Tension Between Ruto And Museveni As Uganda Issues Ultimatum In Fuel Importation Saga

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Tension Between Ruto And Museveni As Uganda Issues Ultimatum In Fuel Importation Saga

A potential diplomatic disagreement looms as President William Ruto’s government has not granted Uganda a license to import fuel, raising tensions.

Uganda’s President Yoweri Museveni alleged on November 7 that Kenyan intermediaries within the oil industry were artificially raising fuel costs within his nation.

Therefore, he instructed the Uganda National Oil Company (UNOC), which is state-owned, to commence the oil importation. This directive was officially approved by the Ugandan parliament a week afterward.

One month has passed, and UNOC still hasn’t initiated the fuel importation process, instead continuing to depend on oil marketing firms based in Kenya.

Uganda has recently announced a deadline, stating its intention to commence independent importation of petroleum products beginning in February 2024.

As per the reports, Uganda has promised to bring in the fuel via Mombasa Port regardless of whether it has the license or not.

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UNOC aims to focus solely on the import process to avoid being affected by inflated fuel prices from Kenyan Oil Marketers in its strategy.

“Why not buy from the refineries abroad and transport through Kenya and Tanzania, cutting out the cost created by middlemen?” Museveni had directed UNOC.

The Ugandan oil company clarified its position, mentioning that it wouldn’t participate in the fuel’s transportation upon its arrival in Mombasa.

The method through which the UNOC intended to enforce the ultimatum of utilizing Kenyan ports for fuel importation without a license was not immediately evident.

Uganda imports 2.5 billion liters of fuel annually for Ksh300 billion.

Of this amount, 90 percent is imported through Kenya, with only a paltry 10 percent coming through Tanzania.

Imported oil docking at the Port of Mombasa on April 13, 2023.

Tension Between Ruto And Museveni As Uganda Issues Ultimatum In Fuel Importation Saga

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