Senior executives in Kenya‘s energy sector have announced their exits, following alleged manipulation of fuel stock data and procuring an emergency cargo at inflated prices, President William Ruto‘s office said in a statement on Saturday.
Resignations and Investigations
Ruto accepted the resignation of Mohamed Liban, principal secretary for petroleum, while the Kenya Pipeline Company confirmed that its managing director, Joe Sang, had also stepped down, the statement stated.
The Energy and Petroleum Regulatory Authority‘s Director General, Daniel Kiptoo Bargoria, has also resigned, according to the statement.
Alleged Irregularities
A formal investigation has been launched into alleged irregularities in Kenya‘s petroleum supply chain, the statement said.
The government said the manipulated data was used to justify the emergency importation of fuel, despite existing contracts between the East African country and Saudi Aramco Trading Fujairah, Abu Dhabi’s ADNOC Global Trading Ltd, and Emirates National Oil Company Singapore Ltd., all of which are meeting their contractual obligations of timely shipment to Kenya.
Emergency Shipment Concerns
The emergency shipment was overpriced, of substandard quality, and procured at rates significantly higher than those agreed under existing deals, the presidency stated.
“This appears to have been done to exploit rising global prices and public anxiety, thereby creating a false impression of an impending supply shortfall,” the statement read.
Global Energy Market Impacts
The investigations have been launched amid the fuel supply concerns linked to the Iran conflict, which has affected global energy markets.
The statement stressed that administrative action has been taken against additional officials and arrests made by investigative agencies, without disclosing their identities.
