President Yoweri Museveni of Uganda has pledged to sell fuel prices to neighboring nations, particularly the area of Western Kenya.
This came after Energy Cabinet Secretary Davies Chirchir issued a warning on Monday, November 6, saying that fuel prices might surpass KSh 300 due to the ongoing Israel-Hamas conflict.
In an announcement, Museveni—who recently axed Kenya as his top partner for importing petroleum—said he will shortly begin shipping petroleum products to surrounding nations in an effort to bring down fuel prices.
“Our refinery is scheduled to begin operations in the next few years. I can guarantee competitive petroleum products, free from middlemen’s distributions, to the people of inland East Africa.
Speaking of the benefits, President Museveni stated that “the whole of Uganda, North-Western Tanzania, Rwanda, Burundi, Western Kenya, South Sudan, and Eastern DRC will benefit.”
Uganda announced earlier this year that it would export its oil through a pipeline from Tanzania’s Tanga Port across the Indian Ocean. In 2016, the country discovered oil reserves in Hoima Town, the country’s western region.
Prior to this, Museveni charged that Kenyan intermediaries had inflated the price of petroleum products that were imported into Uganda and subsequently sold to the country, causing billions of dollars in losses.
The Ugandan Ministry of Energy and Mineral Development declared last week that it will now import oil through Vitol Bahrain E.C. under a five-year agreement that will be funded by the business.
In order to protect Tanzanian and Ugandan stockpiles from supply disruptions, Uganda will also construct a refinery.
In their most recent reviews, Uganda and Tanzania declared a decrease in the price of fuel at the pump, despite Kenya’s petroleum product prices continuing to rise steadily.