Uganda has taken legal action against Kenya over an oil importation agreement, filing a case at the East African Court of Justice. According to court documents submitted on December 28, 2023, Uganda alleges that the Kenyan government has prevented the Energy and Petroleum Regulatory Authority (EPRA) from granting a license for the importation of oil from Mombasa to Uganda. Uganda, which traditionally imports about 90% of its refined petroleum products through the Port of Mombasa, claims that reliance on Kenyan Oil Marketing Companies (OMC) has led to supply vulnerabilities and increased fuel prices.
In response to these challenges, Uganda shifted its policy, empowering the Uganda National Oil Company (UNOC) to be the sole importer and supplier of all petroleum products for the Ugandan market. Despite engaging with Kenyan authorities on the new policy, Uganda contends that EPRA’s requirements for obtaining an Import, Export, and Wholesale of Petroleum Products License have hindered the implementation of its petroleum policy.
Uganda argues that the Kenyan Cabinet, through the Ministry of Energy and Petroleum, issued conservatory orders without a hearing, restraining EPRA from granting the license to UNOC. The conservatory orders, initially issued on November 7, 2023, were subsequently extended to January 22, 2024.
Uganda asserts its right, as a landlocked country, to access and transit through Kenyan territory under the East African Community Treaty and the United Nations Convention on the Law of the Sea. The lawsuit seeks declarations that Kenya’s actions contravene numerous articles of the East African Community Treaty and the Protocol. Uganda requests a permanent injunction against Kenya, preventing unrealistic restrictions on UNOC’s access to the Kenyan Pipeline Company’s system.
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