Energy and Petroleum Cabinet Secretary Opiyo Wandayi has warned that fuel prices in Kenya could have risen by up to Sh14 per litre had an unauthorised consignment of super petrol been factored into the local market.
In a statement issued on Tuesday, April 7, Wandayi disclosed that a 60,000-metric-tonne shipment of super petrol was recently imported into the country outside the government-to-government (G-to-G) fuel importation framework.
According to the CS, the consignment was significantly more expensive, costing Ksh198,000 per metric tonne compared to Ksh140,000 under the G-to-G arrangement. He noted that the Ksh58,000 difference per metric tonne would have translated into a sharp increase in pump prices if passed on to consumers.
“The 60,000-metric-tonne consignment of super petrol was recently imported into the country in contravention of the procedures set out under the G-to-G contractual framework with international suppliers,” Wandayi said.
He warned that bypassing the G-to-G system risks undermining gains made in stabilising fuel prices and ensuring consistent supply.
“This action posed a risk to the integrity of a system that has consistently safeguarded supply security and pricing stability,” he added.
In response, Wandayi directed the Energy and Petroleum Regulatory Authority (EPRA) to immediately exclude the consignment from the monthly pricing computation of petroleum products.
He also ordered a freeze on any payments related to the shipment pending further investigations and instructed One Petroleum Ltd, the firm responsible for the importation, to withdraw all issued invoices and instead raise credit notes.
Oil marketing companies have further been cautioned against making payments or lifting fuel from the flagged consignment.
Wandayi emphasised the need for strict adherence to the G-to-G importation framework to prevent market distortions and shield consumers from unjustified price increases.
Email your news TIPS to Editor@Kahawatungu.com — this is our only official communication channel
