Abstract: The aim of this study was to estimate the quantities of charcoal and fuelwood consumed by rural household in relation to LPG and to investigate the potential of LPG in reducing the deforestation rate in Sudan. The study was conducted in 1998 and 2007 in two rural areas of the Gezira State in central Sudan. Primary and secondary data were collected based on the household survey and reviewing of the literature, respectively. A sample of 121 and 73 rural households were selected randomly from Alshikayrat and Fadasi rural areas, respectively. Descriptive analysis was applied using SPSS program. The study results showed that the average annual charcoal consumption reduced from 374.50 kg in 1998 to 79.80 kg in 2007. The fuelwood consumption decreased from 133.65 kg in 1998 to 38.70 kg in 2007. Charcoal per capita energy consumption reduced from 0.042 TOE in 1998 to 0.0084 TOE in 2007, whereas fuelwood per capita energy consumption decreased from 0.0089 TOE to 0.00259 TOE in 1998 and 2007, respectively. In the same timeframe, wood fuels dependency declined from 78.9% in 1998 to 5.2% in 2007. LPG dependency increased from 21.1% in 1998 to 94.9% in 2007. The study concluded that household shifting to LPG as energy source has positive external effect on deforestation problem in the country. Policies that enhance the LPG price reduction and availability are recommended. The results may help the policy makers and conservatisms to redesign and reframe alternative fuels plans than depending on wood fuels to reduce the deforestation rate.