Hii serikali ya huyu mama ni ya hovyo sana,inakuaje Kenya wanaanza kutupokonya deals rahisi kama hizi.
View attachment 2997158
This presents a significant blow to Tanzania considering plans to use its ports to transport oil to Rwanda have been on the pipeline since 2021.
View attachment 2997159
A photo President William Ruto and President Paul Kagame in Kigali, Rwanda on April 4, 2023.
WILLIAM RUTO
Apart from the Kigali deal, already, a delegation from KPC is in DRC trying to secure a similar agreement. Kenya has already ramped up investment in advanced infrastructure to ensure South Sudan relies on the Port of Mombasa for its oil needs.
“We are now fine-tuning the last steps of the process and, therefore, with Rwanda coming on board, we have a larger market to serve and even generate more revenues,” Joe Sang, the CEO of the Kenya Pipeline Company was quoted by
The Africa Report as saying.
This deal is expected to be a foreign exchange bonanza for Kenya considering that currently Rwanda only imports 3 per cent of its oil through Kenya.
Rwanda, DRC and South Sudan's agreements with Kenya come at an opportune time as Uganda has tentatively agreed to continue importing Ksh264 billion worth of fuel annually through Kenya.
Uganda had in the past threatened to ditch Kenya and use the Tanzania route
citing exploitation by Kenyan-based Oil Marketing Companies (OMCs).
Uganda is also expected to benefit from the Kenya-Rwanda deal as the fuel will pass through its territory and be subjected to standard levies.
KPC will pump the Rwanda-bound fuel to Eldoret where it will be picked up by trucks and transported to Kigali through Uganda.
Sang is optimistic that Kenya will increase oil export volumes not only to Rwanda but also to Burundi and South Sudan.
As it is with Rwanda's case, South Sudan will receive its refined fuel through Uganda after picking it up at the Eldoret KPC depot.
The deal is expected to be a foreign exchange bonanza for Kenya and will reassert Nairobi's dominance as the EAC economic bloc's powerhouse.
www.kenyans.co.ke