TZ tycoon Awadh single biggest loser in gas spat

Geza Ulole

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Oct 31, 2009
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TZ tycoon Awadh single biggest loser in gas spat
Tuesday July 4 2017

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A Hashi petrol station in Nyeri town. FILE PHOTO | NMG

In Summary
  • Latest data shows Lake Oil Group had secured 23.5 per cent of the local LPG market, pushing it ahead of French giant Total that had a share of 19.7 per cent.
  • In April, Kenya banned importation of gas through the Kenya-Tanzania border, intending to eliminate illegal filling plants that are deemed a safety risk.
  • The tycoon's firm has been selling its branded gas locally but mostly supplied independent re-fillers cutting the retail cost substantially.
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By CHARLES MWANIKI
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Tanzanian gas vendor Lake Gas jumped to the top of Kenya’s LPG market by the end of March but is now set to be the main loser after a ban on imports from the EAC country.

Latest data from the industry lobby Petroleum Institute of East Africa (PIEA) shows that by the end of the first quarter, Lake Oil Group had secured 23.5 per cent of the local LPG market, pushing it ahead of French giant Total that had a share of 19.7 per cent.

It is owned by Dar tycoon Ally Etha Awadh who recently acquired Kenya’s Hashi Petroleum retail fuel business.

Sources knowledgeable about the deal said he, however, did not take the cooking gas business, with Hashi registering a credible but lower eight per cent share in the market over the period.

Hashi commanded 22.2 per cent of the LPG market in September 2016, falling to 16.4 per cent in December and then eight per cent March this year.

The Tanzanian firm’s market share went up from 14.1 per cent in December 2016, having not featured on the list of PIEA’s top gas suppliers as recently as September 2016.

The firm that also manufacturers cylinders in Mikocheni, Dar es Salaam has been trucking in LPG from its large depot in Tanga.

READ: Somalia challenges Kenya over oil blocks

In April, the government banned import of gas through the Kenya-Tanzania border, intending to eliminate illegal filling plants that are deemed a safety risk, provoking the ire of Dar.

“The challenge has been that with the current arrangement, it is not possible to sample and subject the LPG to laboratory tests to determine the quality.

Hence, the country has to rely on certificates of quality from the load port,” the Energy Regulatory Commission (ERC) told Business Daily in an earlier email.

Lake officials were yet to respond to the Business Daily’s queries on the effect of the ban on its business by the time of going to press.

The firm has been selling its branded gas locally but mostly supplied independent re-fillers cutting the retail cost substantially.

TZ tycoon Awadh single biggest loser in gas spat

MY TAKE
When Nyang'au is fairly beaten on business, resorts into unfair tactics. If Magufuli can't protect Tanzanian interests in Kenya then he should quit the Presidency!
 
No end in sight for Nairobi-Dar cooking gas standoff
Sunday July 2 2017
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A KENYAN FERRIES AN ASSORTMENT OF COOKING GAS CYLINDERS, FEBRUARY 21, 2016. FILE PHOTO | NMG

In Summary
  • Last week, Tanzania accused Nairobi of violating the East Africa Community protocol and hinted that the two States had agreed to lift the ban during an EAC sectorial meeting in early June.
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By EDWIN OKOTH
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Kenya and Tanzania are headed for a long-drawn-out dispute over cooking gas trade after officials failed to strike a deal to end an existing import ban.

Energy secretary Charles Keter said the ban on Tanzania gas imports remains until the two countries reach an agreement.

“The ban is in place, but there are discussions going on to reach an amicable solution,” Mr Keter told the Business Daily.

For the last two months, Kenya has blocked more than 4,000 metric tonnes of Liquefied Petroleum Gas from entering its market over quality concerns.

Kenya receives at least 2,000 metric tonnes of gas through the Namanga border point alone.

Last week, Tanzania accused Nairobi of violating the East Africa Community protocol and hinted that the two States had agreed to lift the ban during an EAC sectorial meeting in early June.

Kenya earlier linked the ban to quality verification challenges.

Mombasa was then designated as the only entry route for LPG, closing the door on Tanzania road imports.

Kenya has banned importation of wheat from Tanzania deepening the trade standoff.

Lake Oil Group from Tanzania was the main importer of LPG into the country.

No end in sight for Nairobi-Dar cooking gas standoff
 
kabisa. na ldc ndie atapokea kipigo cha kufa mtu
Tulimpiga Nduli Idd Amin Dadaa na kumuharibu kabisa kwenye ukombozi wa waganda wa kisiasa. Kwa sasa tutamchapa Nyang'au mla watu kwa kichapo kikali katika vita ya ukombozi wa kiuchumi kwa Wakenya wanaoteswa.
 
