City law firm slaps Epra with Sh73m fee demand


Energy and Petroleum Regulatory Authority (EPRA) Director General Daniel Kiptoo before the National Assembly Departmental Committee on Energy at County Hall Nairobi on July 11, 2023. PHOTO | DENNIS ONSONGO | NMG

A city law firm is demanding more than Sh73 million from the Energy and Petroleum Regulatory Authority (Epra) for representing the State agency in a dispute between oil marketer Total Kenya and Kenya Petroleum Refineries.

S.M. Kilonzo & Associates Advocates said it wrote to Epra in March demanding the fees in March stemming from the case that was dismissed by the High Court in July 2021.

"Given that there has been no response, kindly note that we shall proceed and file a bill of costs within the next seven days if settlement of the fee note shall not have been done by then," the firm said in the letter to Epra dated August 3, 2023.

In the main case, Kenya Petroleum Refineries and Total Kenya were embroiled in a dispute for compensation for yield shift losses.

Yield shift losses emanate from the variation between the actual crude processing yields and the expected yields.

Total Kenya is among oil companies demanding more than Sh2 billion from Kenya Petroleum Refineries and the case was referred to the Energy Regulatory Commission for determination.

The law firm is demanding Sh31.5 million as instruction fees alone based on the value of the subject matter and its lawyers' appearance in court five times since 2017 when the case was filed until its dismissal.

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