KPC in strategic fuel storage plan as new pipeline nears completion

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The country’s fuel storage capacity is set to double by the end of the year as the governments looks to have strategic reserves to lower the cost of fuel to consumers.

Kenya Pipeline Company (KPC) has constructed four new storage tanks with a capacity to store 33 million liters in that will act as refilling stations for oil marketers.

Speaking while inspecting works on a new fuel pipeline, KPC managing director Joe Sang said with the extra storage capacity will ease supply across the country and the region.

“We are putting in place additional storage capacity of 133 million liters which will come on board before the end of this year pushing our total storage capacity in Nairobi to 233 million liters,” Mr Sang said.

KPC has completed 95 percent of the structural work on the Sh48 billion fuel pipeline between Mombasa and Nairobi that is also expected to boost supply.

Mr Sang said the new pipeline would reduce use of trucks to transport fuel making the movement safer and efficient.

KPC is targeting to have all fuel transported between Mombasa and Nairobi done on the pipeline.

“We will be able to have enough supply of product in the country as well as the region. We will be running it (fuel transport) concurrently with the existing line and therefore you’ll be able to see minimal trucks on the road,” he said.

Zakem International Construction is finalizing works on the station at Changamwe, which is expected to improve pumping capacity to one million liters per hour up from 700,000 liters currently.

“The line 5 pipeline project, which is also the country’s second largest infrastructural undertaking, is now in the final phase of development and will be ready for commissioning by the end of this year,” Zakhem International Construction chief executive officer Zakhem Ibrahim said.

The project set for completion by the end of the year had initially been delayed by procurement and design challenges.