News
Price war: The truth about fuel shortage
The Kenya Pipeline Company headquarters. The company says it has been pumping oil regularly and has blamed the fuel shortage on rogue fuel distributors who have not been distributing the commodity. Photo/HEZRON NJOROGE
Posted Sunday, December 28 2008 at 19:48
Mr Wachira in his article apportions a share of blame to KPC over an upgrading programme. “KPC commissioned a new set of pumps at a time when the country was low in stocks. Commissioning a new pumping system always has teething problems.
“At a supply meeting in late November, marketers expected the system to stabilise within one month,” Mr Wachira wrote.
False hope
“However, KPC may have given people false hope with the timing of the commissioning ceremony which has not been made smoother by the quality of power supply.”
That coupled with difficult tax payment procedures may have slowed down the movement of the commodity by road, said Mr Wachira.
Energy Assistant Minister Charles Keter told the Nation that KPC had delivered its part of the bargain.
Mr Keter said the fuel in various depots was enough to last for a week and wondered why the oil firms were not taking the commodity to their petrol stations. In addition, he said KPC was pumping fuel everyday as usual.
“We have enough fuel in the depots and we want to know why the companies are not picking the products,” the assistant minister said.
Mr Keter asked the firms to explain to Kenyans why there was no fuel at their stations when there was plenty at the depot.
He said the Government would not allow economic sabotage now that it had asked the companies to reduce the prices to be in line with the world prices.
“We will not allow any price increases because it is very clear that the crude oil prices is at its lowest,” he told the Nation by telephone.
The Nation learnt that a further 15.8 more litres of diesel and 6.4 million litres of kerosene is expected to be supplied to the KPC Nairobi depot from Mombasa between today and Thursday.
According to the document, Nairobi had 10.1 million litres of premium petrol in storage tanks ready for consumption as at yesterday morning.
Others were 1 million litres (regular), 1.9 million litres (kerosene), 909,000 (diesel) and 18.1 million litres (Jet fuel).
Eldoret had 1.8 million litres (premium), 634,000 litres (regular), 1.4 million litres (kerosene) and 3.4 million litres (diesel), while Kisumu had 1.8 million litres (premium), 1.2 million litres (regular), 1.2 million litres (kerosene), 2 million litres (diesel) and 1.6 million litres Jet fuel.
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Submitted by BleedingLovePosted December 30, 2008 08:14 AM
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Submitted by nzaku
This is simple. Fine the guys and invite other oil companies to come and share the profit they want to protect. The best scenerio is to encourage Kenyans to mobilize their funds and own a big share of these firms instead of solely depending on these multi-nationals.
Posted December 30, 2008 02:31 AM -
Submitted by maskani
I seems that the price of UNGA is suffering the same fate, GREED SOME PEOPLE wanakula pekee yao. When will all these end and kenyans no longer exploited. Do we need another Moussa Camara in Kenya or what?
Posted December 30, 2008 01:11 AM -
Submitted by Thiankolu
We are the only country that allows its economy to be chocked by restrictive trade practices. In the US, the conspirators would be fined at least three times the harm done to the economy. Equally stringent anticompetition laws exist for the whole of the EU. Someone our learders, who should be exposed, are complicit to and benefiting from this. Privatisation of the refinery is nolonger a sensible thing. The theory that privatisation of all parastatals leads to economic growth has since been discredited. Look at the bailouts in the West, if you need evidence.
Posted December 29, 2008 03:29 PM -
Submitted by wuod_aketch
Things will be even worser if the Kenya Pipeline Company (KPC) is privatized. KPC has successfully fulfilled the role it was meant for, to provide the most economical and modern way of transporting and storing petroleum products. Some people who would like to eat are striving for the privatization of this family jewel.
Posted December 29, 2008 01:58 PM
RSS
our schools are a sham , our roads impassable , no affordable food anywhere, our forests razed, thugs attack at noon , internal refugees , water shortage , all this because a few people stand to benefit. Why don't you send a firing squad and just kill us all . When we are gone you can own everything and be happy. Too much greed going on.