President William Ruto has appointed Deputy President Kithure Kindiki to head the government's efforts to deliver the proposed Sh2.2 trillion East African oil refinery, as Kenya moves to begin implementing one of its biggest planned industrial investments.
The President announced on Wednesday that Kindiki will chair a government committee bringing together the State, private investors and employers to coordinate the development of the refinery, adding that the project had reached a stage where a groundbreaking date had already been set.
"I have asked the Deputy President, Kithure Kindiki, to chair the government committee that is going to work with private investors and employers for what will be one of the largest investments in our country, the investment in the East African oil refinery," Ruto said.
He said the refinery will cost about Sh2.2 trillion.
"We have already set up a date for the groundbreaking, for your information," the President said.
The appointment puts Kindiki in charge of coordinating the government's role in a project expected to reshape fuel supply in East Africa by reducing dependence on imported refined petroleum products.
The refinery proposal follows months of engagement between the government and Nigerian businessman Aliko Dangote, who has expressed interest in investing in the project.
Speaking during the Africa We Build Summit in Nairobi in April, Dangote said he was ready to build a refinery similar to the one owned by his company in Nigeria if governments across the region offered the support needed to make the investment possible.
He said East Africa would be an important part of the project and maintained that Africa already has the money, raw materials and expertise needed to finance major industrial investments.
Ruto welcomed the proposal, saying the continent must stop exporting raw materials only to buy back finished products if it wants to grow its industries.
The President later disclosed in May that talks with Dangote were still ongoing and said those benefiting from fuel imports were trying to frustrate the planned investment.
"I had a chat with Dangote yesterday, and he was telling me how much resistance has been built by the people we are buying fuel from now because they want to continue buying their fuel," Ruto said at the time.
He said Kenya and its regional partners remained committed to seeing the refinery become a reality because it would strengthen fuel security across the region.
Ruto also revealed that before opening discussions with Dangote and other regional leaders, the government had dispatched a technical team to study refinery operations in other African countries.
Dangote recently confirmed that Lamu had been selected as the preferred location for the refinery, ending speculation over where the multi-billion-shilling project would be established.
Once completed, the refinery is expected to be among the biggest industrial investments in East Africa, supporting value addition in the energy sector while reducing the region's dependence on imported refined petroleum products.