The first consignment of Uganda’s directly imported fuel products have arrived at the Mombasa coast in Kenya, with the government hopeful the development will eliminate speculative price hiking.
Between Tuesday and Friday, two vessels carrying 58,000 tonnes of petrol and 60,000 tonnes of diesel arrived and docked at the Mombasa port.
Uganda National Oil Company (UNOC), a Uganda-government agency tasked with solely handling the country’s fuel imports said: “As the sun’s rays started piercing the sky this morning (Tuesday), this vessel carrying 58,000 metric tons of petrol arrived at Mombasa.”
“It is the maiden vessel as UNOC implements the sole importation of fuel products mandate. The fuel will get into the Kenya pipeline infrastructure and later to Uganda via trucks,” UNOC added.
As is the norm, the vessel, Martinez with a Liberian flag, received a water cannon “salute”.
“This historic event emphasizes our commitment to ensuring the reliable supply of high-quality fuel. As a result of this mandate, we will ensure the elimination of speculative price hiking,” UNOC emphasized.
On Thursday, UNOC posted that the second fuel-laden vessel had also arrived at Mombasa.
“Carrying 80,000 metric tonnes of diesel, Sinbad from Kuwait, arrived early this morning,” the government body stated.
“Like Martinez, the first one, its cargo will be discharged into the Kenya pipeline infrastructure ahead of transportation to Uganda.”
Ruth Nankabirwa, Uganda’s energy minister said the new plan might face a few challenges but the long-term benefits will be enormous.
“This is a milestone after more than 12 months of negotiations between Kenya and Uganda. We can assure Ugandans of cheaper fuel in the future and quick supply since UNOC has demonstrated capacity in delivering petroleum products to Uganda,” said Nankabirwa.
UNOC will be the sole importer after the deal that eliminated Kenyan companies and promises consistent supply and moderate fuel prices.
The State oil agency signed deals with the Kenya Pipeline Company (KPC) in May, allowing Uganda to import oil through the port of Mombasa and store it with KPC.
The move comes as Uganda reached the final stages of preparing for commencement of commercial production of oil in the country’s western-region based oil fields.
Uganda boasts of billions of oil barrels in the ground that will take years to be depleted.
