Calls for greater transparency emerge after Uganda’s shift away from fuel intermediaries
Nairobi, Kenya — The Motorists Association of Kenya (MAK) has called for a forensic audit of Kenya’s Government-to-Government (G-to-G) petroleum import arrangement, following remarks by Ugandan President Yoweri Museveni about intermediaries in Uganda’s previous fuel procurement system.
MAK is seeking disclosure of the intermediaries involved, commissions, contracts, pricing formulas, beneficiaries and the landed cost of petroleum cargoes imported under the G-to-G framework. The association also wants the margins added at different stages of the supply chain made public.
The renewed scrutiny follows Museveni’s account that Uganda had previously sourced petroleum products through intermediaries in Kenya before moving towards direct procurement involving Uganda National Oil Company (UNOC) and a global energy trader. He cited reductions in import premiums under the new arrangement.
Government Defends the Arrangement
Kenya’s Energy and Petroleum Cabinet Secretary Opiyo Wandayi has defended the G-to-G framework, saying it was introduced in 2023 when the country faced significant US-dollar shortages and fuel supply pressures. He said the arrangement provided suppliers with credit terms of up to 180 days, reducing immediate pressure on foreign-exchange reserves.
The government has also outlined reductions in freight charges under the arrangement, while maintaining that the framework helped safeguard fuel supplies and ease foreign-exchange pressures.
The debate now centres on the transparency of procurement arrangements, the role of intermediaries and how costs are ultimately reflected in petroleum prices paid by consumers.
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Motorists Seek Transparency as Questions Mount Over Kenya’s G-to-G Fuel Procurement Framework
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