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Economy

Legislators open inquiry into oil pipeline leakages

Hudson Andambi
KPC acting Managing Director Hudson Andambi. FILE PHOTO | NMG 

MPs have opened an inquiry into frequent leakages, spillage and siphoning of petroleum products along the Sh48 billion Mombasa-Nairobi oil pipeline that is less than a year old.

The National Assembly’s Energy Committee made the decision after an MP claimed that the Kenya Pipeline Company (KPC) wants to procure a Sh2 billion ($20 million) oil leak detection system after rejecting an offer of Sh400 million ($4 million) by the contractor who built the 450-kilometre line.

KPC acting Managing Director Hudson Andambi failed to disclose the amount of money needed to install the detection system but said a budgetary request has been made to the Treasury.

“We have requested a supplementary budget to install the leak detection system in the financial year 2019/20. The leak detection system was not part of the scope of works done by Zakhem International the contractor of the project. It was to be undertaken by another contractor,” he said.

Mr Andambi told MPs that seven people had been arrested in the Mlolongo incident where super petrol was siphoned. The stations are in Ruiru, Kibichoi and Kiambu.

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