator

Problem solved

Functional benefit

Brands

• Pay-As-You-Gas™: Proprietary pay-as-you-go clean cooking technology enabling micro-purchases of LPG starting from $0.50
• PayGas Savings Simulator

Products and services

• Pay-As-You-Gas™ Clean Cooking LPG Service Flagship pay-as-you-go clean cooking gas service that lets families purchase exactly the amount of LPG they need starting from $0.50, eliminating full-cylinder upfront costs and deposit fees. Delivered through PayGas stations hosted in retail and community locations with operator-assisted refilling and flexible payment (voucher, mobile money, card, cash).
• PayGas Station Network Physical network of PayGas refilling stations strategically placed in high-traffic community areas and hosted within major retail partner locations including Shoprite and Pick n Pay. Provides customers with quick (3-5 minute) access to clean cooking gas refills in convenient locations across South Africa and expanding markets.

Quantifiable outcome

• 60% reduction in cooking fuel costs
• +8 more outcomes

Named customers5 records

Segments4 records

Ideal customer profiles2 records

Technology focussed Yes

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

AI capability1 record

Feature6 records

Partnerships

Six partnerships are on record, tiered core.

• NNPC (Nigerian National Petroleum Company)coreStrategic or Co-development Partner · 23 June 2024Strategic partnership targeting 150 million Nigerians currently relying on wood and charcoal for cooking. Aims to deploy Micro-Filling Plants with pay-as-you-go technology across Nigeria to address the clean cooking challenge.
• Clean Cooking AlliancecoreStrategic or Co-development Partner · 1 January 2010Established in 2010, the Alliance works with global network of partners to build an inclusive industry making clean cooking accessible to 3 billion people. Mobilizes investment to build scalable businesses and foster enabling environment. Clean cooking transforms lives by improving health, protecting climate, empowering women, and helping consumers save time and money.
• ENGIEcoreStrategic or Co-development PartnerENGIE is the largest independent electricity producer in the world and major player in natural gas and energy services. With 50+ years African experience, ENGIE serves 9 African countries through solar installations and mini-grids. Partnership focuses on sustainable energy access with 4,000+ employees in Africa and 3.15 GW power generation capacity.
• Pick n PaycoreChannel Partner/ Reseller/ DistributorSecond largest supermarket chain in South Africa, established 1967, JSE listed. Operates 2000+ locations across 7 Southern African countries (South Africa, Botswana, Zambia, Zimbabwe, Lesotho, Namibia, Swaziland). Partners with PayGas to host stations at select locations providing convenient access to clean cooking gas.
• ShopritecoreChannel Partner/ Reseller/ DistributorSouth Africa's largest retailer by market capitalization, sales, profit, employee count, and customer base. Operates in 10 African countries with 32 million customers. Core business is food retailing complemented by value-added services. Partners with PayGas to improve access to clean cooking solutions through station hosting.
• Gas Suppliers Partnership ProgramcoreStrategic or Co-development PartnerPartnership program for LPG suppliers seeking to expand market reach into previously inaccessible customer segments. Partners gain up to 70% new customer reach in low-income markets (LSM 1-4) through licensing or supplier arrangements. 3-9 month implementation with PayGas consulting and support.

Scale indicators19 records

Recent moves6 records

Expansion highlights5 records

Emerging players

• d.light: Pay-as-you-go solar home system provider active across Africa and Asia; comparable technology/commercial model for distributing essential energy products to off-grid low-income consumers.
• PayGo Energy: Earlier-stage pay-as-you-go LPG/CNG provider in East Africa with similar IoT metering approach to micro-distributed gas; partial overlap in product/technology, smaller scale.
• M-KOPA: Pay-as-you-go solar and asset financing platform across East Africa; relevant because it pioneered the IoT-locked micro-payment model that PayGas applies to LPG, and overlaps in serving LSM 1-4 households.

Direct peers

• KOKO Networks: Kenya-based clean cooking company that distributes bioethanol and cooking fuel through a network of 'fuel ATMs' with pay-as-you-go tech - the closest functional analog to PayGas's smart-meter LPG model.
• Sistema.bio: Mexico/Kenya-headquartered clean cooking company distributing biogas systems on pay-as-you-go terms to smallholder households; directly comparable mission of replacing wood/charcoal with metered, affordable clean fuel.
• BURN Manufacturing: East Africa-based manufacturer and distributor of efficient biomass and clean cookstoves serving low-income households; directly competes for the same clean-cooking customer.
• ATEC (Advanced Energy Technologies): Pay-as-you-go clean cookstove and IoT metering provider in emerging Asia/Africa; comparable technology-plus-microfinance model for clean cooking adoption at the bottom of the pyramid.

Broad incumbents

• Engen: Leading South African LPG and petroleum retailer (part of Vivo Energy); an incumbent competitor for LPG volume in the very market where PayGas is building station density.
• TotalEnergies Marketing Africa: Major established LPG and fuel distributor across Africa with deep supply infrastructure; broad incumbent competing for the same end-user LPG demand that PayGas unlocks via micro-purchases.

Others

• Clean Cooking Alliance: Sector convener and PayGas strategic partner that mobilizes capital and policy support for clean-cooking businesses; ecosystem participant rather than direct competitor, but central to sector tailwinds and access to concessional funding.

Market position

Strengths4 records

Weaknesses4 records

Competitive moat5 records

Key risks6 records

Key highlights6 records

Customer concentration

• Facebookfacebook.com/payasyougas
• LinkedInlinkedin.com/company/pay-gas-africa
• Instagraminstagram.com/pay_as_you_gas

Revenue estimate

Valuation estimate

Number of profiles

Profiles1 record

Funding overview

Funding rounds1 record

Investors1 record

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A

Investments

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about PayGas Africa