Energy and Petroleum Cabinet Secretary Opiyo Wandayi has once again reassured Kenyans that there is no fuel shortage in the country.
The CS attributed the stable supply to the government-to-government (G2G) fuel importation framework, despite ongoing disruptions in the Strait of Hormuz affecting global markets.
Mr Wandayi on Friday dismissed claims that the country’s fuel supply had been adversely affected by the Middle East crisis, describing such assertions as “mistaken” and “outrightly malicious.”
The CS said fuel shipments are arriving on schedule, storage levels remain stable and distribution across the country is continuing without interruption despite volatility in global energy markets.
“Kenya’s fuel supply remains secure, stable and well managed despite ongoing global market uncertainty,” he said.
His remarks come amid concerns that escalating tensions in the Middle East could disrupt global oil supply chains and trigger fuel shortages and higher prices in importing countries such as Kenya.
The minister credited the G2G fuel importation framework with shielding the country from supply disruptions that have affected several countries in the region and beyond.
“Because the freight and premium component is fixed, we were able to benefit extensively as a country even as other countries were contending with the skyrocketing of freight and premium in the market,” he said.
The CS noted that Kenya has successfully diversified its fuel sourcing to include Europe, the US Gulf Coast, India and the Red Sea region after traditional supply routes through the United Arab Emirates were affected by the war in Iran.
According to Mr Wandayi, international suppliers operating under the G2G framework demonstrated flexibility by sourcing petroleum products from alternative markets, helping the country avoid shortages and maintain stable supplies.
He said the diversification of supply routes had strengthened the country’s energy sector by reducing reliance on a single corridor and ensuring continuity of supply even when traditional channels face disruptions.
He disclosed that Kenya currently pays freight and premium costs of 78 US dollars per tonne for diesel, 84 US dollars per tonne for petrol and 97 US dollars per tonne for Jet A1 fuel.
“Some markets which were exposed to open spot purchasing experienced freight and premium costs rising to approximately 250 to 300 US dollars per tonne during this period. You can imagine the difference,” the CS said.
The CS has also revealed that there are early indications that fuel prices are beginning to ease in the international market.
“There are early signs that global pressures may begin to ease. Changes in demand patterns and improved supply routing are gradually stabilising international markets,” he said.
“While the situation remains fluid and unpredictable, the direction is encouraging. In the fullness of time, as global conditions stabilise, Kenyans can expect the benefits to be felt progressively through the system.”
He has said the government is closely engaging industry stakeholders to ensure that any reduction in global fuel costs is eventually reflected in local pump prices and benefits consumers.
“We are already seeing early signs of easing prices globally, and that benefit must be passed on to consumers,” he said.
The CS added that the government remains in constant consultation with manufacturers, transport and logistics players, oil marketing companies, distributors, public transport operators and regulators to ensure adequate fuel availability across the country while safeguarding consumers from unnecessary price pressures.
He also appealed to oil marketing companies to speed up the uptake of fuel already available within the system to create room for incoming cargo.
The CS has said that several fuel vessels are currently waiting offshore to offload products into the country.
“The ships are lining up at sea waiting to discharge. My appeal to the oil marketing companies that have been allocated various quantities of these products is to move with speed and uplift those products for the system to be freed so that we can continue to receive more products,” he said.
The CS further defended the government’s approach to fuel pricing, saying policy interventions announced by President William Ruto do not negate the statutory price-setting mechanism administered by the Energy and Petroleum Regulatory Authority (EPRA).
“The President did provide policy direction and as a community, together with entities including EPRA, we are guided by that policy direction. That does not in any way negate the established process of price determination by EPRA,” he said.
His remarks come amid heightened public interest in fuel prices following recent fluctuations in global oil markets, with the government insisting that Kenya remains adequately supplied and well positioned to weather future shocks in the international energy sector.
