Energy Cabinet Secretary Opiyo Wandayi has warned oil marketing companies against hoarding fuel and engaging in speculative practices, terming the conduct a breach of licensing obligations that could attract “very serious sanctions.”
The CS assured Kenyans there is no fuel shortage, stating that the country’s supply chain—from importation to retail—is functioning normally despite concerns in the market.
In a press briefing on Wednesday, Wandayi said the government had noted “with concern, indeed grave concern, reports of product hoarding and speculative withholding of stocks by some oil marketing companies in anticipation of price movements.”
He described the conduct as “commercially opportunistic” and contrary to the public interest, emphasizing that all licensed firms must adhere strictly to their obligations.
“This conduct is commercially opportunistic contrary to the public interest and in direct breach of licensing obligations,” he said, adding that companies “must not engage in any unorthodox practices, any unethical practices to take advantage of the current situation… that would, of course, invite very serious sanctions.”
The Cabinet Secretary, however, moved to calm public anxiety, reiterating that “there’s no shortage of energy” and that systems across the supply chain “are functioning as required.”
He urged Kenyans to “remain calm and continue their normal purchasing patterns,” warning against panic buying.
Wandayi cautioned motorists against unsafe fuel storage, noting that “there is no need… to go to a petrol station with a jerrycan,” describing the practice as “very, very unsafe” and one that could compromise product quality.
He said the government had engaged oil marketers to curb such practices and ensure steady supply, while thanking stakeholders and international partners for supporting Kenya’s energy needs.
Kenyans have been facing growing anxiety at fuel stations across the country, with social media flooded with reports of long queues at the few outlets still dispensing petrol and diesel, while many others remained dry.
Commuters in Nairobi and other urban centres have expressed concern over potential transport disruptions, fearing that the limited fuel availability could trigger a wider crisis affecting daily commuting and the movement of goods.
The situation has been exacerbated by international developments, particularly the ongoing conflict in the Middle East, which has sharply affected global oil markets.
Benchmark crude prices have climbed significantly over the past few weeks amid fears that hostilities could disrupt key supply routes, further tightening global energy supplies.
On Monday, a barrel of oil reached over $111 (Sh14,388), prompting analysts to warn that prices could surge to $120 (Sh15,555) by the end of the week if the United States follows through on threats to strike Iran’s power plants. Such a move is intended to pressure Tehran but could have far-reaching consequences for energy markets worldwide.
This backdrop of international market volatility and domestic supply anxieties sets the context for Energy Cabinet Secretary Opiyo Wandayi’s recent assurance that there is no shortage of fuel, and that the country’s supply chain is functioning as required despite market concerns.