Mmmmh ila wakenya mnakuwaga na wehu fulani
Yaani nyinyi mlete kwetu sisi kuleta kwenu iwe nongwa
 
TZ tycoon Awadh single biggest loser in gas spat
Tuesday July 4 2017

email print

tycoon.jpg

A Hashi petrol station in Nyeri town. FILE PHOTO | NMG

In Summary
  • Latest data shows Lake Oil Group had secured 23.5 per cent of the local LPG market, pushing it ahead of French giant Total that had a share of 19.7 per cent.
  • In April, Kenya banned importation of gas through the Kenya-Tanzania border, intending to eliminate illegal filling plants that are deemed a safety risk.
  • The tycoon's firm has been selling its branded gas locally but mostly supplied independent re-fillers cutting the retail cost substantially.
Advertisement

charlesmwaniki_img.jpg

By CHARLES MWANIKI
More by this Author
Tanzanian gas vendor Lake Gas jumped to the top of Kenya’s LPG market by the end of March but is now set to be the main loser after a ban on imports from the EAC country.

Latest data from the industry lobby Petroleum Institute of East Africa (PIEA) shows that by the end of the first quarter, Lake Oil Group had secured 23.5 per cent of the local LPG market, pushing it ahead of French giant Total that had a share of 19.7 per cent.

It is owned by Dar tycoon Ally Etha Awadh who recently acquired Kenya’s Hashi Petroleum retail fuel business.

Sources knowledgeable about the deal said he, however, did not take the cooking gas business, with Hashi registering a credible but lower eight per cent share in the market over the period.

Hashi commanded 22.2 per cent of the LPG market in September 2016, falling to 16.4 per cent in December and then eight per cent March this year.

The Tanzanian firm’s market share went up from 14.1 per cent in December 2016, having not featured on the list of PIEA’s top gas suppliers as recently as September 2016.

The firm that also manufacturers cylinders in Mikocheni, Dar es Salaam has been trucking in LPG from its large depot in Tanga.

READ: Somalia challenges Kenya over oil blocks

In April, the government banned import of gas through the Kenya-Tanzania border, intending to eliminate illegal filling plants that are deemed a safety risk, provoking the ire of Dar.

“The challenge has been that with the current arrangement, it is not possible to sample and subject the LPG to laboratory tests to determine the quality.

Hence, the country has to rely on certificates of quality from the load port,” the Energy Regulatory Commission (ERC) told Business Daily in an earlier email.

Lake officials were yet to respond to the Business Daily’s queries on the effect of the ban on its business by the time of going to press.

The firm has been selling its branded gas locally but mostly supplied independent re-fillers cutting the retail cost substantially.

TZ tycoon Awadh single biggest loser in gas spat

MY TAKE
When Nyang'au is fairly beaten on business, resorts into unfair tactics. If Magufuli can't protect Tanzanian interests in Kenya then he should quit the Presidency!
We don't need uncertified gases..the tycoon should consider importing from Mombasa where all the legal processes are followed
 
Aisee safi sana huyo msawahili lazima tumbane pumbuyo zake hadi alie kama bundi!!
 
We don't need uncertified gases..the tycoon should consider importing from Mombasa where all the legal processes are followed
So u mean TBS does not certify that gas in Tanzania. And EAC does not approve TBS? Btn Tanzania n Kenya, who is the main culprit on oil n gas adulteration?
Weren't oil n gas sold before in Tanzania without such restrictions by Kenobil before they lost the market to Lakeoil n the rest approved?
 
We don't need uncertified gases..the tycoon should consider importing from Mombasa where all the legal processes are followed
But we also don't need your sub standard milk, butter and cheese. In fact we don't need any Unilever Kenya products which Kenya can't prove the raw material 100% originated from Kenya. Otherwise pay more duty.

We have more leveraged than Kenya, if we start targeting your private sector, you'll see how Ruto will be rushing to Tanzania.
 
Roho inawauma kugundua ile pride waliyokuwa nayo ati they are entrepreneurship minded is misplaced. All most all their businesses in Tanzania failed on fair competition talk of Kenobil, Uchumi, Deacons, KQ n now Nakumatt while Bidco is next
 
"Lake Oil Group had secured 23.5 per cent of the local (Kenyan) LPG market"
Read that over and over
 
But we also don't need your sub standard milk, butter and cheese. In fact we don't need any Unilever Kenya products which Kenya can't prove the raw material 100% originated from Kenya. Otherwise pay more duty.

We have more leveraged than Kenya, if we start targeting your private sector, you'll see how Ruto will be rushing to Tanzania.
Zambia needs our milk..we don't need Tanzania in anyway
 
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