Energy Cabinet Secretary Davis Chirchir on Wednesday announced that plans were underway to issue a permit to the Uganda Oil Corporation (UNOC) which will allow the neighbouring East African country to import fuel through Kenya.
Speaking before the Senate Committee on Energy, Chirchir stated that soon, the corporation will get a license and will be allowed to use some Kenya Pipeline Company (KPC) facilities.
"You will see UNOC getting a license and then we will see how to work together because usage of our pipeline is an opportunity for us," he added.
However, Chirchir emphasised that the issuance of the license represented a mutual opportunity rather than a concession.
"This will be a huge opportunity for Kenya and there will be no loss. We are in talks with Uganda to ensure the process comes to a beneficial conclusion," he stated.
Uganda in 2023, complained of being frustrated by Kenya in the importation of the crucial commodity.
As the stalemate escalated, Uganda turned to Tanzania for its imports.
The Energy and Petroleum Regulatory Authority (EPRA) had refused to award UNOC a certificate of business, blocking Uganda's bid to import on its own.
In December last year, Ugandan Energy Minister Rutth Nankwabirwa revealed that despite the Tanzania route being more expensive, it was a better option since the country was avoiding a shortage crisis.
"You cannot sit there and be at the mercy of one person. We know that the alternative route might be expensive because of the logistics involved but we also know that there is a possibility of negotiation with the Tanzanian government to waive some taxes so that their sister country can be able to do business," Nankabirwa remarked.
A diplomatic row ensued thereafter with Uganda suing Kenya at the East African Court of Justice (EACJ) seeking to have a license of operation.
However, this development may see the case dropped and UNOC get a license in April.
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