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Economy

Planned Kisumu jetty to ease Uganda oil shipment

Kenya Pipeline Company managing director Joe Sang. PHOTO | FILE
Kenya Pipeline Company managing director Joe Sang. PHOTO | FILE 

Kenya Pipeline Company (KPC) has said it will build an oil jetty in Kisumu to ease shipment to Kampala.

KPC managing director Joe Sang told Parliament that they were in the tendering process.

Mr Sang said that completion of the Sh5.7 billion, 122-kilometre 10-inch diameter pipeline from Sinendet to Kisumu has eased development of other projects such as the Kisumu Oil Jetty (KOJ) and Kisumu-Busia Pipeline.

“We are in the process of tendering for construction of the jetty to transport oil to Entebbe,” he told the Senate Standing Committee on Energy last week.

Mr Sang said that the jetty will facilitate transportation of petroleum products via Lake Victoria to Entebbe in Uganda and other neighbouring countries.

 “We will identify a contractor soon. Our counterparts in Kampala have identified a contractor to do the jetty on their part,” he said.

A week ago a truck ferrying flammable products was involved in an accident in Naivasha, killing 43 people.

Mr Sang told the committee, chaired by Baringo Senator Gideon Moi, that they intend to maximise the use of vessels in Lake Victoria to transport oil products to neighbouring countries.

He said that the jetty will reduce the number of oil trucks on Kenyan roads. Mr Sang said commissioning of the Sinendet-Kisumu oil pipeline in April has enhanced petroleum products availability in Western Kenya as well as exports to Uganda, Eastern DRC, Rwanda, Burundi and northern Tanzania.

“We are asking oil marketers within the region to come for petroleum products in Kisumu,” he said.

Mr Sang said that Kenya had lost 15 per cent of its oil products exports market share to Rwanda and Tanzania, adding that the new pipeline will enable it to reclaim the export market.

“Because of increased product flow to Kisumu depot by 350,000 litres per hour from 110,000, the line has increased the country’s competitive edge, re-affirming Kenya’s status as a regional economic powerhouse,” he said in submissions to the committee.

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