Wandayi Cracks Down on Firm Behind Controversial Fuel Import, Issues Directive to EPRA

File image of Energy CS Opiyo Wandayi

Energy Cabinet Secretary Opiyo Wandayi on Tuesday, April seven, named One Petroleum Ltd as the firm behind the controversial fuel importation at the centre of a growing scandal.

According to Wandayi, the company brought in sixty thousand metric tonnes of super petrol outside the government-to-government framework, with plans to distribute the consignment within the local market.

He revealed that the fuel was acquired at a cost of Ksh198,000 per metric tonne, which is Ksh58,000 higher than the Ksh140,000 price under the G-to-G arrangement.

Wandayi warned that the pricing disparity would have a direct impact on consumers, noting that it would push pump prices significantly higher across the country.

“This consignment is priced at Ksh198,000 per metric tonne, compared to Ksh140,000 per metric tonne under the G-to-G arrangement, an increase of Ksh58,000 per metric tonne, which would result in an approximate rise of Ksh14 per litre in pump prices on this consignment alone,” he stated.

In response, the CS directed One Petroleum Ltd to immediately withdraw all invoices issued to Oil Marketing Companies and instead issue credit notes.

He also instructed Oil Marketing Companies not to honour the invoices or uplift any fuel linked to the disputed consignment.

Further, the firm has been ordered to remove the overpriced fuel from the Kenyan market without delay.

Wandayi additionally directed the Energy and Petroleum Regulatory Authority to exclude the consignment from the monthly computation of petroleum prices.

“One Petroleum Ltd is directed to exit its product from Kenya as soon as possible. EPRA is directed to subsequently exclude this product from the monthly computation of petroleum product costs,” he stated.

The CS assured Kenyans that the government remains vigilant against any attempts by individuals or firms to create artificial shortages or impose unjustified price increases.

He reiterated the government’s commitment to maintaining integrity within the petroleum supply chain under the G-to-G framework, while also assuring both local and international stakeholders of continued transparency and accountability.

The developments come amid a wider crackdown in the energy sector, following the arrest of senior officials linked to the importation of substandard and overpriced fuel.

At the same time, motorists in parts of the country have reported sharp increases in pump prices, with some filling stations charging more than Ksh230 per litre.

Operators of the stations attributed the price hikes to an ongoing fuel shortage.