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Uganda-Kenya Renew Pipeline Extension Plans

Uganda-Kenya Renew Pipeline Extension Plans

Uganda and Kenya have resumed discussions to extend the petroleum products pipeline from Eldoret to Kampala. This project, proposed 29 years ago, took a significant step forward last week when Uganda’s Minister of Energy and Mineral Development, Ruth Nankabirwa, met with Kenyan officials. The meeting included Petroleum Principal Secretary Mohammed Liban and representatives from Kenya Pipeline Company (KPC).

These discussions advance a project first envisioned in 1995. In 2006, Libyan firm Tamoil East Africa won the initial contract to launch the pipeline extension. Extending the pipeline from Eldoret is crucial for Uganda. It will provide a safer and more cost-effective method for transporting fuel to Kampala, reducing reliance on truck transport from Kenya. This extension is expected to lower transport costs, which significantly influence fuel prices in Uganda.

“KPC is excited to collaborate with the Ugandan government on the Eldoret-Malaba pipeline,” said KPC Managing Director Joe Sang. “Expanding the pipeline to Uganda is a strategic move for Kenya. It aims to regain its competitive edge in the petroleum export market, especially with Uganda’s new importation strategy.” The project will involve constructing a multi-product oil pipeline from Eldoret to Malaba, at the Kenya-Uganda border.

Uganda will handle building the segment connecting Malaba to Kampala. Additionally, plans are in place to extend the pipeline to Kigali, Rwanda’s capital. Mrs. Nankabirwa highlighted that her visit focused on planning and preparing for the project, though financing details remain undisclosed. The plans gained momentum in May after President William Ruto met with Ugandan President Yoweri Museveni.

The two countries agreed to form a joint committee to oversee quality control and mobilize resources. They expect to provide progress reports by the end of the year. Currently, Kampala relies on trucking fuel from Eldoret.

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