NAIROBI — Representatives from the Kenya and Uganda governments have commenced talks regarding the proposed Eldoret-Kampala oil pipeline project, signaling a renewed effort to enhance regional energy infrastructure.
On Monday, Uganda’s Minister of Energy and Mineral Development, Ruth Ssentamu, met with officials from Kenya’s Ministry of Energy, led by the Principal Secretary for the State Department for Petroleum, Mohammed Liban, at the headquarters of the Kenya Pipeline Company (KPC).
The discussions centered on the strategic planning and logistical preparations necessary for the project’s success.
During the meeting, KPC Managing Director Joe Sang highlighted the significance of the pipeline extension to Uganda, noting that it is a crucial step for Kenya to regain its competitive edge in the petroleum export market.
This development is especially pertinent in light of Uganda’s recent shift towards an independent fuel importation strategy.
Kenya is tasked with constructing the pipeline segment from Eldoret to Malaba on the Kenya-Uganda border, while Uganda will extend the line from Malaba to Kampala.
There are also considerations for future expansions of the pipeline to Kigali, Rwanda, further solidifying regional energy cooperation.
This initiative follows Uganda’s strategic decision, implemented in early July, to import fuel independently, thus reducing its reliance on Kenya for refined petroleum products.
Under a new agreement with Vitol Bahrain, the Uganda National Oil Corporation (UNOC) aims to secure more competitive fuel prices.
Despite this shift, Uganda will continue to utilize Kenya’s Port of Mombasa and KPC’s infrastructure for fuel transportation to depots in Western Kenya, including Eldoret and Kisumu.
The concept of the Eldoret-Kampala pipeline was initially proposed in a 1995 Memorandum of Understanding between the two nations. Interest in the project was reignited following a feasibility study funded by the European Investment Bank, which confirmed its viability in May 2024.
Subsequently, President William Ruto of Kenya hosted Ugandan President Yoweri Museveni in Nairobi, where they agreed to expedite the project.
Both leaders mandated their respective energy ministers to mobilize resources for the pipeline, with progress reports expected by the end of 2024.
The Eldoret-Kampala pipeline project promises to enhance energy security and economic cooperation in the East African region, aligning with broader goals of regional integration and development.
Email us at: info@alleastafrica.com
