The Lower Eastern Times Opening The Third Eye
Related Articles
Senior figures in government and the energy sector, including Energy Principal Secretary Mohamed Liban and Energy and Petroleum Regulatory Authority (EPRA) Director General Daniel Kiptoo, have been arrested and questioned over claims of an artificially created fuel shortage tied to possible quality issues.
Also taken in for questioning are Kenya Pipeline Company (KPC) Managing Director Joe Sang and a senior petroleum official, Simon Wafula, as detectives intensify investigations into the suspected disruption in fuel supply.
Click here to join our WhatsApp Channel
Sources indicate that more individuals are being pursued by the Directorate of Criminal Investigations (DCI) as part of a wider probe into possible manipulation within the petroleum supply chain.
The arrests were reportedly carried out in a coordinated operation on Thursday night, during which investigators searched the suspects’ homes and recovered cash and documents.
Authorities are examining allegations that a fuel shipment imported under a government-to-government deal may have failed quality checks, raising fears it could not be safely released into the local market.
Investigators believe the consignment may have contained high sulphur levels, making it non-compliant with Kenyan standards. A KPC quality assurance manager is said to have flagged the issue after testing the fuel and refused to approve its discharge.
The move is reported to have sparked internal disputes and pressure over whether the fuel should still be released, eventually prompting escalation to investigators.
The situation arises at a time when fuel supply stability is under close watch. Kenya relies on structured import deals with Gulf suppliers such as Saudi Aramco, ADNOC, and ENOC under a 180-day credit arrangement designed to stabilize supply and ease demand for foreign exchange.
Although the deal—extended to 2027/2028—has helped shield the country from global oil price shocks, it has also drawn scrutiny over procurement and pricing.
Currently, fuel reserves stand at about 16 days for petrol, 19 days for diesel, and 49 days for jet fuel and kerosene, offering short-term stability as new shipments are expected later in April.
Treasury Cabinet Secretary John Mbadi said the current pricing cycle is unlikely to be immediately affected, as existing shipments were secured before the recent escalation of tensions in the Middle East.
However, he warned that ongoing geopolitical tensions could push prices higher in the coming months, even as the government works to cushion consumers.
He noted that about Sh17 billion from the petroleum stabilization fund will be used over the next three months to help control pump prices, alongside possible tax measures.
President William Ruto has also acknowledged increasing global economic pressure linked to Middle East conflicts, saying the government is closely monitoring the situation and coordinating with relevant agencies.
Despite the unfolding investigation, authorities insist that fuel supply remains stable for now.
