Uganda National Oil Company To Use Kenya’s Pipeline To Import Fuel Directly And Stabilise Pump Prices

Uganda National Oil Company (UNOC) is set to commence direct oil importation through Kenya from May 2024, after Nairobi approved the licensing agreement.

This milestone is result of intense negotiations  involving the two presidents of the two neighbouring countries .

UNOC had been dragged to a Kenyan court for  in Machakos for alleged  non compliance but the petition was withdrawn allowing  the Energy and Petroleum Regulatory Authority (EPRA) of Kenya to issue a permit to UNOC.

Kenya’s Energy Cabinet Secretary, Davis Chirchir, confirmed that  arrangements were  underway to grant UNOC the necessary permit to import fuel directly through Kenya Pipeline Company (KPC).

 Chirchir emphasized the collaborative nature of the endeavor, highlighting that UNOC would utilize KPC’s infrastructure for transportation, ensuring no loss of opportunity for Kenya.

UNOC welcomed the development, with Sarah Banage, the company’s head of corporate affairs, expressing optimism about enhancing Uganda’s energy security.

She  said the licnece was important for UNOC use KPC’s storage and transport network from the port of Mombasa to Kisumu which allow reduced costs for transportation and ultimately stabilizing pump prices in Uganda .

Editor :msserwanga@gmail.com

Leave a Reply

Your email address will not be published. Required fields are marked *