Kenya’s $100 million revenue at risk as Uganda shifts fuel import strategy

The Ugandan government is on the brink of replacing the open tender system currently employed by Ugandan firms for the procurement of petroleum products from Kenya.

Energy Minister Ruth Nankabirwa has presented the Petroleum Supply (Amendment) Bill 2023 in parliament, to grant authority to the state-owned Uganda National Oil Company (UNOC) to assume responsibility for oil supply.

The government held discussions with more than 40 fuel companies represented by the Sustainable Energies and Petroleum Association (SEPA) around a Cabinet resolution about the importation of refined petroleum and associated products.

As per the Cabinet resolution, which was disclosed by Nankabirwa, Unoc is set to become the exclusive importer of petroleum and its related products.

Source: Business Insider