The ongoing fuel rationing of fuel at some retail outlets in Nairobi has led to shortage as fears grow among motorists that marketers have cut volumes in anticipation of higher prices from Wednesday midnight.
The shortage has preceded the gazettement of new prices that will last for one month as oil marketers expect an upward review in pump prices. Last week, Kenya Pipeline Company (KPC) issued a warning of a looming shortage of Super petrol due to high stocks of diesel in the tanks and pipeline that have reduced the space available to evacuate and transport Super from to its depots in Nairobi.
“Supplies have been affected since last week, fuel orders from the depots have been cut. The situation could be worse if tomorrow (Tuesday) was not a holiday,” said an attendant at one of the Shell stations in the city. For instance, fuel attendants at the Shell outlet along University Way disclosed that they have been struggling with a shortage of Super since last week, adding that supplies of the fuel have been reduced from about 25,000 litres to 4,000 litres.
Most of the affected stations are the Vivo Energy run- Shell outlets, Total Energies, Rubis and the State-owned National Oil Corporation of Kenya, along Mombasa and Ngong roads. Oil marketers have previously been accused of hoarding fuel in anticipation of higher prices to be announced by the Energy and Petroleum Regulatory Authority (EPRA).
In April, marketers withheld the commodity to ostensibly to protest over the delayed State compensation under the fuel stabilisation scheme. Last week, KPC Managing Director Macharia Irungu called on the government to speed up payments and ease financial woes that have been blamed for the low evacuation of diesel from KPC’s facilities.
“Going by the low uplifts witnessed in Western Kenya, we are likely to stock out on MSP (super) in Western Kenya as from tomorrow September 8 as its receipt is being hindered by the leading AGO (diesel) batches,” Mr Macharia said last week in a letter addressed to Petroleum Principal Secretary Andrew Kamau.