The High Court has dismissed a petition filed by the Consumer Federation of Kenya, challenging the privatization of the Kenya Pipeline Company (KPC).
The court ruling stated that the process complied with the constitution and legal requirements following parliamentary oversight and public participation.
This follows an earlier petition led by Okiya Omtatah and other petitioners asking the High Court to declare the privatization process unconstitutional and unlawful, quash all related decisions, and issue a permanent injunction preventing any steps toward the sale of KPC.
Each party was ordered to bear its own costs.
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Court Dismisses CoFeK Petition on KPC Privatization
In its ruling, the Court affirmed that it possessed full and proper jurisdiction to hear and determine the consolidated petitions.
Issues that were raised by the petitioners were constitutional in nature, related to the validity of the proposed privatization of the Kenya Pipeline Company.
Doctrines of ripeness, constitutional avoidance, and exhaustion were found inapplicable to oust the court’s jurisdiction.
The Court found that the process surrounding Sessional Paper No.2 of 2025 met the constitutional requirement for public participation, referencing standards established by the Supreme Court in the BAT case.
High Court has held that the government had taken reasonable steps in complying with public finance principles under Articles 201 and 227 of the Constitution.
According to the ruling, petitioners failed to demonstrate any violation of constitutional obligations regarding national security or consumer protection.
The Court has emphasized that the existing regulatory framework governing the petroleum sector remains intact, ensuring that consumer interests and national security will continue to be safeguarded.
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Petition Filed to Block Kenya Pipeline Privatization
Earlier in January, Busia Senator Okiya Omtatah, Bernard Muchiri Muchere, and Naomi Nyakerario Misati filed a constitutional petition at the High Court seeking to block the sale of 65 per cent of its shares via an Initial Public Offering (IPO) scheduled for March 2026
According to the filing, the privatization process is “unconstitutional, unlawful, and anti-sovereign” and has been driven by external pressure from the International Monetary Fund as a condition for loan facilities.
Furthermore, it cited a lack of public participation and transparency in the process, noting that approvals were sought through a Sessional Paper rather than proper legislative procedures.
KPC is a fully government-owned entity and a critical part of Kenya’s energy infrastructure.
In 2024, the company posted profits of Ksh 6.87 billion and remitted Ksh 7 billion in dividends to the National Treasury.
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